Opinion / Columnist
Unpacking the nefarious/ corrupt activities at Bindura University
25 May 2017 at 16:19hrs | Views
Thank you for publishing that letter that exposed the corrupt activities at Bindura University of Science Education. Please find, below, parts of what is found in the Forensic Report that I believe that writer was referring to.
Use of More than one University Vehicle by the VC
Clause 12 of the service contract of the VC stipulates that he is entitled to use of only one University vehicle. When he was asked (by the Grant Thornton investigators) why he continued using another University vehicle after the purchase of the Mercedes E350, the VC misrepresented that he was entitled to two University vehicles. There is no mention of the entitlement of the Acting VC to the Mazda BT50 that he uses to date (as the Mercedes Benz has never left a tyre tread mark at BUSE since it was purchased as it is reserved for special occasions that afford the VC some bragging rights like attending other Universities' graduation ceremonies, hence it remains fairly unused) in the terms and conditions of his secondment from the Deanship post that he held at NUST. According to standing regulations, the continued use of more than one University vehicle by the VC should only be with the consent or approval of the BUSE Council. Which, at the time of writing, had not been granted, as there is no Council in place.
Other Benefits at the VC's Official Residence
Some benefits enjoyed by the VC at his official residence are not included in his service contract. These include payments for electricity, water, DSTV and internet bills. These benefits are incurred as an expense of the University. The benefits are also not included as taxable benefits in the hands of the VC on the University's payroll, contrary to provisions of Section 8 (1) (f) of the Income Tax Act of Zimbabwe. This represents a fraudulent act on the part of a taxpayer as far as ZIMRA is concerned and they should be interested in recovering their dues with the attendant penalties from the VC.
Service of an Isuzu Vehicle the VC got from NUST
BUSE paid for repairs and maintenance of the NUST issued and only vehicle the VC had when he was seconded from NUST. The registration number of the Isuzu vehicle is ACR 6421. Availed documents revealed that supplier invoices totalling USD 619 (six hundred and nineteen dollars) were paid as service charges for the VC's personal Isuzu KB vehicle at a time the VC was also using the University's Mazda BT50, registration number ABT 8276. This represents double-dipping which is also a fraudulent act. Under most service/employment contracts such conduct would be regarded a dismissible offense. Even at BUSE, not too long ago, a member of staff who worked in the University canteen was dismissed for allegedly having committed an act of fraud on an amount which is way below this sum!
Fuel Benefit to the VC
The weekly fuel allocation for the VC (200 litres) is issued in the form of both market-redeemable coupons and liquid fuel from the BUSE fuel pump; and documents on hand including supplier invoices indicated that the VC was reimbursed a total of USD 5 132 (five thousand one hundred and thirty two dollars) relating to fuel during the period 30 June 2014 and 3 February 2014 yet he was concurrently receiving coupons and liquid fuel. The reimbursement of fuel expense was found to have implied undue benefit on the part of the VC related to fuel consumption. This is yet another example of the commission of fraud on the part of the VC.
Mobile Phone Expenses
In terms of his service contract, the VC is entitled to a cell phone allowance of USD 230 (two hundred and thirty dollars) per month. The VC, however, incurred a cell phone bill of USD 1 503 on mobile phone +263 712 644 920 for the month of November 2013. That also was a fraudulent act on the part of the VC.
Overpayment of domestic worker and Security Guard Allowances
The VC was over-paid to the tune of USD 19 410 (nineteen thousand four hundred and ten dollars) during the period 1 June and 28 February 2013. This means the VC owes the University a net amount of USD 19 410 which is yet to be recovered as an overpayment on domestic workers and security guards.
Non-involvement of BUSE Investments Committee in investment decisions
The BUSE Investments Committee was found in the Report not to have been involved in managing the financial investments of the University. Hence, when USD 550 000 (five hundred and fifty thousand dollars) was invested in Tetrad there was no evidence that the establishment of BUSE's investment relationship with Tetrad was approved by the University's Investments Committee. The University placed USD 550 000 on 9 October with Tetrad and Tetrad failed to settle the investment on maturity thirty days later. Tetrad proposed to settle the amount through weekly payments until there was an improvement in its liquidity position. A statement of account dated 12 March 2014 revealed that the value of BUSE's investment in Tetrad as at 28 February 2014 amounted to USD 473 026. To date, Tetrad is yet to settle this amount.
Related Parties at Tetrad
The VC confirmed that he had a nephew, Mr Tapiwa Virima, employed at the financial institution at the time the former placed the USD 550 000 with Tetrad without the approval of the Investments Committee. According to the VC, his nephew joined Tetrad as a Graduate Trainee on 1 October 2012 as an Economic Analyst in the Treasury Division. He also represented that Mr Tapiwa Virima was soon to be (promoted) a Dealer at the financial institution. So, the nephew could have benefited from the placement of this huge sum of BUSE funds in Tetrad where the large chunk of it was never recovered.
