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To: IFEX Auto List (other news of interest)
From: Media Institute of Southern Africa (MISA), [email][email protected]

Zimbabwe Alert Update
November 8, 2001
Allegations of cancellation of licence dismissed

The Chief Executive Officer of the Associated Newspapers Company (ANZ),
Muchadeyi Masunda, has dismissed reports alleging that ANZ's investment
certificate had been cancelled by the Zimbabwe Investment Center (Z.I.C).
ANZ publishes "The Daily News", Masunda, in a statement released yesterday
(November 7) said the report was malicious and false and seeks to undermine
the operations and integrity of ANZ.

"The Zimbabwe Investment Center has not cancelled the investment certificate
of ANZ as alleged in the story. The certificate in question, which was valid
for two years, expired on July 27, 2000. Since ANZ had no intention to bring
into Zimbabwe any further foreign investment, it was deemed unnecessary to
renew the certificate," said Masunda. "If ZIC now wishes to cancel an
expired certificate it is their prerogative," said Masunda.

He said that ANZ, like any other company registered in Zimbabwe, operates on
the basis, not of an investment licence, but of its Memorandum and Articles
of Association. It is the Registrar of Companies not the Z.I.C that
authorises and regulates the operation of companies incorporated in
Zimbabwe," said Masunda.

Masunda said that it was difficult to ascertain how Z.I.C, which has
jurisdiction over investments by foreigners in Zimbabwean companies and not
over investments by Zimbabweans in Zimbabwean companies, could purport to
declare null and void the investment by Renaissance Asset Management a
Zimbabwean Company, which invested in ANZ another Zimbabwean Company.

Masunda also dismissed the claim that Wilf Mbanga the founding Chief
Executive Officer of ANZ and Geoff Nyarota, the Editor in Chief
misrepresented information to Z.I.C on the status of Motley Investments a
founding shareholding company in ANZ. Masunda said that the reports that
Motley was not a registered company is false and a creation of people
seeking to undermine the operations and credibility of ANZ, Mbanga and
Nyarota.

Mbanga and Nyarota are now seeking legal advice on a story carried by the
government-controlled "The Herald" which portrayed them as men who
misrepresented information to the Z.I.C. Masunda claims that it is ZIC which
made an error in seeking details about a totally different company at the
Registrar of Companies.

"The Herald story is obviously part of the current campaign by the
detractors of ANZ to discredit "The Daily News" following the dismissal by
the High Court of the case instituted by minority shareholder Diamond
Insurance," said Masunda.

"Never before in the history of corporate affairs has so much energy been
expended by one minority shareholder to cause the downfall of a company in
which it is an investor," said Masunda.

Diamond Insurance is challenging the investment in ANZ by the Renaissance
Asset Management. It is believed that the Z.IC would stick to its
allegations of misrepresentation of foreign shareholding in the ANZ to pin
the publishing company down.