News / National
Zim local authorities sucked in salary scams
08 Oct 2014 at 05:23hrs | Views
SEVERAL local authorities have been implicated in a scandal involving the corrupt allocation of stands, payment of ghost workers and outrageous salary increments without following laid down procedures, it has emerged.
In her 2012 report, Auditor-General Mildred Chiri noted that Harare City Council was collecting rentals for its properties in foreign currency when the tenants had their lease agreements denominated in Zimbabwe dollars, creating room for fraud through connivance and understatements.
In Chitungwiza, the audit observed that management irregularly awarded themselves car loans to the tune of $300 000, while in Chipinge salaries for ghost workers were deposited in some senior council officials' accounts.
In Mutare, the town clerk usurped the powers of the housing department to allocate stands in circumstances that smacked of corruption.
According to the audit report, management at Chitungwiza awarded themselves car loans amounting to about $300 000 without any supporting documents like application forms and loan agreements.
Chiri noted that management in the town granted themselves loans without formalising them, a situation that she said raised the risk of loss in the event of disputes, and a recipe for fraud.
The audit also showed that over $1 million was withdrawn at different intervals, but no supporting documents were produced to show the purpose for which the money was withdrawn or transferred.
With respect to Mutare City Council, the audit report showed that the town clerk, whose name was not given, usurped the role of the housing department to administer commercial, institutional and industrial stands.
The audit could not authenticate the basis used to select beneficiaries since there was no waiting list maintained by the local authority.
On Chipinge town council, the audit unearthed ghost workers where 13 people were on the payroll whose existence could not be validated through personal files or letters of appointment.
In her 2012 report, Auditor-General Mildred Chiri noted that Harare City Council was collecting rentals for its properties in foreign currency when the tenants had their lease agreements denominated in Zimbabwe dollars, creating room for fraud through connivance and understatements.
In Chitungwiza, the audit observed that management irregularly awarded themselves car loans to the tune of $300 000, while in Chipinge salaries for ghost workers were deposited in some senior council officials' accounts.
In Mutare, the town clerk usurped the powers of the housing department to allocate stands in circumstances that smacked of corruption.
According to the audit report, management at Chitungwiza awarded themselves car loans amounting to about $300 000 without any supporting documents like application forms and loan agreements.
Chiri noted that management in the town granted themselves loans without formalising them, a situation that she said raised the risk of loss in the event of disputes, and a recipe for fraud.
The audit also showed that over $1 million was withdrawn at different intervals, but no supporting documents were produced to show the purpose for which the money was withdrawn or transferred.
With respect to Mutare City Council, the audit report showed that the town clerk, whose name was not given, usurped the role of the housing department to administer commercial, institutional and industrial stands.
The audit could not authenticate the basis used to select beneficiaries since there was no waiting list maintained by the local authority.
On Chipinge town council, the audit unearthed ghost workers where 13 people were on the payroll whose existence could not be validated through personal files or letters of appointment.
Source - Herald