Home Crime & Courts Illegal forex dealers under fire

Illegal forex dealers under fire

Illegal forex dealers under fire
An illegal foreign currency trader counts notes at a local bus station in the capital Harare, Zimbabwe, November 18, 2016. Picture taken November 18, 2016. REUTERS/Philimon Bulawayo

Story by Tarirai Madhuyu

THE public has lashed out at illegal foreign currency dealers for sabotaging the new Zimbabwe Gold (ZiG) currency.

This comes after more than 120 illegal forex dealers were arrested in a week.

In a move meant to safeguard the country’s new ZiG currency, the Zimbabwe Republic Police (ZRP) has arrested more than 120 illegal foreign currency dealers who are expected to face their fate this Wednesday.

The continued existence of illegal foreign currency dealers on the streets of Harare has left the public fuming.

“We have seen this for quite a long time. This is not the first time we are witnessing this and definitely sure, we shall witness their re-emergence on the streets,” said a Harare resident.

Another noted, “The problem is that we do not have stiffer penalties on illegal forex dealers. I think there should be some stiffer penalties because we have been made suffer by these people.”

“We have been suffering for a long time because of these people. We know that there is no employment in the country, but we should not all suffer the same. There is no hope at the moment until we see tomorrow’s results,” said yet another resident.

Legal expert, Advocate James Makiya, spoke on the need to implement comprehensive domestic regulatory and supervisory mechanisms for banks and non-banking financial institutions to reduce financial crime.

“There is need to tighten screws on the legal framework concerning financial issues. As it stands, in regard to illegal foreign dealers recently apprehended, courts will determine the procedure but there is need for amendment of the exchange regulations cascading from the central bank. Just like what has been done on rape and stock theft cases, there should be a mandatory jail term that should be applied on will be offenders. The central bank should also focus on modalities to closely monitors banks and other financial institutions on how they ought to perform,” he said.

Financial crime has been identified as a major threat to economic stability across the globe, hence sustained calls for it to be nipped in the bud.