#Zimbabwe Government to seize foreign company directors’ assets

Minister Zhuwawo meeting with the Chinese delegation

Minister Zhuwawo meeting with the Chinese delegation

Tinashe Makichi Business Reporter
Government has vowed to go for the assets of directors of foreign owned companies that face imminent closure for failing to submit their indigenisation plans by Friday.

The move is aimed at assisting employees of those companies in the event that they lose their jobs due to non-compliance of the companies.

Youth, Indigenisation and Economic Empowerment Minister Patrick Zhuwawo today said he had so far sought legal help from three legal practioners as he looks at building a strong case for the seizure of such assets.

“I have sought legal help from three lawyers so far and I am seeking two others to make sure that I build a very strong case and I am going to support any employee rendered jobless by the irresponsibility of directors or managers who fail to comply with the law,” said Zhuwawo.

Minister Zhuwawo addressing the media

Minister Zhuwawo addressing the media

The Indigenisation and Empowerment Act – enacted in 2008 and operationalised on March 1, 2010 – requires foreign-owned companies valued at more than $500 000 to be at least 51 percent owned by indigenous Zimbabweans.

Last year, Government directed all foreign-owned firms to submit their indigenisation proposals by December 31, 2015, before the deadline was extended to March 31, 2016.

 

 

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