A mining firm, Germany Connections Company Limited, has taken to court four persons, including KLM Royal Dutch Airlines, for alleged involvement in fraud transactions involving shipment of gold bars worth 1,998,000 US dollars from Tanzania to Dubai in the United Arab Emirates (UAE).
Other defendants in the matter filed at the High Court in Dar es Salaam are SJM Gems International Limited and its alleged Chief Executive Officer, Juma S. Juma and one Mike Mwombeki, who trades as Sizya Worldwide Enterprises.
The case came for mention before Judge Augustine Shangwa on Monday and has been set for another mention on November 22, so that the defendants can be served with the plaint of the suit. In the suit, Germany Connections Company Limited demands payments of 740,000 US dollars as the principal sum.
Through Makoa Law Chambers (Advocates), the Germany Connection Company (plaintiff) also requests orders for punitive damages of 300,000 US dollars, payment of general damages to be assessed by the court and several other payments of interests at court rate and costs of the suit.
The plaintiff alleges in the plaint of the suit that the defendants defrauded him in various ways, where SJM Gems International and Mr Juma are claimed to have promised to supply 50kg of gold knowing they have no such capacity.
It is alleged that the two defendants also supplied documents for insurance cover from Niko Insurance Limited for the consignment and that they issued other papers showing particulars for shipment given by the KLM Airlines, which were later doctored and provided particulars differing from time to time.
“The third defendant (KLM Airlines) did issue a letter to the plaintiff trying to justify the transaction and conducts of its officials at Mwalimu J.K. Nyerere International Airport in relation to the subject matter herein,” part of plaint of the suit reads.
It is claimed further that Mike Mwombeki, who trades as Sizya Worldwide Enterprises issued an invoice dated February 23, 2012 to the plaintiff, while the same had never offered their services to him.
The plaintiff alleges that sometime in February 2012, the parties entered into contractual arrangements under carriage, insurance and freight international trading arrangement terms whereby it was agreed that the plaintiff would purchase 54kg of gold bars valued at 37,000 US dollars each.
According to the plaint of the suit, the defendants were supposed to deliver the consignment to the final destination to the plaintiff in Dubai City. It is alleged that the defendants issued to the plaintiff an invoice for a total of 1,998,000 US dollars for the whole consignment.
It is further stated in the plaint that the advanced amount payable to the defendants before delivery of the consignment was 500,000 US dollars, which was supposed to be remitted to the SJM Gems International Limited bank account at Standard Chartered Bank Tanzania Limited.
The plaintiff allegedly paid the defendants 740,000 US dollars as purchase price of 20kg of gold and it was further agreed that payment of the remaining 34kg of gold bar amounting to 1,258,000 US dollars was to be paid to the defendants after the gold is delivered at the agreed destination.
On February 23, last year, it is claimed that SJM Gems International Limited through Mr Juma purported to have exported the said consignment to the agreed final destination, whereby the plaintiff was asked to take delivery thereto on February 26, last year.
After presentation of transport documents, the plaintiff was allegedly informed that the cargo was not gold but rough stones and the documents were not the same as the ones presented to him by the defendant for delivery purposes and that the export was named as Sizya Worldwide Enterprises.
By FAUSTINE KAPAMA, Tanzania Daily News
