The Office of the President and Cabinet (OPC) has initiated a sweeping probe into senior executives at Zimbabwe’s state-owned diamond and mineral marketing entities after revelations that they entered into a high-value partnership with a financially unstable Dubai company without adequate due diligence.
The investigation targets Zimbabwe Consolidated Diamond Company (ZCDC) Acting Chief Executive Officer Dr Douglas Zimbango and Minerals Marketing Corporation of Zimbabwe (MMCZ) General Manager Nomusa Moyo, who reportedly approved a tripartite agreement with TransAtlantic Gem Sales FZCO (TAGS) in August 2025. The deal was meant to facilitate offshore diamond sales but has now triggered concerns of corruption and mismanagement.
According to a directive from the OPC, both executives are to be investigated “with immediate effect,” while the Zimbabwe Anti-Corruption Commission (ZACC) has also begun preliminary inquiries.
Sources close to the matter allege the deal was signed without board resolutions from either ZCDC or MMCZ, in breach of standard governance procedures. “In their pursuit of profit, the executives ignored critical accountability steps,” one official revealed.
Doubts over TAGS’s financial health emerged shortly before the first diamond shipment. Internal communications seen by this publication show that Moyo had raised red flags, noting that TAGS had recorded back-to-back annual losses and had liabilities far exceeding its assets.
In a letter dated October 7, 2025, Moyo cautioned that the Dubai firm’s bank balances were worryingly low, warning of potential default risks that could leave Zimbabwe exposed. TAGS’s audited statements confirmed losses of US$507,675 in 2025 and US$783,046 in 2024, with current liabilities totaling US$1.3 million against assets of US$447,145.
Despite the warnings, Zimbango reportedly defended the agreement, claiming it included “robust safeguards” such as escrow arrangements and clauses to prevent TAGS from assuming ownership of the diamonds.
Government insiders, however, remain unconvinced. “The damage is already done,” said one senior official. “If TAGS fails to fulfill its obligations, Zimbabwe risks both financial loss and international embarrassment.”
With 1.6 million carats of diamonds already prepared for shipment, the government faces a difficult task in limiting fallout from the controversial deal. The probe’s outcome is expected to determine whether disciplinary or legal action will be taken against the executives involved.
“The stakes are high,” another OPC source warned. “There is deep concern that Zimbabwe’s diamond wealth may have been compromised by a reckless and poorly vetted agreement.”
