US embassy cable - 01HARARE2547

S E C R E T SECTION 01 OF 02 HARARE 002547 
 
SIPDIS 
 
NSC FOR SENIOR AFRICA DIRECTOR JENDAYI FRAZER 
LONDON FOR CHARLES GURNEY 
PARIS FOR BISA WILLIAMS 
NAIROBI FOR TERRY PFLAUMER 
 
E.O. 12958: DECL: 08/29/11 
TAGS: PGOV, PINR, PGOV, PINR, ZI 
SUBJECT: ASSETS OF PRESIDENT MUGABE AND SENIOR GOZ AND 
RULING PARTY LEADERS (C-TN1-01067) 
 
REF: A) HARARE 2379, B) STATE 141230 
 
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CLASSIFIED BY POLITICAL OFFICER TODD FAULK FOR REASONS: 
1.5 (B) AND (D). 
 
1.  (C) BELOW ARE EMBASSY HARARE'S RESPONSES TO REF B 
TASKING QUESTIONS: 
 
A.  (S) THE FULL EXTENT OF PRESIDENT MUGABE'S ASSETS ARE 
UNKNOWN, BUT ARE RUMORED TO EXCEED US$1 BILLION IN 
VALUE, THE MAJORITY OF WHICH ARE LIKELY INVESTED OUTSIDE 
ZIMBABWE.  INSIDE ZIMBABWE, THE BULK OF MUGABE'S ASSETS 
ARE REPORTED TO BE IN THE FORM OF REAL PROPERTY -- HE 
AND HIS WIFE HAVE SIX RESIDENCES, INCLUDING A MULTI- 
STORY MANSION STILL UNDER CONSTRUCTION IN HARARE, IN 
ADDITION TO A NUMBER OF FARMS AROUND THE COUNTRY. 
MUGABE'S NEPHEW, LEO, IS CHAIRMAN OF INTEGRATED 
ENGINEERING GROUP, A FIRM THAT RECEIVED THE MULTI- 
MILLION DOLLAR CONTRACT TO BUILD THE NEW INTERNATIONAL 
TERMINAL AT HARARE AIRPORT (THE TERMINAL OPENED TO 
TRAFFIC IN APRIL 2001).  WE CAN ONLY PRESUME THAT LEO 
MUGABE MADE SEVERAL MILLION US DOLLARS, AT LEAST, FROM 
THE DEAL. 
 
B.  (S) POST HAS NO RELIABLE INFORMATION ON, NOR THE 
RESOURCES OR EXPERTISE TO DETERMINE, THE NATURE AND 
EXTENT OF MUGABE'S OVERSEAS ASSETS.  THEY ARE RUMORED TO 
INCLUDE EVERYTHING FROM SECRET ACCOUNTS IN SWITZERLAND, 
THE CHANNEL ISLANDS, AND THE BAHAMAS TO CASTLES IN 
SCOTLAND. 
 
C.  (S) POST HAS NO FIRM INFORMATION ON THE ASSETS OF 
                          SECRET 
 
PAGE 03        HARARE  02547  01 OF 02  291300Z 
MUGABE'S ASSOCIATES.  SPEAKER OF PARLIAMENT MNANGAGWA, 
JOHN BREDENKAMP AND BILLY RAUTENBAUCH ARE KNOWN TO BE 
MAJOR BENEFICIARIES OF ZIMBABWE'S MILITARY CONTRACTS AND 
MINING CONCESSIONS IN THE DRC, AND THEY ARE PRESUMED TO 
CHANNEL SOME OF THAT WEALTH TO MUGABE.  HOW MUCH WEALTH 
IS GENERATED OR HELD BY THESE INDIVIDUALS IS UNKNOWN. 
MNANGAGWA IS THE CHAIRMAN OF THE FIRST NATIONAL BANK OF 
CONGO AND LIKELY HAS A STAKE IN THE BANK'S MANAGEMENT 
CONTRACT WITH A ZIMBABWEAN FIRM.  BREDENKAMP'S COMPANY 
TREMALT IS REPORTED TO HAVE A 20 PERCENT STAKE IN THE 
DRC MINING PARASTATAL GECAMINES, WHICH HAS GRANTED 
SUBSTANTIAL MINING CONCESSIONS TO ZIMBABWEAN COMPANIES 
CONTROLLED BY ZANU-PF. 
 
