Oh what a tangled web2 Sep 2022 13:02
More reports of problems now with ?British company, Tau Capital Partners sues Mushinge for fraud
A British company has sued Zamsort Managing Director, Mumena Mushinge for fraudulently stealing five million shares.
Tau Capital had bought shares in Mushinge’s company, Zamort, for US$3, 276, 000 in exchange of 5, million shares.
But in his crooked way, Mushinge instead fraudulently transferred the shares without the knowledge of Tau Capital to another company of his, Terra Gold Barbados Inc. This is despite the fact that Tau Capital had already paid for the 5 million shares to Mushinge and his company Zamsort.
According to Court documents obtained by the this publication, in 2006 Mushinge had approached Tau Capital Partners Incorporation, a British registered company, requesting for Capital financing of his company, Zamsort mining operations at Kalaba Mines in exchange for shares in his company, Zamsort.
“After conducting a due diligence, Tau Capital through it nominee, Copper Company Inc “Copco” entered into an earn-in agreement dated 19th May 2006 with Tau Capital committing to finance Mushinge and Zamort with US$4, 000, 000. Tau Capital then paid an initial disbursement of US$3, 700, 0000 to enable his company, Zamsort meet its obligations to third parties.
“By virtual of the signed agreement, Mushinge granted Copco (Tau Capital ) the exclusive right to earn on the staggering basis of up to 100% ownership interest in his Kalaba mine.
For the transaction, Mushinge and Zamsort were paid the sum of US$3, 276,000 and “held US$500, 000 in trust to facilitate exploration operations in some areas to which the mineral tenancy provided.”
According to the documents, on or about 16th May 2006 Corpus Globe applied to the Ministry of Mines and Mineral Development for the transfer of shares from Mumena Mushinge's company to a nominee Zambian company to hold the Tau Capital shares, Corpus Globe, which was approved by the Ministry.
Accordingly, the loan agreement, Mushinge and Zamsort were to transfer 4, 999, 999 ordinary shares in Zamsort and shareholding in the small scale mining license in Kalaba to Corpus Globe on behalf of Tau Capital.
“Tau Capital nominated Corpus Globe as the nominee to hold the 4, 999, 999 ordinary shares on its behalf in Zamsort.
“On or about 26th May 2006 Corpus Globe was entered into the register of members and the register of transfer respectively and participated in the activities of Zamsort as shareholder by appointing three (3) Board members.
However, on unknown dates and in breach of the security agreement Mushinge changed the shareholding in Zamsort.
A search at PACRA revealed that the shareholding in Zamsort (held by Corpus Globe) had been altered and showed that Terra Gold Barbasdos (another of Mushinge’s company) was the sole shareholder in Zamsort holding the 5,000,000 shares.“The purported transfer of the shares was irregular and fraudulent and or in breach of the security agreement entered into, stated the c
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