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Audit reveals Muchechetere financial abuses

24 May, 2015 - 00:05 0 Views

The Sunday Mail

Former Zimbabwe Broadcasting Corporation chief executive Mr Happison Muchechetere allegedly violated various laws to purchase top-of-the-range vehicles for executives, even as the national broadcaster reeled under a US$66 million debt.

The rot also resulted in digital migration lagging behind.

Mr Muchechetere has since been found guilty of financial mismanagement and unlawful acquisition of an outside broadcasting van by a disciplinary committee chaired by former High Court judge Justice James Devittie.

ZBC board chair Father Gibson Munyoro was not immediately available for comment on the latest allegations.

A forensic audit by KPMG Chartered Accountants revealed how Muchechetere allegedly disregarded tender regulations to pamper himself and other executives with luxury vehicles.

He also stands accused of unprocedurally purchasing a bus and several trucks, and pocketing US$3,5 million between January 1, 2009 and December 13, 2013.

Part of the audit report reads: “Statutory instruments and governing Acts were flouted — purchase of BAW trucks and executive vehicles. The CEO’s set authority limits were violated and he authorised purchase of items above US$50 000.

“User department management were not fully involved in some procurement decisions eg the radio OB van; camera crane. No documented needs assessment and approval process involving the user departments, the procurement committee or executive committee. Instead all barter deals were signed off by the CEO.”

In addition, the audit uncovered a concentration of decision-making powers in Mr Muchechetere’s office.

Out of 13 departmental heads, 10 reported directly to him while the rest reported to the corporation’s three general managers – Elliot Kasu (Finance), Tazzen Mandizvidza (News and Cuurent Affairs) and Allan Chiweshe (Radio Service).

He also allegedly overrode management disciplinary cases and the auditors noted that organisational policies were inconsistently applied.

It is alleged Mr Muchechetere and his management team established a per diem structure that differed from the one prescribed by Treasury and ZBC, prejudicing the company of US$47 653.

Permanent staffers received artistes’ and authors’ fees amounting to US$62 962 while working normal hours and still went on to draw salaries — a clear case of double dipping.

Further, the report states that in July 2014, ZBC’s digital migration project was significantly behind that of other Sadc countries.

The digitalisation deadline is June 17, 2015 and Zimbabwe is back on track to meet it.

The audit also says: “According to the unaudited information as at June 30 2014, ZBC had liabilities amounting to US$66 million. As at the time, there was no defined plan on how ZBC would be able to settle the liabilities.

“Given the demands by the digital migration process, both financial and technical, there is need for the board and management to concentrate on this project with minimal distractions.”

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