D.  (S) WE HAVE NO INDICATIONS OF SIGNIFICANT MOVEMENTS 
OF ASSETS INTO OR OUT OF ZIMBABWE BY GOZ OR ZANU-PF 
OFFICIALS. 
 
E.  (S) WE HAVE NO INFORMATION ON MONEY LAUNDERING 
THROUGH BANKS INSIDE OR OUTSIDE ZIMBABWE. 
 
F.  (S) MUGABE HAS THREE YOUNG CHILDREN (TWO SONS AND A 
DAUGHTER) BY HIS CURRENT WIFE GRACE, AND THEY ALL ATTEND 
PREPARATORY SCHOOLS IN HARARE.  IT IS UNKNOWN WHERE 
GRACE'S CHILDREN FROM A PREVIOUS MARRIAGE ATTEND SCHOOL. 
JUSTICE MINISTER PATRICK CHINAMASA HAS A DAUGHTER IN A 
MASSACHUSETTS COLLEGE, AND ANOTHER CHILD IS SOON 
PLANNING TO ATTEND AN AMERICAN UNIVERSITY.  MNANGAGWA 
HAS TWO DAUGHTERS ATTENDING A TEXAS COLLEGE, AND POLICE 
COMMISSIONER AUGUSTINE CHIHURI HAS A DAUGHTER IN A TEXAS 
COLLEGE AND A SON IN A CALIFORNIA SCHOOL.  HOME AFFAIRS 
                          SECRET 
 
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MINISTER AND ZANU-PF CHAIRMAN JOHN NKOMO REPORTEDLY HAS 
TWO CHILDREN STUDYING IN THE U.S.  MUGABE'S CHIEF OF 
PROTOCOL IN THE PRESIDENT'S OFFICE, AMBASSADOR 
MUNYARADZI SAM KAJESE (AND FORMER FOREIGN MINISTER), HAS 
THREE CHILDREN ATTENDING U.S. COLLEGES.  WE HAVE NO 
ADDITIONAL INFORMATION ON WHETHER OTHER SENIOR 
GOVERNMENT OR RULING PARTY OFFICIALS HAVE CHILDREN IN 
U.S. SCHOOLS.  WE HAVE NO INDICATION THAT A GREATER THAN 
NORMAL EFFORT IS UNDERWAY TO SEND SENIOR OFFICIALS' 
CHILDREN TO SCHOOLS IN THE U.S. OR EUROPE. 
 
G.  (S) THERE HAS NOT BEEN AN INCREASE IN VISA 
APPLICATIONS BY SENIOR OFFICIALS OR THEIR FAMILY MEMBERS 
FOR TRAVEL TO THE WEST. 
 
H.  (S) WE HAVE NO DETAILS ON FINANCIAL INSTITUTIONS 
WHERE GOZ OR ZANU-PF OFFICIALS MAY HOLD ASSETS. 
 
2.  (C) COMMENT: WE ADMIT THIS IS VERY THIN GRUEL, BUT 
WE BELIEVE IT WILL TAKE EXTRAORDINARY MEANS -- BOTH 
SOURCES AND METHODS -- TO DEVELOP THE DETAILED RESPONSES 
SOUGHT IN REF B.  WE LEAVE IT TO WASHINGTON TO DETERMINE 
THE VALUE OF DEPLOYING ADDITIONAL ASSETS -- BOTH 
COMMERCIAL AND INTELLIGENCE ONES -- TO ACQUIRE THIS 
 
                          SECRET 
 
                              SECRET        PTQ2522 
 
PAGE 01        HARARE  02547  02 OF 02  291300Z 
ACTION AF-00 
 
INFO  LOG-00   NP-00    ACQ-00   CIAE-00  DODE-00  DOTE-00  SRPP-00 
      DS-00    EB-00    EUR-00   FAAE-00  FBIE-00  VC-00    H-01 
      TEDE-00  INR-00   L-00     VCE-00   MMP-00   AC-01    NSAE-00 
      OIG-03   OMB-01   PA-00    PM-00    PRS-00   ACE-00   P-00 
      SP-00    TRSE-00  USIE-00  PMB-00   DSCC-00  LBA-00   PRM-01 
      DRL-02   G-00     NFAT-00  SAS-00     /009W 
                  ------------------1842AA  291300Z /38 
P 291249Z AUG 01 
FM AMEMBASSY HARARE 
TO SECSTATE WASHDC PRIORITY 9579 
INFO NSC WASHDC PRIORITY 
SOUTHERN AFRICAN DEVELOPMENT COMMUNITY 
AMEMBASSY NAIROBI 
 
S E C R E T SECTION 02 OF 02 HARARE 002547 
 
SIPDIS 
 
NSC FOR SENIOR AFRICA DIRECTOR JENDAYI FRAZER 
LONDON FOR CHARLES GURNEY 
PARIS FOR BISA WILLIAMS 
NAIROBI FOR TERRY PFLAUMER 
 
E.O. 12958: DECL: 08/29/11 
TAGS: KPRP, PGOV, PINR, ZI 
SUBJECT: ASSETS OF PRESIDENT MUGABE AND SENIOR GOZ AND 
RULING PARTY LEADERS (C-TN1-01067) 
 
INFORMATION.  WE THINK THAT A FIRM LIKE KROLL ASSOCIATES 
                          SECRET 
 
PAGE 02        HARARE  02547  02 OF 02  291300Z 
COULD BEGIN TO UNCOVER SOME ADDITIONAL ASSETS LINKED TO 
THE ZIMBABWE LEADERSHIP, BUT DOUBT THAT MUCH WOULD SHOW 
UP IN THE U.S.  END COMMENT. 
 
ROTH 
 
                          SECRET 
 
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