The ManicaPost
Abel Zhakata Senior Reporter —
MUTARE City Council has suspended its acting deputy finance director – Mr Lovemore Makande – on allegations of fraudulently siphoning millions of dollars from the municipality through shelf companies that supplied it with over priced goods.
The suspension is without pay and benefits. In a letter dated August 2, 2017, a copy of which this paper has, acting finance director Mrs Tsitsi Useya said Makande’s conducts was a serious case of fraud which brings council’s name into disrepute.
“You are hereby suspended from duty without pay and benefits in terms of Section 141(4) of the Urban Councils Act (Chapter 29:15) as read with Section (1) of the National Code, Statutory Instrument 15 of 2006 from August 3, 2017, pending conclusion of investigations and disciplinary hearing. The employer has reason to believe that you are guilty of misconduct in contravention of Section 4 (a) and (d) of the code,” reads the letter.
The local authority laid down five alleged acts of misconduct which form the basis of its case against Makande.
“You are suspected of being in possession of and using two identity or national registration documents with names Gabriel Dangare and Lovemore Makande. You are a shareholder and director of a company that supplies council with goods and/or services since March 2016 namely Worthy Warehouse Pvt Ltd which you formed and operate using the names Gabriel Dangare. Gabriel Dangare and Lovemore Makande are one and the same person. The other director of the company is Obert Chafachaipa who is your close cousin. Ignatius Evans and Wilson Dangare who are your young brothers are shareholder and directors of a company called Lenith Investments Pvt Ltd.”
Mrs Useya said Makande acted wrongly by failing to disclose his interest.
“You did not disclose your relationship with the two companies to council. In your capacity as the acting deputy director of finance you processed and/or authorised payment to the above companies for goods or services supplied without disclosing your personal interest, which raises or presents a case of serious conflict of interest.
“You therefore deliberately did not disclose the said conflict of interest to council. Sometime in May 2017 you requested for the company profile for Lenith Investments and Worthy Warehouse from the acting assistant accounting creditor Mr Matonhedze which contained, among other documents, State Procurement Board registration confirmation with the CR14 which lists the directors of the above companies. You took custody of the profiles and to date you have not returned them.”
Mrs Useya said Makande’s conduct was fraudulent. Council has since filed criminal abuse of office charges against Makande and the matter is being handled by detectives at Mutare Central Police Station.
The acting fiancé director is alleged to be the kingpin of a syndicate of employees who siphoned millions of dollars from the municipality through shelf companies.
Town Clerk, Mr Joshua Maligwa, revealed that council was prejudiced through a well-knit corruption ring that involved workers from the buyer’s section and those from the accounts expenditure department.
