HARARE – Five fraud suspects have been detained on suspicion of ochestrating an airtime fraud scheme that cost NetOne, a mobile network operator, well over $550 million.
After defrauding the State-owned corporation of US$565 999 964 via a pin-less credit airtime transfer facility, three NetOne employees, a bulk airtime dealer, and his employee were arraigned before a Harare Magistrate court last week.
Simbarashe Mandimutsira, James Mwanza, Faith Ndagurwa, Primrose Maireti, and Kumbulani Nyapfumbi were remanded in custody pending their bail applications.
It is the State’s case that on January 25 this year, detectives from CID Commercial Crimes Division Northern Region were tipped off that NetOne Cellular (Private) Limited employees were stealing pin-less credit airtime and supplying dealers.
The State alleges that they would then resell the airtime at a price with a higher discounted margin than NetOne.
On January 26, detectives from CID Commercial Crimes Division Northern Region visited NetOne Cellular management and established that its loss control and fraud management team was already carrying out internal investigations following instructions from the chief executive officer, who, according to the State, had been tipped off.
A joint investigation was carried out and established that James Mwanza, a NetOne dealer, had received $50 000 000 transferred using the pin-less facility.
Upon being interviewed, via a trace back method, Mwanza implicated his employee Primrose Maireti, as the person who had sold him the pin-less airtime using the NetOne’s *171# credit transfer channel.
The State claims that $5,000,000 was sold on December 3 of last year, $30,000,000 on December 5, and $20,000,000 the following day.
On December 20, around $203,000,000 was sold, while on January 19, this year, $307 999 964 was sold.
Further investigations revealed that the number 0718 733 958 was activated at the NetOne Julius Nyerere Shop in Harare on December 3 of last year.
Additionally, it was found that members of the NetOne Cellular staff were using Faith Ndagurwa’s login information.
They worked together to fraudulently load stolen pin-less credit airtime onto a NetOne line that was registered in Njanji’s name.
