Cassava Smartech, the parent company of Ecocash – Zimbabwe’s biggest mobile money payment platform, have stated that in order for them to fully comply with the directive from the RBZ, they would effectively need to shut down the whole Ecocash system, as the ability for one to Cash-In and Cash-Out is core to their system.
The company revealed this in its urgent application at the High Court which is meant to stop the implementation of the directive by the Reserve Bank of Zimbabwe.
The RBZ directed that cash-in, cash-out and cash-back should be suspended as they were fueling money laundering.
Part of Cassava Smartech’s application reads:
The Respondent (RBZ) has directed the Applicant (Cassava Smartech) to shut down the cash in and cash out facilities of its system purporting to be acting under Section 10 of the National Payments Systems Act [Chapter 24: 23]. The Applicant is already in the process of implementing the Directive with the possibility of a complete shut down of the Ecocash platform as a whole to enable completion of the process.
