New law against cash vending

money

Fidelis Munyoro, Harare Bureau
THE Government has gazetted regulations that criminalise cash vending without permission from the exchange control authority and empowered police to arrest money peddlers and seize whatever currency involved.

In an Extraordinary Gazette published yesterday, President Mugabe issued Statutory Instrument 122A of 2017 — Exchange Control (Amendment) Regulations 2017 (No 5) — to deal with the widespread cash vending on the streets.

This comes after Government’s realisation that cash vending had become a catalytic agent to the price madness obtaining in the country.

President Mugabe amended the Exchange Control Regulations of 1996, published in Statutory Instrument 109 of 1996, in particular section 2 of the principal regulations.

The amendment was done in terms of Section 2 of the Exchange Control Act (Chapter 22:05).

According to the changes, Section 40 (Orders) of the principal regulations was amended by the insertion of subsection (2c) after subsection (2b).

The inserted subsection relates to dealing in currency and provides that: “an authorised officer or a police officer acting to enforce any order — (2c) (a) may, for the purpose of holding the currency as exhibit in subsequent prosecution, seize any currency upon a reasonable suspicion that the possessor thereof is dealing in it unlawfully, that is, in contravention of any order or any provision of the Act or these regulations by virtue of which the order is made.”

The regulations further stipulate under (2c) (b) that during investigations, any offence occasioned by breach of an order concerning the unlawful dealing in currency, a warrant for the seizure of property may be obtained under the Criminal Procedure and Evidence Act to freeze any banking account of a possessor of currency therein credited, if there is reasonable suspicion that it was or had been dealt in unlawfully.

According to subsection (2d), a warrant referred to in subsection (2c)(b) operates for a period not exceeding six month or until prosecution of the offence relating to dealing in foreign currency is concluded or abandoned.

Subsection (2e) provides that for purposes of enforcing any order — “(a) it is declared, for avoidance of doubt, that any dealing in currency or foreign currency for which any licence, permit or other authority or permission is required by or under these regulations shall, if such dealing is done without such licence, permit or other authority or permission, constitute an offence against section 5(1) (a) (ii) of the Act.

According to (2e)(b), any person dealing in currency and is unable to produce to an authorised officer or police officer a valid licence, permit or other written authority permitting such dealing under the regulations, shall be deemed to have contravened any order or provisions of the Act or regulations.

The regulations come on the back of Government announcement on Wednesday that it has approved a raft of measures to arrest artificial shortages of basic commodities and the price madness triggered by economic saboteurs through social media.

Finance and Economic Development Minister Patrick Chinamasa also pulled the trigger on traders who prefer selling their commodities in United States dollar notes and hike prices for those using bank swipe, bond notes or Ecocash.

At a joint state-of-the-economy address in Harare yesterday, Minister Chinamasa, his Industry and Commerce counterpart Dr Mike Bimha and Information, Media and Broadcasting Services Minister Dr Christopher Mushohwe said the crisis was artificial and there was no need to panic.

The ministers said Government was seriously considering counter-measures to safeguard the economy against social media abusers, including speeding up the enactment of cyber-crime laws. Government, the ministers said, was also working on improving the availability of foreign currency to ensure consistent production and supply of cooking oil and other basic commodities.

Minister Chinamasa said illegal cash vending was rampant on the streets, contributing to economic challenges the nation was facing, hence the need to arrest the vendors and seize their money. He said measures would be put in place to end the four-tier pricing system where prices for one commodity differ depending on the mode of payment. “The four-tier pricing system where traders would charge a price for cash US dollars, a different price for cash bond notes, one for RTGS and another for EcoCash should also come to an end,” he said.

Cabinet, said Minister Chinamasa, had since drafted and approved drastic measures to sanitise business and the measures were now being crafted into a Bill at the Attorney-General’s Office.

 

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  • Mthwakazi

    If they ask the police to cease whatever cash they find from ‘osiphatheleni’; what measures did they out in place to make sure that all the ceased currency will be declared at the police station. The police are about to get rich now. We have seen this movie before at the roadblocks that’s why every police officer has a car. They will make a killing as they loot from currency traders and some officers would be killed in the process.

  • Bongani Dlamini

    Law or no law the political elite who include the president will continue with their plunderous ways and looting.in zimbabwe the law is for those in mabvuku or those of us in magwegwe. The authors of our misery will continue as usual accessing bond notes and selling them in broad day light well protected and insulated from prosecution by the president. Sibuswa zinyoni.

  • qondani

    They can do it from their houses, how long has the gavamenti been looting

    • Zvinochererwa Padzairimwa

      We will raid the houses, remember we have informants everywhere including on this forum.

      • Orenthal James

        You are a liar. You are a zero…nuting….finito…..nada rien..τίποτα..שום דבר….لا شيئ…没有 i repeat …lutho…kitu

        • Zvinochererwa Padzairimwa

          I’m in the police force Bro!!

        • Zvinochererwa Padzairimwa

          I’m in the police force Bro!!

    • Maphila Samuel Nhlabatsi

      Don’t be naive and a fool, you think our police cannot plug those holes, wait and see

    • Zululikandaba Mthoe Zvikonzero

      Lol….sometimes I’ll catch little things this dude says and it just cracks me up. He is creative and one of the Dopest.

  • Ndlovu4482

    Early extravaganza bonanza to Zimbabwe police officers

    • Zvinochererwa Padzairimwa

      yes, and this year is our year, I’m targeting 3 new properties by the end of next year on top of the one I’m already about to finish in Sunninghill. As members of the police this is our year and we thank our gvt for paving the way for us. Pamberi na Amai Pamberi!!, Pasi ne MDC pasi nayo!!

    • Maphila Samuel Nhlabatsi

      what bonus, ZRP is run professionally and it’s members uphold the highest standards of professionalism. That’s the reason why ZRP is always nominated through the organs of the UN to peace keeping missions in East Timor

  • musa

    anyone know where i can find a container of 2 litres cooking oil?

    • Confused

      I bought two yesterday at Choppies,Bellevue.

      • musa

        thank you, on my way there

    • Zvinochererwa Padzairimwa

      Ibvapa mhani iwe, enda ku renkini unotenga apo, kana ku market uko muna 5 street mafuta akawanda.

      • musa

        ndoda emustoro!

    • Nqobile Mthekuzah

      Go to OK Gwanda (Roil 2litres $3.55)

      • Zvinochererwa Padzairimwa

        Ndokwira bhazi Green Horse $10.00 to and from Gwanda to buy something for $3.55, kwaaaaaaks

      • Maphila Samuel Nhlabatsi

        why go to Gwanda when every corner of Bulawayo has cooking oil.

      • musa

        dankie

    • Maphila Samuel Nhlabatsi

      Cooking is awash in each and every store or corner store, you’re the type of people who are spreading rumors that there are shortages trying to incite the masses. We will deal with you be rest assured

      • musa

        which store? OK? Choppies? Pick ‘n Pay? You’re the type of people who bury their heads in the sand & hope things will right themselves. Come and deal with me, threatening me will not stop me looking for cooking oil!

  • Wellington

    Fix the economy first and everything will fall into its place

    • Maphila Samuel Nhlabatsi

      Everything is inn place nothing needs to be fixed, maybe it depends on who you are and how well positioned you are.

  • Zvinochererwa Padzairimwa

    Thank you so much for this law, now I can be able to finish my rural home in Guruve, through the monies I will grab from forex dealers, being in police is very rewarding.

    Isu mapurisa gore rino tichatovaka misha mithathu mithathu nemari dzema forex dealers.

    Enhlek’ Lonyaka thina amaphoyisa sizakwakha imizi eminingi ngey’mali zama forex dealers, uyang’frostan’

  • benjamin

    This law does nothing to tackle the sharks who are the mega-dealers responsible. Only catches the guppies making a few dollars a day to be able to survive with the basics.

  • Think Tank

    There is a saying in English: closing the barn door when the horse has already bolted! This is too little, too late by regulators. The proverbial horse has long bolted and is headed for the hills. No matter how much regulation is pronounced, the bond will “never” return to previous levels. In effect, what we have now is price increases without a corresponding rise in salaries. It’s a disaster. It’s also a mistake to assume the decline of the “bond” was triggered by economic saboteurs. In reality, tax paying businesses have been let down by the Reserve Bank. Business needs a steady, reliable allocation of forex to operate; if they cannot get this from the Reserve Bank they will go to the black market. They do this to keep operating and keep people employed. We have just criminalised all these busineses and the people who keep them afloat.

    • Maphila Samuel Nhlabatsi

      Nonsense, this is pure sabotage from Western sponsored opposition parties, mainly the MDC which is bent on destabilizing the country. We won’t tolerate such acts and we’re going to deal with the perpetrators hashly.

