JEFFM Auctions company director Jeffery Mubaiwa (47) yesterday appeared before Harare magistrate Apollonia Marutya facing allegations of fraud.
Mubaiwa stands accused of defrauding mobile network operator NetOne Private Limited of US$133 000.
He was granted US$100 bail and advised to report to police once every fortnight.
NetOne is represented by Raphael Mushanawani .
Appearing for the prosecution, Rufaro Chonzi alleged that in September 2022, NetOne flighted an advert inviting quotations from bidders which were registered with the Procurement Regulatory Authority of Zimbabwe.
The court heard that the bid was for the purpose of disposing of its obsolete equipment, furniture and vehicles.
In January 2024, Mubaiwa was awarded the contract by NetOne to dispose of its obsolete equipment, furniture and vehicles in terms of the Public Procurement and Disposal of Public Assets Act.
According to court documents, the items for the auction were entrusted to Mubaiwa to dispose of and remit the proceeds to the contractor.
The contract stated that the auctioneer was to remit funds to the client, NetOne, within a period of 48 hours after the auction.
On July 13 this year, the auction was conducted and bidding for all items was done in United States dollars, as per the announcement by NetOne’s departments that were recording the proceedings.
A total of US$113 450 was realised from the sale of motor vehicles and US$58 754 from other items, totalling US$172 204 .
It is alleged that all the money remained with Mubaiwa since he was entrusted with the responsibility of disposing of the items.
After the 48-hour remittance period had lapsed, as per the agreement, NetOne contacted Mubaiwa to enquire on why he had not yet remitted the funds.
On July 23, 2024, Mubaiwa deposited US$39 000 as part of the proceeds from the auction and he converted US$133 204 to his personal use, according to the prosecution.