Purchase of stand 325 Bindura Township without following State Procurement Board Approval Procedures
On 30 May 2013, the VC wrote the then BUSE Council Chairman seeking authority to acquire the property. The BUSE Chairman approved the acquisition on 3 July 2013 yet a payment of USD 250 000 (two hundred and fifty thousand dollars) had already been made to Bindura Haulage (Private) Limited on 10 June 2013. So, what was the point of seeking that approval anyway? The Ministry of Public Works performed a valuation of the stand on 29 July 2013. Please take note of the dates! The inspection for valuation was done after the purchase of the stand agreed upon and a deposit had already been paid. The SPB approved the purchase of the property by the University from Bindura Haulage (Private) Limited on 23 August 2013. Bindura Haulage (Private) Limited offered, on 5 September, to sell the property to the University for an amount of USD450 000. Clearly, State Procurement Board Procedures were not complied with. To make matters worse, after purchasing the property for such a huge sum on the back of the buildings that were erected on the stand, the VC went on to demolish all the structures that were there and erected a library and some other building. BUSE was unnecessarily prejudiced to the tune of the amount that accounted for the buildings as these were razed down after the purchase. This happened when BUSE already had a fully paid for massive University site which has a site for a library on its master plan. The library that was constructed in a light industrial site, opposite a church site, is situated along the main Harare bound commuter omnibus route that renders reading in the library a feat not for the faint-hearted or those with no hearing challenges.
I appeal to those who give deceptive awards (as this VC has to date bought quite a number of those and even thrown parties to celebrate these at BUSE's expense) to desist from the iniquitous tendency of giving tokens of achievement to individuals who may not have done anything worthy to be praised for. Yes, we know that you also need to live under the harsh economic climate, but surely the practice of phoning gullible yet financially loaded individuals or being phoned by individuals seeking to be praised publicly who are willing to part with the huge sums of money you charge for your dinner tables, certificates and plaques upon paying for what you call awards, must definitely rank among the lowest ways of earning a living.
If only we dealt decisively with corruption in this country, a lot of economic progress would be made in Zimbabwe. The President is on record saying, (when one Minister was being accused of corruption) he would act only if he was given evidence of the alleged corrupt activities. Mr President, there is your evidence! In a model country, one would expect to hear that this VC has been suspended and ordered neither to set foot on any of the various campuses of the University nor make contacts with key personnel in finance and human resources departments while investigations are underway. The question is, could Zimbabwe be a member State of these model countries? We will wait and see what the President will instruct the Zimbabwe Anti-Corruption Commission and the responsible Minister to do in the face of this massive incontrovertible hence irrefutable evidence, for us to make decisive conclusions on where we stand as a country as far as our stance on dealing with corruption is concerned!
Use of More than one University Vehicle by the VC
Clause 12 of the service contract of the VC stipulates that he is entitled to use of only one University vehicle. When he was asked (by the Grant Thornton investigators) why he continued using another University vehicle after the purchase of the Mercedes E350, the VC misrepresented that he was entitled to two University vehicles. There is no mention of the entitlement of the Acting VC to the Mazda BT50 that he uses to date (as the Mercedes Benz has never left a tyre tread mark at BUSE since it was purchased as it is reserved for special occasions that afford the VC some bragging rights like attending other Universities' graduation ceremonies, hence it remains fairly unused) in the terms and conditions of his secondment from the Deanship post that he held at NUST. According to standing regulations, the continued use of more than one University vehicle by the VC should only be with the consent or approval of the BUSE Council. Which, at the time of writing, had not been granted, as there is no Council in place.
Other Benefits at the VC's Official Residence
Some benefits enjoyed by the VC at his official residence are not included in his service contract. These include payments for electricity, water, DSTV and internet bills. These benefits are incurred as an expense of the University. The benefits are also not included as taxable benefits in the hands of the VC on the University's payroll, contrary to provisions of Section 8 (1) (f) of the Income Tax Act of Zimbabwe. This represents a fraudulent act on the part of a taxpayer as far as ZIMRA is concerned and they should be interested in recovering their dues with the attendant penalties from the VC.
Service of an Isuzu Vehicle the VC got from NUST
BUSE paid for repairs and maintenance of the NUST issued and only vehicle the VC had when he was seconded from NUST. The registration number of the Isuzu vehicle is ACR 6421. Availed documents revealed that supplier invoices totalling USD 619 (six hundred and nineteen dollars) were paid as service charges for the VC's personal Isuzu KB vehicle at a time the VC was also using the University's Mazda BT50, registration number ABT 8276. This represents double-dipping which is also a fraudulent act. Under most service/employment contracts such conduct would be regarded a dismissible offense. Even at BUSE, not too long ago, a member of staff who worked in the University canteen was dismissed for allegedly having committed an act of fraud on an amount which is way below this sum!
