Cuthbert Dube, co to pay back US$22m

Cuthbert Dube, co to pay back US$22m

Ex-Premier Service Medical Aid Society group CEO Dr Cuthbert Dube and his management team will be forced to return US$22 million-plus they allegedly siphoned out of the institution between 2009 and 2013, The Sunday Mail has gathered.
This includes cash Dr Dube used on Zimbabwe Football Association missions during his stint as the soccer body’s president, and loans extended to his daughter and son-in-law.
The payback encompasses executives – both former and serving – who evaded tax and “enriched themselves unjustly” following a forensic audit by Ernst & Young. A Government panel is working on the matter and will soon spell out the restitution procedures.
The panel’s guiding document, “Additional Recommendations from the Forensic Audit Findings”, demands “full cash recovery”.
It reads: “All loans and cash paid for trips not on PSMAS business, for example, Zifa, paid to Dr Dube and his executive managers should be repaid. All loans and cash payments (through transfer) which were paid to Dr Dube and executive management must be recovered in full.
“Any monies paid to people other than PSMAS employees, for example Dr Dube’s daughter and son-in-law and other extended family members should be recovered in full.”
The document also says, “Even for those who have since left the employment of PSMAS who unjustly enriched themselves should be followed up and the amounts owed recovered.
“Tax owed to the Zimbabwe Revenue Authority by PSMAS and any staff who benefited without paying tax should be reimbursed to Zimra.”
The 2014-15 forensic audit discovered gross maladministration and abuse of funds at PSMAS.
The audit said 11 executives raked in US$22, 8 million in allowances dispensed outside the official payroll.
At least 390 employees, it emerged, were paid salaries amounting to US$126 million between January 2009 and December 2013. At the time, PSMAS did not have a policy for salary increases.
Salaries were paid on a 40:60 ratio between PSMAS and its unit, Premier Service Medical Investments, from July to October 2012.
Employees received “100 percent salaries” from both PSMAS and PSMI, meaning they received two pay cheques monthly, according to the audit.
PSMAS executive incomes topped US$85 million between January 2009 and December 2013, with bonuses accounting for US$7 million in 2013.
All salary and allowance adjustments, according to auditors, were approved by Dr Dube, who allegedly awarded himself an income that came to some US$500 000 monthly.

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  • MweniTafara

    I hope this recommendation will not end online as more news is loaded.

  • Gejo

    batai munhu varume,

  • heeeeei

    This, coming from government mouth piece, is hard to believe?

  • DIVA

    For Cashbert it will be a heavy blow. we have known the bigman to be loaded but with this 6 million buks he is implicated to have swindled by himself as stated in the forensic audit his fortune will go down once gvt starts recovering these millions. at 6 miilion we are talking of at least 12 double storey houses in the Grange each with at least 5 en- suited bedrooms and a conference room etc. Sorry boss Dube. For Munyonga recovery of the 1.4 million, Mukwesha 1.4 million, Gumbo 1.1 and Mutasa 1.2 million million they “enjoyed” during the funds gobbling era will seriously affect their financial status too. It will be a classic case of riches to rags. most of these monies were enjoyed with side kicks and was never meaningfully invested. At least Mavis Gumbo will get a bit of financial aid from VaCharamba. all the same, i always think that the forensic audit just identified a tip of an iceberg, if we are to investigate all service providers, drug and other medication suppliers etc that did business with PSMAS between 2009 and 2014, we will realise that the 22.8 million that is mentioned in the forensic audit report is just a quarter of what was swindled. Obviously at their rate of looting they couldn’t have fairly done the tendering processes without their hands being oiled. a forensic audit at psmi will also identify other major corrupt office bearers still in service, as well as futher implicate the already implicated cabal. mamwe madhri aiitwa ku PSMI. chokwadi ndechekuti varume vakaba mari zhinji ava. in the meantime lets recover the 22.8 million, if fresh implications arise then tovapamha futi. Mukati Dube, Munyonga, Mukwesha, Gumbo, Mutasa varikuvata hope dzinobata??

  • Phato Sthole

    Recommendation being the operative word.