The internet is abuzz today with stories about the Governor of the Reserve Bank of Zimbabwe, Gideon Gono, admitting that private and company foreign currency accounts (FCA) were stolen from to meet the government’s demand for such currency.

Gono has tried to excuse this as in the ‘public interest’ and says that given the nature of the need, that the removal of the money was not theft…

“Zimbabwe’s central bank governor admitted Monday that he took hard currency from the bank accounts of private businesses and foreign aid groups without permission, saying he was trying to keep his country’s cash-strapped ministries running.

In a statement that would be unthinkable coming from most central banks, Reserve Bank Governor Gideon Gono appeared to be issuing a plea to keep his job in the face of growing criticism. Gono said it was time “to let bygones be bygones” now that Zimbabwe has a new coalition government dedicated to reversing its economic decline.”

The definition of theft is the “dishonest appropriation of property belonging to another person with the intention of permanently depriving that person of it”. Under Roman-Dutch law (the law that applies in Zimbabwe), theft is the “unlawful and intentional theft of another person’s property” - the two elements that have to be proved in court are the “unlawful” and “intentional” theft.

I do not believe that the replacing of the stolen money at a later stage or by another currency would be enough to negate either of these elements.

Of course, when a person or a company deposits money in their accounts, they are participating in a contract with the bank to hold their money for them - they don’t expect to be fleeced.

(When people place money in trust with lawyers, they expect their money to be managed efficiently and honestly. When lawyers have been investigated and theft and mismangement of the monies has been discovered, the lawyer is charged with a crime, and upon discovery of the crime, they are struck off.

What is so different with what Gono has done? Theft is theft - no matter who does it, and no matter who it is done to...)

So access to that money could fall under the definition of “fraud”... and the persons or person responsible for ordering such a raid would be guilty of an offence.

Gono’s claim that he was acting in the “public interest” fails insofar as this intervention was not only unlawful, but was done without the knowledge and permission of the owners of the money.

“The central banker said gave the money he took from the hard currency accounts as loans to various ministries, and those private accounts would be reimbursed when the ministries repaid the loans. He said the bank’s efforts “sustained the country” in its hour of need. Gono’s statement showed the practice was widespread.

It was first hinted at last year, when the international aid agency Global Fund threatened to cut off funds to Zimbabwe for fighting AIDS, tuberculosis and malaria unless money taken from its account was returned. The central bank returned $7.3 million to Global Fund. The raiding of foreign currency accounts is just one of the highly questionable actions for which Gono has been sharply criticized.”

The fact that Gono says the monies was to be repaid holds no water, because the persons and companies concerned have been prejudiced by the removal of money from their accounts without the required authority.

If this sort of action is acceptable, in is no wonder that ZANU PF are intent on squashing murder charges against their own people...

Gono and his bank committed a crime - at the best, theft, - at the worst, fraud - and should be brought to account for his actions (excuse the expression)...

“Attacks on Gono have stepped up in recent days after he offered about 50 used cars to new lawmakers from both Mugabe’s party and its longtime rival, Tsvangirai’s Movement for Democratic Change. Controversy over the cars has led to calls for an investigation into central bank operations, ranging from the purchase of its cutlery to businesses that Gono runs on the side.

In his statement Monday, Gono called on lawmakers to return the cars but said the offer was well-meant.”

Gono does insist that his intentions were pure, doesn’t he? But, in reality, they were nothing less than illegal.

Robb WJ Ellis
The Bearded Man