Fuel Benefit to the VC
The weekly fuel allocation for the VC (200 litres) is issued in the form of both market-redeemable coupons and liquid fuel from the BUSE fuel pump; and documents on hand including supplier invoices indicated that the VC was reimbursed a total of USD 5 132 (five thousand one hundred and thirty two dollars) relating to fuel during the period 30 June 2014 and 3 February 2014 yet he was concurrently receiving coupons and liquid fuel. The reimbursement of fuel expense was found to have implied undue benefit on the part of the VC related to fuel consumption. This is yet another example of the commission of fraud on the part of the VC.
Mobile Phone Expenses
In terms of his service contract, the VC is entitled to a cell phone allowance of USD 230 (two hundred and thirty dollars) per month. The VC, however, incurred a cell phone bill of USD 1 503 on mobile phone +263 712 644 920 for the month of November 2013. That also was a fraudulent act on the part of the VC.
Overpayment of domestic worker and Security Guard Allowances
The VC was over-paid to the tune of USD 19 410 (nineteen thousand four hundred and ten dollars) during the period 1 June and 28 February 2013. This means the VC owes the University a net amount of USD 19 410 which is yet to be recovered as an overpayment on domestic workers and security guards.
Non-involvement of BUSE Investments Committee in investment decisions
The BUSE Investments Committee was found in the Report not to have been involved in managing the financial investments of the University. Hence, when USD 550 000 (five hundred and fifty thousand dollars) was invested in Tetrad there was no evidence that the establishment of BUSE's investment relationship with Tetrad was approved by the University's Investments Committee. The University placed USD 550 000 on 9 October with Tetrad and Tetrad failed to settle the investment on maturity thirty days later. Tetrad proposed to settle the amount through weekly payments until there was an improvement in its liquidity position. A statement of account dated 12 March 2014 revealed that the value of BUSE's investment in Tetrad as at 28 February 2014 amounted to USD 473 026. To date, Tetrad is yet to settle this amount.
Related Parties at Tetrad
The VC confirmed that he had a nephew, Mr Tapiwa Virima, employed at the financial institution at the time the former placed the USD 550 000 with Tetrad without the approval of the Investments Committee. According to the VC, his nephew joined Tetrad as a Graduate Trainee on 1 October 2012 as an Economic Analyst in the Treasury Division. He also represented that Mr Tapiwa Virima was soon to be (promoted) a Dealer at the financial institution. So, the nephew could have benefited from the placement of this huge sum of BUSE funds in Tetrad where the large chunk of it was never recovered.
Purchase of stand 325 Bindura Township without following State Procurement Board Approval Procedures
On 30 May 2013, the VC wrote the then BUSE Council Chairman seeking authority to acquire the property. The BUSE Chairman approved the acquisition on 3 July 2013 yet a payment of USD 250 000 (two hundred and fifty thousand dollars) had already been made to Bindura Haulage (Private) Limited on 10 June 2013. So, what was the point of seeking that approval anyway? The Ministry of Public Works performed a valuation of the stand on 29 July 2013. Please take note of the dates! The inspection for valuation was done after the purchase of the stand agreed upon and a deposit had already been paid. The SPB approved the purchase of the property by the University from Bindura Haulage (Private) Limited on 23 August 2013. Bindura Haulage (Private) Limited offered, on 5 September, to sell the property to the University for an amount of USD450 000. Clearly, State Procurement Board Procedures were not complied with. To make matters worse, after purchasing the property for such a huge sum on the back of the buildings that were erected on the stand, the VC went on to demolish all the structures that were there and erected a library and some other building. BUSE was unnecessarily prejudiced to the tune of the amount that accounted for the buildings as these were razed down after the purchase. This happened when BUSE already had a fully paid for massive University site which has a site for a library on its master plan. The library that was constructed in a light industrial site, opposite a church site, is situated along the main Harare bound commuter omnibus route that renders reading in the library a feat not for the faint-hearted or those with no hearing challenges.
I appeal to those who give deceptive awards (as this VC has to date bought quite a number of those and even thrown parties to celebrate these at BUSE's expense) to desist from the iniquitous tendency of giving tokens of achievement to individuals who may not have done anything worthy to be praised for. Yes, we know that you also need to live under the harsh economic climate, but surely the practice of phoning gullible yet financially loaded individuals or being phoned by individuals seeking to be praised publicly who are willing to part with the huge sums of money you charge for your dinner tables, certificates and plaques upon paying for what you call awards, must definitely rank among the lowest ways of earning a living.
If only we dealt decisively with corruption in this country, a lot of economic progress would be made in Zimbabwe. The President is on record saying, (when one Minister was being accused of corruption) he would act only if he was given evidence of the alleged corrupt activities. Mr President, there is your evidence! In a model country, one would expect to hear that this VC has been suspended and ordered neither to set foot on any of the various campuses of the University nor make contacts with key personnel in finance and human resources departments while investigations are underway. The question is, could Zimbabwe be a member State of these model countries? We will wait and see what the President will instruct the Zimbabwe Anti-Corruption Commission and the responsible Minister to do in the face of this massive incontrovertible hence irrefutable evidence, for us to make decisive conclusions on where we stand as a country as far as our stance on dealing with corruption is concerned!
Source - Kudakwashe Ncube
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