A Chinese national accused of misappropriating US$3.65 million from a Zimbabwean lithium company has been denied bail after a Harare magistrate ruled that he posed a flight risk, Mining Zimbabwe can report.
Li Shigang (58), of Borrowdale, Harare, appeared before Harare Magistrate Mrs Jesse Kufa, who denied him bail on the grounds that he is facing a serious offence and has a propensity to abscond from trial.
The matter was remanded to July 29 to allow for the finalisation of investigations.
According to the State, the complainant is Chen Dehu (57), a director of San Ding Lithium (Private) Limited, who resides at Golden Peacock Villa in Borrowdale.
Prosecutor Lawrence Gangarahwe told the court that Li joined San Ding Lithium in 2022 as the company’s Chief Finance Officer and Commercial Manager.
The State alleges that, by virtue of his position, Li exercised full control over the company’s financial affairs, including the collection and disbursement of funds, financial supervision, commercial settlements, payment approvals and overall management of the company’s finances.
Court papers state that on October 12, 2022, Li invested US$630,000 of his own funds into the company, after which he was granted access to its financial systems.
During his tenure, the company is alleged to have accumulated capital exceeding US$3.65 million.
However, prosecutors allege that Li, acting in connivance with an alleged accomplice, Zhu Guozhonga, diverted company funds without the knowledge or approval of the complainant or other company directors.
The State alleges the pair used forged receipts and invoices to conceal the transactions before converting funds intended for company operations to their personal use, resulting in the suspension of the company’s activities.
In addition to the alleged financial misappropriation, prosecutors claim the accused also disposed of two company-owned Toyota Hilux double-cab vehicles and converted the proceeds for personal benefit.
The court further heard that in January 2024, Li and his alleged accomplice resigned from the company without completing formal handover procedures or surrendering key financial documents, including accounting records, reconciliation reports and company books.
According to the State, Li was intercepted by the complainant and another employee, Chen Xingmei, while allegedly attempting to remove company financial records from the company’s premises during his resignation.
Despite repeated attempts by the complainant to recover the records and resolve the matter, Li allegedly failed to cooperate or account for the missing funds.
The State maintains that the total prejudice amounts to US$3.65 million, with nothing recovered to date.
The allegations remain before the court, and Li has not yet been required to plead. Under Zimbabwean law, an accused person is presumed innocent until proven guilty in a court of law.
