The National Indigenisation and Economic Empowerment Board (NIEEB) says it is considering representations from various stakeholders on the deal entered into between a local energy firm, Masawara FMI and government which appears to be flouting the indigenisation and empowerment law.FMI energy entered into an agreement with government where the firm agreed to give 10% shares to workers under the employee share ownership trust, 30 petrol service stations would be sold to existing dealers, while the rest will be leased for 25 years.
However, dealers and workers say the conditions have not been met with the firm only achieving 26% of the required 51% shareholding structures.
NIEEB has been receiving submissions from various stakeholders and the final decision is expected next week after a board meeting.
The boardâ€™s chairman, Mr. David Chapfika says it has emerged that under the deal there were gross misrepresentations to government and the issue will be addressed according to the laws of Zimbabwe.
Affirmative Action Group has since recommended that government should reverse the deal as the failure by the firm to comply will set a wrong precedence.
Masawara FMI took over operations from BP Shell last year on a going concern, hence the workers and dealers were supposed to benefit from the deal for over 20 years.