The Standard

amhzimbabwe

6 The Standard September 14 to 20 2014

Local News

Insurance firms

take Zimra

to ConCourt

The impasse between the two organisations

has now spilled to the Constitutional Court

BY CHARLES LAITON

Daggers have been drawn

between the Tour Operators

Business Association

of Zimbabwe (Tobaz)

and the Zimbabwe

Revenue Authority (Zimra)

with the former accusing the latter

of creating a monopoly in the

issuance of insurance cover.

The impasse between the two

organisations has now spilled to

the Constitutional Court (Con-

Court) with Tobaz seeking to bar

Zimra from “unconstitutionally

operating as an insurance company”

while leaving its mandate of

collecting revenue.

Tobaz is an association of tour

operators in Zimbabwe who provide

a wide range of insurance

services in the country which include

arranging for motor vehicle

Delta, Dairibord

at loggerheads

over advertising

BY FELUNA NLEYA

insurance for foreign registered

vehicles entering the country.

In its application, under case

number CZ23/14, Tobaz cited Motor

Insurance Pool of Zimbabwe,

Zimra and the chairman of the

Insurance and Pensions Commission

as first, second and third respondents

respectively.

The second respondent has

then proceeded to itself issue out

insurance cover on behalf of the

first respondent. It must be emphasised

that the first respondent

is an association of short term insurers

and is not itself an insurance

company and cannot therefore

offer insurance services,” Tobaz

said in its application.

“Zimra has declined to accept

insurance other than that issued

by itself as agent for the first respondent

in the issuance of TIPs.

It published a public notice which

It is a legal requirement that all foreign registered vehicles entering Zimbabwe be issued with a Temporary Import Permit (TIP).

advised that it could only issue insurance

cover for the purposes of

the issuance of TIPs.”

The effect of the above is that

a monopoly has been created by

Zimra, ICZ and Ipec. No one else

can venture into insurance in

the area covered by the monopoly.

There is no legal authority

for this state of affairs. Zimra is

not a registered insurer. It cannot

lawfully issue insurance, even as

an agent of another,” Tobaz added.

Tobaz further said its members

had been barred from issuing insurance

policies or arranging for

the same for foreign registered vehicles

and that much business had

as a result, been lost.

The billboard at the centre of an advertising storm between Delta Beverages and Dairibord

Holdings. Picture: Aaron Ufumeli.

An advertising war has erupted

between two of the country’s

leading beverage manufacturers,

Delta Beverages and Dairibord

Holdings.

Delta Beverages recently erected a

billboard along Rekai Tangwena Road

next to Dairibord Holdings’ factory, advertising

Super Sip, a ready to drink

dairy beverage which was introduced

onto the local market late last year

to rival other existing dairy fruit flavoured

beverages by Dairibord.

The move by Delta Beverages to advertise

competing beverage products

in the vicinity of Dairibord Holdings’

premises has not gone down well with

the milk producer which manufactures

Cascade, a competing nutritious

dairy fruit mix.

“Obviously this is mischief,” Dairibord

Holdings’ spokesperson Emeldah

Shoko said. “Our loyal and valued consumers

know that Dairibord Holdings

products like Cascade, Nutriplus and

Yoghurt are genuine quality dairy based

offerings that contribute towards the

sustenance of good health and should

not be confused with imitations on the

market.”

“Dairibord Holdings has a heritage

of providing nutritious foods and beverages

to the nation and the region which

spans over half a century.”

However, Delta Beverages spokesperson

Alex Makamure defended the

beverages manufacturer’s move, saying

there was no unfair practice as

their advert was placed on a publicly

available space.

“Advertising sites come up at different

times as the space is limited,” Makamure

said.

“We lodged a request for sites and the

supplier had this particular one available.

There is nothing unfair in advertising

a product on publicly available

spaces.”

“We have signed a long-term contract

with the supplier for this site and

we will be rotating our brands as our

brand campaigns evolve.”

This is not the first time that competitors

have engaged in aggressive marketing

campaigns as local cigarette

manufacturer Savannah Tobacco erected

its billboard advertising its products

just at the doorstep of its competitor

British American Tobacco Zimbabwe

(BAT) along Simon Mazorodze road in

Harare.

“This has been an unnecessary

restriction of the applicants’

members’ right to carry on their

profession as brokers and providers

of insurance,” Tobaz said.

According to Tobaz, it is a legal

requirement that all foreign registered

vehicles entering Zimbabwe

be issued with a Temporary

Import Permit (TIP) and that one

of the legal requirements for the

issuance of such a TIP is that the

importer must have valid insurance

cover for the period of the

validity of the TIP.

The applicant contends that

neither the first nor the second

respondents are registered as

providers of insurance in accordance

with the Insurance Act. This

BY CHRISTOpHER MAHOvE

BOgUS municipal police officers

are on the rampage

in Harare’s Central Business

District, extorting money

from unsuspecting street

vendors.

Harare Metropolitan Police

Chief Inspector, Rachel

Mawoyo, told a meeting of

vendors and council officials

in Harare on Thursday that

her office was aware that

there were bogus municipal

police who were confiscating

goods and extorting money

from vendors in the city.

She said council was on

the hunt for the suspects. Mawoyo

said those approached

by anyone claiming to be

from the municipal police

department should demand

identification before surrendering

their goods and money.

“We know that there are

bogus police officers on the

sprawl, some of them that

we know are former employees

who were dismissed

from work a long time ago.

We are looking for them and

we will get them arrested,”

she said.

Mawoyo said any vendor

approached by anyone they

suspected to be a bogus officer

should phone her office

immediately for assistance.

“If anyone approaches

you and you are not sure

about them, call our national

control centre and we will

deploy our officers immediately,”

she said.

is not denied by these respondents,

suffice to say that the Motor

Insurance Pool alleges that it

has been allowed by the minister

responsible for the administration

of the Road Traffic Act to issue

out insurance policies,” Tobaz

said.

“This need not detain us. Only

registered insurance providers

can issue motor vehicle insurance

cover under the Road Traffic

Act. To this end therefore, the

agreement is ultra vires the Insurance

Act and the Road Traffic

Act.”

Zimra is yet to file its response

and the matter has not been set

down for hearing. Tobaz is represented

by Advocate Lewis Uriri.

Bogus municipal police

on the rampage

The vendors had complained

during the meeting

that they were not finding

their confiscated goods

when they followed to the

municipal offices to pay

their fines.

They said some corrupt

officers were also confiscating

their goods and giving

them to their “runners” who

would then sell the items on

their behalf.

Mawoyo said municipal

officials who were engaged

in such acts risked being arrested

and losing their jobs.

“We do not send people out

there to come and steal from

you. It is unfortunate but we

don’t expect that kind of behaviour

from our officers, especially

women officers who

know the pains of looking after

families,” she said.

Mawoyo said confiscated

perishables were supposed

to be forwarded to the Zimbabwe

Republic Police Licensing

Department who

would either destroy or auction

them, adding that the

law on perishables did not allow

council to destroy what

would have been confiscated.

Vendors confirmed at the

Combined Harare Residents

Association (CHRA) organised

meeting that they knew

of Municipal police officers

who had multiple vending

stalls and enjoyed strategic

immunity from the police.

“This patrimonial system

has hit hard those that do

not have their own patrons to

protect them,” CHRA said.

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