Latest News Editor's Choice


News / National

Fifa to pay $8 million Zifa debts

by Staff reporter
20 Jan 2019 at 09:18hrs | Views
THE Zimbabwe Football Association could be on the road to financial recovery after world football governing body, Fifa agreed to assist extinguish their debt that reportedly stands at $8 million.

Fifa reportedly indicated they, however, would only pay debts that have been verified by auditors. Zifa president Felton Kamambo told Sunday News yesterday that he took the chance to engage Fifa officials when he attended the Caf Awards that were held in Dakar, Senegal a fortnight ago and they agreed to help Zifa pay off its dues.

He, however, said Fifa put emphasis on transparency to ensure only genuine debts are paid.

"I met Fifa officials and I particularly engaged them over the debt that is hanging over the association and they agreed to pay all amounts owed that have been verified by auditors. They want transparency and to ensure these are genuine debts not concocted figures," said Kamambo.

He said as part of the process they would be meeting creditors this week as they seek documents showing the amounts owed are genuine.

Kamambo said after meeting the creditors they will then engage auditors before handing the list to Fifa.

"On Monday we are going to meet some creditors but I don't have the list right now on who exactly we will meet but they include hotels and others but we are likely to meet most of them this week. We want them to assist us by bringing documentation that we owe them. It is a process that we hope to conclude quickly although we will follow all the steps necessary to ensure we come up with documents acceptable to auditors which will ultimately lead to payments," he said.

Kamambo said it was critical for the association to move forward on a clean financial slate to ensure they are able to fund operations and future programmes without the threat of litigation that has been hovering over the association with garnish orders and writs of executions having been handed out against the local football mother body.

After taking over from Philip Chiyangwa last month as Zifa president, Kamambo revealed the association owes creditors close to $8 million, stating they intend to start liquidating the debt within eight months. The debt has been one of the most pressing issues at Zifa and Chiyangwa made unsuccessful attempts in 2016 to evade paying creditors by rebranding Zifa to National Football Association but the plans fell through.

Chiyangwa told the Parliamentary Portfolio Committee on Sports then that Zifa were too broke to pay their debts. He also made attempts to have Government to take over the arrears but he failed.

According to an audit report prepared by Baker Tilly Chartered Accountants, for the year 2017, that was presented at last year's elective congress, the association's liabilities increased from $5 944 656 in 2016 to $8 123 391 by 31 December 2017.

The report names some of the creditors being former president, Cuthbert Dube said to be owed $1 million, the National Social Security Authority is owed $48 890, former chief executive officer, Jonathan Mashingaidze is owed $116 744, while former lawyer Ralph Maganga is reportedly owed $95 000. National Eye Security is claiming over $50 000 while a group of former employees want $195 818, 72. However, the previous Zifa board had questioned some of the said debts, which it had also inherited, pointing out that some figures were cooked up.

Source - zimpapers

Subscribe

Email: