Mugabe’s UK Funder Held On Cash Charges
The controversial British property tycoon Nicholas van Hoogstraten has been arrested by police in Zimbabwe amid allegations that he violated the country’s strict currency laws.
Officers say they found large amounts of cash and some pornographic material – reported to be pictures of Hoogstraten, 62, and a 22-year-old woman – during a raid on his home in the capital, Harare.
The move against Hoogstraten – one of the few white land owners to be spared during Zimbabwe’s land reform purge – suggests strains in his close relationship with Robert Mugabe, the country’s president.
An investor in Zimbabwe, Hoogstraten has bankrolled Mugabe’s Zanu-PF party.
The police investigation is believed to relate to the 200 residential and business properties that he owns in Zimbabwe.
Police officers went to his mansion in the Emerald Hill suburb of Harare on Thursday evening and questioned him about allegations that he was charging rents in a foreign currency.
Zimbabwean law prohibits the use of foreign cash to buy local goods and services in an attempt to protect its currency, which has been severely weakened by hyperinflation.
Later Hoogstraten was paraded on state television holding large amounts of cash. It was reported that US$35,000 (£17,600) had been found at his home, as well as small amounts of sterling and South African rand.
He also allegedly had 20 billion Zimbabwe dollars, worth just £2,000 on the black market. A shortage of currency has plagued the country since October last year. It is blamed by the central bank chief on “cash barons” who hoard Zimbabwe dollars to exchange them for foreign currency.
The property tycoon has a number of convictions in Britain. Two years ago a high court judge ruled that he was responsible for the murder of a business rival.
Wayne Bvudzijena, an assistant police commissioner, said on Friday: “Hoogstraten’s arrest… follows reports received by the police that he was charging his tenants in foreign currency.”
Bvudzijena said: “[Hoogstraten] is being charged under the Exchange Control Regulations for charging a service and dealing in foreign currency.” The offences carry the penalty of a fine and forfeiture of cash.
The commissioner said the tycoon also faced possible charges under the censorship act relating to the pornographic material found in his home.
A spokesman for Hoogstraten said that he was held in high regard by Zimbabwean officials and expects the matter to blow over quickly.
He added: “It is extremely unlikely that there would be any substance to reports that pornography was found in his home.”
(Source)
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