Six bosses buy vehicles for council but register in their names
Six Bikita Rural District Council (RDC) managers have appeared in court over vehicles bought by the local authority but registered in their individual names.
The six are appearing before Masvingo Provincial Magistrate Farai Gwitima and the verdict will be delivered next week.
The accused are Arnold Mutuke (Engineer), Bonface Nerumedzo (Housing and Planning Officer), Nomatter Gezera (Administrator), Morgan Madhura
(Social Services Director), Never Mavhuna (Finance Manager) and Philemon Madara
(Internal auditor). The six were arrested together with the late Bikita RDC Chief Executive Officer (CEO) Peter Chibhi for breaching the Public Finance
Management Act after they borrowed US$191 000 from African Century Limited to
buy top range vehicles without approval from Government. The vehicles were bought from Faramatsi and the loan attracts interest of US$30 000 which culminates into a prejudice to council of US$222 000.
Section 65(1) of the Public Finance Management Act (Chapter 22:19) strictly restrict public entities from borrowing money or issuing a guarantee, indemnity or security or enter into any transaction that binds or may bind that entity or the consolidated Revenue Fund to any future commitment, unless such borrowing, guarantee, indemnity, or other transactions is authorized by the enactment which established or governs it, so long however as the applicable provisions relating to this Act are complied with.
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