11 December 2009

Zimbabwe: Butau Regains Control of Dande

Harare — DANDE Capital Holdings former chairman, David Butau has regained control of the company after an extraordinary meeting of the company resolved to fire all the four directors who had unsuccessfully tried to wrest control of the company from him.

Mr Butau, on behalf of shareholders holding 55,2 percent of the issued share capital of the company appointed Mr George Chikupo and Mr Tapera Mavura as executive directors into the new board.

The new executive chairman who was ousted out as chairman in February this year - also appointed Mary-Grace Revanowako as another non-executive director.

DCH corporate secretary, Musindo Hungwe said at the EGM, it was resolved to dissolve the whole board of directors by removal of Messrs Wilfred Hlanguyo as the executive director and Danisa Mhlanga as director and chief executive officer.

Non-executive directors Evison Musanjeya and Decent Chitsungo were removed from the board together with its secretaries Peace Be Still consultancy.

"All stakeholders are advised that the new board led by David Butau is the only legitimate board of directors of Dande Capital Holdings and that these are the only persons authorised to act for and behalf of the company.

"The company will not be liable for any loss or damage that might arise from any dealings or transaction done with persons other than the current board," Mr Hungwe said.

The boardroom wrangle at Dande erupted when High Court judge Justice Lavender Makoni on February 4 granted an application by Mhlanga directors, Evison Musanjeya, Wilfred Hlanguyo and Decent Chitsungo for Butau's ouster from the company's board of directors for absenting himself from its meetings in excess of six months without permission.

Mr Butau fled Zimbabwe in December 2007 after police summoned him for questioning in connection with dealings in foreign currency on the black market.

He only returned to the country in March this year to launch a legal fight to regain control of DCH.

Shareholders were of the view that there was general plundering of company assets and an attempt to take over the ownership of the firm by some board members in a manner that was inconsistent with their mandate.

In the first quarter of the year, Butau got a High Court order stopping the sale of the company's immovable property worth US$1 million until his unprocedural removal from the board of the company was dealt with.

The board of directors wanted to sell the firm's commercial stand in Ardbennie and another stand in Avondale.

DCH was incorporated in 2000 and registered in 2002 to offer financial advisory services to local, regional and international organisations.

The company has got seven subsidiaries, El'e Resources (Pvt) Ltd, Cynthesis Agriculture (Pvt) Ltd, Cynthesis Cotton (Pvt) Ltd, Tsakare Chickens (Pvt) Ltd, Timbsbury (Pvt) Ltd, Heldnet Enterprises (Pvt) Ltd and Telequip (Pvt) Ltd.

Copyright © 2009 The Herald. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.