Business

NetOne employees accuse executives of corruption

Three senior executives at state-owned NetOne Cellular are facing internal allegations of corrupt procurement practices from their own colleagues amid recent fraud charges against the company’s boss, according to insiders.

 

The new complaints emerge amid ongoing turmoil at the corruption-ridden telecoms provider, following the recent arrest of its chief executive Raphael Mushanawani on seperate fraud allegations.

 

Mushanawani was arrested over US$1.2 million fraud charges as part of a boardroom power struggle between him and chief commercial officer Learnmore Musunda who is said to be eyeing his job.

 

Masunda denies he is trying to tarnish Mushanawani to stop him from getting a contract renewal, but insiders insist that is what is actually happening.

 

The boardroom fight between Mushanawani and Masunda has drawn in politicians on both sides with names of powerful power brokers, including from State House, being used for leverage.

 

Mushanawani is out on bail after he was arrested and detained for two days by the Zimbabwe Anti-Corruption Commission (Zacc) last week.

 

However, the NetOne board and management strongly support him and resolved last Friday to stand by his leadership.

 

Sources say officials currently under scrutiny over corruption allegations include marketing executive Catherine Gijima, head of procurement Bornface Chidzodzo and Masunda who previously was Mushanawani’s friend before the fallout.

 

Internal sources say Gijima has repeatedly engaged an unregistered supplier, Brunok Investments, to put up billboards in Manicaland province, Masvingo, Zvishavane, and Gokwe without going to tender.

 

Company whistleblowers say the supplier was contracted through verbal instructions and a gentleman’s arrangement, while in the process bypassing mandatory competitive tender procedures.

 

Standard procurement protocol at parastatals requires an approved internal memo and request for some quotations through the procurement department, with the contract typically awarded to the lowest bidder taking into account the price, capacity and quality.

 

In this case, insiders say that Brunok Investments had been on-site erecting billboards well before any official paperwork was initiated.

 

This irregular process, they add, exposes NetOne to potential significant financial risk and loss.

 

The allegations of corruption have prompted calls for an official NetOne and Zacc investigation into the problem.

 

One source said the arrangement warrants scrutiny by Zacc to ensure the integrity and viability of the state-owned enterprise. Gijima said she could not comment on the issue.

 

“These issues are under the purview of procurement and I can’t comment,” she said. Chidzodzo said he had no actual facts since the process was done by his juniors.

 

“As we speak, I do not have actual facts because the process was done by my junior officers. I need to go through the documents to know what really happened,” he said.

 

Masunda has denied any involvement in the Mushanawani case.

 

Mushanawani and Masunda’s battle which has exploded into public spectacle has opened a pandora’s boxt at NetOne which has a history of boardroom fights and corrupt practices over the years.

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