Zimbabwe police arrest at least 11 for overcharging

Mar 2, 2008, 18:44 GMT

Harare/Johannesburg - More than 11 company officials dealing in flour, maize meal and cement have been arrested in Zimbabwe for overcharging, a newspaper reported Sunday.

The arrests comes as the state-appointed National Incomes and Pricing Commission steps up its campaign to weed out 'devious business practices,' said the state-controlled Sunday Mail.

'I can say with respect to cement and flour, in Harare we have so far arrested five players,' NIPC chairman Godwills Masimirembwa was quoted as saying.

'With respect to (maize) meal, a number of millers have been picked up. I believe they are in excess of six.'

Commodities like cement, flour and the staple maize meal are strictly controlled by President Robert Mugabe's government. But in a country where inflation is currently running at more than 100,000 per cent, retailers say they have to hike their prices almost on a daily basis to remain in business.

Last year the government tried to force down inflation by ordering shops and businesses to slash prices by at least 50 per cent. But the move backfired, as factories stopped producing and shops stopped stocking goods.

'What is clear is that some major players in business want to charge as they want,' said Masimirembwa.

'Fortunately, we are now dealing with the millers who are involved in this practice. We have the evidence, but I will not reveal names at this stage because the police are handling the matter.'

Last year more than 23,000 people were arrested countrywide for flouting price controls. Many were fined or sentenced to long hours of community service cleaning government buildings.