eBusiness Weekly
Hebert Zharare
Two directors in the Ministry of Transport and Infrastructural Development, who are part of four senior officials suspended for attempting to block a probe into rampant abuse of public funds meant for rehabilitation of countryside roads have been freed on a technicality.
Business Weekly understands that the directors Angeline Karonga, legal director and Engineer Eric Gumbie, who is director of roads were exonerated from the charges in a letter by the Public Service Commission secretary Dr Mariyawanda Nzuwa dated September 11.
The letter was addressed to Secretary for Transport and Infrastructural Development Dr Machivenyika Mapuranga for him to act on the duo’s case with immediate effect and allow them to resume work.
This comes as Eng Gumbie also escaped unscathed in a case where Zimbabwe National Roads Administration (Zinara) had raised a red flag on massive abuse of funds in the Airport road deal that the Zimbabwe Anti-Corruption Commission (ZACC), however, closed under unclear circumstances according to documents.
Karonga and Eng Gumbie are accused of awarding tenders on public works to construction firms in which they are directors or those they are linked to. Zinara technical director Engineer Moses Juma and Goromonzi RDC chief executive officer Trust Madhovi, are some of the public officials reportedly axed alongside Eng Gumbie and Karonga.
Reads the PSC letter to the ministry: “Reference is made to your minute dated 8 September 2017. Please be advised that in terms of Section 42 (2) (a) of the Public Service Regulation 2000 as amended.
“The disciplinary authority for the purpose of section 44. 47 and 48 shall be in the case of a member in a senior grade, the Commission.” “Section 48 (1) of the same regulations provides that, “A disciplinary authority may at any time by written notice suspend from service a member who is suspected of misconduct or is subject to criminal investigation or prosecution if continued attendance at work or continued performance of his duties or services as the case may be.
“In light of the above mentioned provision, the suspension of Messrs Gumbie and Karonga are null and void as they were not done by the correct disciplinary authority who in the member’s case is the Commission as the members fall in the senior grade. The secretary is hereby directed to cancel the suspensions dated 25 August 2017. Members should report for duty with immediate effect.” The latest development dampens the probe into the matter.
Earlier reports indicated that Government’s investigating team was appointed in terms of Section 46 (2) of the Procurement Act after the Office of the President and Cabinet (OPC) directed the State Procurement Board (SPB) to commission an investigation into various contracts flagged in a forensic report on Zinara by Grant Thornton.
Reports had indicated that the team —comprising officials from the SPB, the Auditor-General’s Office and the National Economic Conduct Inspectorate (NECI) — reviewed the procurement process of tender awards under Zinara’s special projects valued at $71,5 million and R31,5 million ($2,5 million) covering a five – year period from 2011 to 2016.
The suspensions of the four public officials follow letters written by SPB executive chairperson Ambassador Buzawani Mothobi on August 22, 2017 to the Ministry of Transport, Zinara and the Ministry of Rural Development, Preservation of National Culture and Heritage.
Eng Gumbie’s freedom on the above charge comes amid reports that ZACC, exonerated him from any wrong doing in the case in which he was accused of hiring his own company, Tencraft Investments to supply equipment without going to tender or declaring interests during the construction of the Airport Road.
The operations of ZACC raised eyebrows with the First Lady, Dr Grace Mugabe, recently in Chinhoyi expressing displeasure with the way it conducted its investigations on many issues.
It is alleged that Karonga and Civil Aviation Authority of Zimbabwe (CAAZ) chief executive officer David Chaota are co-directors in Akodec, a company that features prominently as a contractor for road works that were funded by Zinara.
Despite the fact that Zinara in its Airport Technical Audit Report of June 2015 raised a number of irregularities in the manner some senior directors handled the construction work after Government took offer from Augur Investments, ZACC closed the cases under unclear circumstances.
A ZACC summation of cases indicated that the case C/S 174 of the Code (Criminal Abuse of Duty) handled by an investigator a Mandofa, involving the accused (Eng Gumbie) who was the principal director of Airport Road Construction, hired his personal company Tencraft Investments to supply equipment without going to tender or declaring interests was referred for closing.
ZACC spokesperson, Phyllis Chikudura, said she needed more time to peruse and understand how the Eng Gumbie case was concluded. This is despite Zinara in its technical audit report detailed that the Department of Roads in the Ministry of Transport and Infrastructural Development took over the project without proper documentation.
Zinara pumped $14 818 893.18 for Coca Cola, Dieppe to Harare Drive and Airport main gate realignment intersection. The scope variation changed in October 2014 when Dieppe to Coca Cola was brought on board but no communication was made to Zinara by the Department of Roads.
The audit report indicates that Zanara paid $11 444 694.21 as at 30 June 2015 and there was an outstanding payment of $3 337 123.61 and drainage works from Dieppe to Coca Cola section had an outstanding amount of $300 000.
From Zinara’s budget, Equipment was $5 141 301 (most of it supplied by Eng Gumbie’s Tencraft), wages $1 119 689.61, major materials $5 335 854. 48, asphalt overlay $2 500 339.05 and accessories and safety $684 633.80.
In its report the road administration observed that 52 percent of the project money was consumed by equipment hire, 36 percent by road related materials, 8 percent went to wages and 4 percent to accessories and safety materials.
In its observation, Zinara argued that poor project management planning on the part of the implementer left a lot to be desired as the road department was just buying excess materials, resulting in money being tied in unwanted materials.
Despite costing the project millions on equipment hire charges, the aging machines had low efficiency as there were frequent breakdown, leading to stalling of lead activities.
Some subcontractors lacked capacity as they used hired equipment which they had limited control over, while the project started without full set of construction designs and drawings.
There was suspected ghost workers given that standard daily returns were not being compiled, alleged Zinara. The road administration noted that the movement of material in and out of the project was not properly documented, pausing a risk of double financing of projects running concurrently.
Zinara then recommended that future projects be handled by the department of roads, scope of the projects was supposed to be clearly spelt out while cost of hiring equipment would be solved by buying new ones such as graders, tipper trucks and pavers.
The authority noted that mixing the use of equipment led to likelihood of double financing of projects.
