AT least 71 of Zimbabwe’s 92 local authorities, including Harare, have failed to avail books for audit by the Auditor-General as suspicion grows that millions of United States dollars were being looted, with municipalities flouting public procurement legal requirements.
MOSES MATENGA
Local authorities, government ministries and parastatals are required by law to submit their books for audit each year, but there is strong suspicion some are deliberately violating the law in a ploy to avoid scrutiny and accountability.
In submitting her findings contained in Auditor-General Mildred Chiri’s report for the financial year ended 31 December 2021 on local authorities, Chiri said there has been evident absence of key policies, non-compliance with laws and other regulatory provisions, poor contract management and mismanagement of assets in most municipalities.
This, in turn, has hampered service delivery that remains at its all-time low across the country.
Previously, several local authorities, including Harare, have been implicated in corruption and looting of resources.
“Redcliff Municipality irregularly procured motor vehicles and equipment worth US$847 962, through a twenty-one (21) hectares land swap deal with a company in the business of chrome processing,” Chiri said in her report.
“Mutare City Council circumvented procurement procedures by acquiring four (4) pre-owned motor vehicles through its subsidiary, Pungwe Breweries (Pvt) Limited. In addition, the City has not been preparing consolidated financial statements despite owning a subsidiary 100%,” she said.
A number of local authorities, Chiri said, made advance payments for goods which were not delivered, with Marondera paying advance for the purchase of 20 drums of catmix but only eight drums have been delivered.
Karoi Town Council also failed to come clean.
“Karoi Town Council paid US$109 000 for the supply of a refuse compactor truck in 2018 which was yet to be delivered. Marondera Rural District Council also paid suppliers of a tipper truck and a tractor backhoe loader in full and has not taken delivery of the equipment,” Chiri said.
The report also showed that Marondera Municipality and Karoi Town Council entered into agreements with third parties for the provision of traffic management systems among others but no sufficient controls were put in place before collection of revenue in pursuant of the agreements.
“As a result, the Councils were not benefiting from the arrangements. In addition, the Marondera Municipality contractor did not adhere to the agreed terms by not providing the initial investment capital as was required.”
The report also noted that two motor vehicles belonging to Matobo Rural District Council were sent for repairs to a local company in 2007 but, 14 years later, the vehicles had not been returned.
Mwenezi RDC in Masvingo has failed to account for a donation of 16 411kgs of game meat from a local conservancy.
The meat, Chiri said, was sold for ZW$93 418, but was not accounted for as per laid down procedure.
“The audit findings warrant the attention of management and those charged with governance. The audit revealed that most weaknesses related to governance, procurement, revenue collection and debt management. There is room for improvement in accountability and transparency in all the Local Authorities,” the damning Chiri report further stated.
“This can be achieved if, among other things, audit recommendations are implemented.”
