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MPs refuse to repay car loans, threaten to attend parliament in overalls

by Staff reporter
27 Jan 2012 at 05:26hrs | Views
Lawmakers insist they will not use the US$15 000 windfall they recently received from Treasury to offset their car loans. Most legislators argued that they could not pay for vehicles they used for Government business.

Some legislators have threatened to attend Parliament in overalls saying they could not afford formal clothes. They argue that their colleagues in the region are being paid over US$10 000.

The $15 000 windfall constituted their outstanding sitting allowances.

Last year, the Parliamentarians proposed that Treasury use their allowances to liquidate their vehicle loans, but the allowances ended up being deposited into their accounts early this month.

Investigations showed that the lawmakers might not even pay back the money because the responsible authorities are not reclaiming the money.

About 250 MPs were given US$30 000 each to buy vehicles in 2009, but did not sign any contract forms with Treasury.

The legislators argue that they are being paid too little to repay the loans taking advantage of the fact that they did not sign any forms with repayment terms.

Secretary for Finance Mr Willard Manungo said it was Parliament's responsibility to recover the money while Parliament administration argues it was never involved in the transactions.

Mr Manungo said there was a vehicle revolving fund that was managed through Parliament.

He said it was up to Parliament administration to ensure the money was recovered.

Clerk of Parliament Mr Austin Zvoma distanced Parliament from the scheme, saying it was the responsibility of the issuing authority to recover the money.

Former Attorney-General Mr Sobusa Gula-Ndebele said Treasury should recover the money from the legislators even if they did not sign the forms.

"In Zimbabwe, a contract doesn't have to be written and the fact that you realise you are not paid enough doesn't take away your obligations," Mr Gula-Ndebele said.

It is understood that the flat US$15 000 legislators got was almost half of what other MPs are entitled to.

Sources who attended some of the negotiations between Treasury and the legislators said MPs had made it clear to Treasury that they would not pay.

"Staff from Treasury were told that until such a time when legislators are paid reasonably, that is only when legislators will pay for those vehicles," a source said.

"This US$15 000 is for allowances for three years, meaning that one is getting US$5 000 per year and with such a figure what can one buy?"

Another source said, the windfall had not "been felt" because of debts.

Most legislators argued that they could not pay for vehicles they used for Government business.

Source - TH