Mugabe Minister Accused of Illegal Dealings

The Zimbabwean finance minister, Chris Kuruneri, was detained in Harare at the weekend facing charges of corruption and illegal dealings in foreign currency.

Photographs of the six-bedroomed, eight-bathroomed oceanfront house Mr Kuruneri is building in Cape Town appeared last month in South Africa's Sunday Times, which reported that he was flying to the city once a month to oversee construction, estimated to cost more than £2.25m.

The minister admitted he was building the house at the city's exclusive Llandudno beach but said it would cost just £450,000. He claimed he was paying for it legally with money earned several years ago from overseas consultancy jobs.

But it is illegal for Zimbabweans to hold funds overseas. Further reports revealed that Mr Kuruneri owns two other properties in Llandudno and another house near Vancouver in Canada.

On Friday Mr Kuruneri defended the properties as "family investments" and said he would make "no apologies", adding that as a lawyer as well as finance minister, he knew all his financial dealings were above board. But on Saturday police put him behind bars on suspicion of illegal transactions in foreign currency.

Under draconian regulations issued this year by President Robert Mugabe, Mr Kuruneri could be held for up to 28 days before appearing in court to be formally charged.

The minister is the first senior member of Mr Mugabe's cabinet to face charges in the government's anti-corruption drive, which has seen a few lower-ranking officials jailed. Several directors of banks and businesses have fled Zimbabwe to avoid arrest.

Anti-corruption activists discount the campaign as an attempt by Mr Mugabe, 80, to find scapegoats for the country's disastrous economic decline and to rid his party of challengers to his leadership. The economy has shrunk by 30% since 2000 and inflation has been running at more than 600%, while unemployment is estimated at more than 70%.