      • Bruce Nzu

        Maphila are you a zimbabwe or someone living a life outside zimbabwe

        • Orenthal James

          Maphila is a professional TROLL with many names. Ngumasakha weinternet.

          • Maphila Samuel Nhlabatsi

            hahaha I like your creativity, “umasaka we internet”, that comment alone has made you gain my respect.

      • Bob

        Then as they are the Reserve Bank, when are YOU going to close down the Reserve Bank?

        • qoqodayo

          kuthiwa yi RBZ egangayo konke lokuvala ifuel ukuthi amapholisa ayehluleke ukusebenza nxa sokujamuka

  • Reason

    Kupererwa uku.
    We have been down this road before.insanity is doing the same things the same way and expecting different results.

    • Maphila Samuel Nhlabatsi

      You’re mad stupid

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    • umazithulela

      lowana hayiii angibuyeli shame,cela ungilungisele ucurrent one

  • MakhosiXamu

    The Govt. must outlaw private individuals from conducting banking activities. The banking system in Zimbabwe needs a thorough overhaul.

    • Zvinochererwa Padzairimwa

      Is changing a few Rands between ourselves a banking activity, the banking system gots nothing to do with this crisis.

      • MakhosiXamu

        You are just a crazy fool. ……. between ourselves?. Usugula ndoda. Osiphatheleni acting as fronts of fat business persons are exchanging large sums of money and making illicit financial deals.

        • Zvinochererwa Padzairimwa

          Also between me and you, wena wagula kudala ndoda, uluhlanya lwe forum, but the thing is, is that a banking activity. Surely with the queues to get our monies banks will be overwhelmed in trying to handle forex issues as well, how about the Burea De Changes

    • Simon

      Another silly comment. Do you mean BANK ACTIVITIES or banking activities? So you want people to keep their money under their mattresses? Isiveti Madoda siyabehlula abanye.

      • MakhosiXamu

        This isn’t a classroom, ndwangu. You got the message and you think its better to conduct English lessons here. Fuseki, nja yothuvi

        • Simon

          That is better. Stick to the last sentence. Bazokubopa telling people not to bank. Are you alright enhlokweni yini? Stick to vernacular .

        • Zvinochererwa Padzairimwa

          Within the last 10 seconds of the 8th round, MakhosiXamu, lands a big right uppercut that sent Simon to the canvas.

        • Zvinochererwa Padzairimwa

          Within the last 10 seconds of the 8th round, MakhosiXamu, lands a big right uppercut that sent Simon to the canvas.

  • Zululikandaba Mthoe Zvikonzero

    Work, work, work, work, work, work
    He said me have to
    Work, work, work, work, work, work
    Rihana at her best

  • xaba

    Police should work hard there is no need for the money changers to conduct banking activities to sabotage the economy, some of them even operate from within supermarkets near the cash till and manhandle you when you try buying with cash, something is totally wrong. These people should face stern measures, you find that there is no money in the banks and at times zimswitch is off line making the workforce unable to access their salaries. No to money vending

  • Ras Makate (Mutunhu une Mago)

    Too little, too late, how about dealing with the real causes rather than the symptoms. Anyway as it is right now the money changers on Fort Street are directly connected to the highest offices at Byo ZRP Central and at Southhampton House, so who will arrest them other than perhaps sending in a flying squad from elsewhere without warning the local cops about it… In any case why not deal with the problems that created this situation in the first place, sort out the economy….

    • Zululikandaba Mthoe Zvikonzero

      This is my first encounter with his music… its amazing.

    • nduku

      its not too late the law should be enforced, remember a small stick of matches can cause a huge fire. The police should not tire

  • silungisn

    Mr Chinamasa;s $7 000 000.00 was intercepted at the Border Post,smuggled out side the Country….who is a Sphatheleni either?……who search the searchers?…..

  • Martin Chipimo

    I have not seen the new SI 122A (2017) and how it defines the term ‘trading in foreign currency’ since Zimbabwe is using a ‘multi-currency’ economy? Our learned lawyers can help me in this regard.

  • nduku

    kabavalelwe yizigebenga, bona bayithaphi imali yokulwisana lohulumende

  • Gugu

    Into zesishoneni laboMugabe kwabo so ayingeke madoda.belivele lilindeni all these years did you not see that it was wrong.Everything is for fixing the now without a clear law.