Malcolm Mycroft, former CEO of Meikles Limited, secretly signed a memorandum of understanding with United Arab Emirates (UAE)-based Albwardy Investment for the sale of the company’s stake in Victoria Falls Hotel, apparently without board involvement of administration. Nehanda Radio can exclusively reveal.

This unauthorized move reveals alarming governance gaps within the company.

Mycroft’s firing earlier this month stemmed, among other things, from allegations of unfair pay advantages. Further investigations by this publication revealed blatant disregard for corporate governance principles.

Mycroft, without the knowledge of the Board of Directors, negotiated the unauthorized deal without a proper valuation of the shares and without the approval of the Board of Directors. This violation would have compromised transparency and accountability.

Meikles Limited and African Sun jointly operate and manage the Victoria Falls Hotel, each holding 50% of the shares. Mycroft sought to sell the company’s stake to Albwardy Investment, a diversified portfolio company based in the United Arab Emirates, without consulting the hotel’s co-owners, Africa Sun.

Notably, Albwardy Investment previously acquired the Meikles Hotel in 2019, renaming it Hyatt Regency The Meikles Harare.

Mycroft’s unauthorized actions sparked controversy, including a lack of appropriate stock valuation and excessive, unapproved salary benefits.

Additionally, Mycroft received an exorbitant and unapproved monthly salary of US$60,000, again without board involvement, raising suspicions of currency looting. The State Economic Conduct Inspectorate is currently investigating the matter.

This disparity contrasts sharply with the monthly income of junior employees which amounts to just US$100, plus Zimbabwean dollars.

Senior buyer Walter Stephens also benefited from disproportionate compensation, earning US$20,000 a month, outperforming TM Pick n Pay superiors and Meikles executives.

Plans announced by Meikles Limited Chairman John Moxon to reinstate Mycroft have sparked concerns among stakeholders.

A source close to the development described the situation as “a blatant disregard for corporate greed and governance”.

“What I can tell you is that this saga reeks of blatant corporate greed and blatant disregard for governance,” the source told Nehanda Radio.

“Unauthorized transactions by Mycroft and the president (John Moxon) are red flags. The board of directors has since noticed this. The struggle to restore order continues. He (Moxon) is also involved in an unprecedented plan to reinstate Mycroft.

Interestingly, John Moxon issued a notice to shareholders last week, through Meikles Consolidated Holdings (MCH), condemning the actions of the board of directors of Meikles Limited, citing irregularities at their meeting of October 1, 2024 who fired Mycroft, his ally.

Moxon argued that the meeting lacked a quorum and a proper agenda. Moxon disputed the allegations against the former CEO.

Moxon further announced its intention to take legal action against the directors and officials responsible. The MCH requested an extraordinary general meeting to vote on the dismissal of the directors involved.

Matthew John Stewart Moxon, John Moxon’s son, serves as CEO of Meikles Limited. Mycroft remains managing director of TM Supermarkets until Pick n Pay South Africa, the supermarket’s partner, decides his fate.

Meikles Limited company secretary Thabani Mpofu was not available to comment on the issues raised at the time of writing this article.

He simply said, “I’m in a meeting.” I will come back.