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Exposed: Secret perks for council bigwigs

Trust Freddy-Herald Correspondent

Top officials at Harare City Council have been accused of a scandalous cover-up of their huge salaries and benefits at a time when service delivery is woefully lacking.

The allegations were made by Ms Princess Mahari, managing director, and Mr Mike Jasi, technical operations officer of Groupview Technologies โ€” a local partner of South African developer Quill Associates when they testified before the Harare City Council Commission of Inquiry.

Quill Associates used to supply the Enterprise Resource Planning (ERP) system, including billing for the council.

The revelations painted a picture of gross irregularities, maladministration and negligence within the cityโ€™s financial operations.

Ms Mahari told the commission that senior council officials were unwilling to integrate their own payrolls into the ERP.

โ€œThis has created fertile ground for fraud, as certain salary payments can be easily manipulated. We found ourselves in constant conflict with city officials who refused to adhere to basic accounting principles.โ€

Ms Mahari disclosed that the officials also obstructed the integration of financial records from major subsidiaries, including City Park, Rufaro Marketing, and Harare Quarry.

โ€œPrior to the discontinuation of the ERP, we submitted crucial reports highlighting deficiencies in the system. Yet, the city officials turned a blind eye, leaving us powerless to address the gaping holes in their financial controls,โ€ she said.

Ms Mahari said the exclusion of executive payrolls, coupled with poor financial practices, had fostered an environment ripe for fraud.

The two Groupview Technologies officials expressed concern that councilโ€™s transactions could be slipping through the cracks, unrecorded and unaccounted for.

They pointed out that the lack of bank reconciliation left room for fraudulent activities.

Mr Jasi pointed out the dire consequences of the cityโ€™s refusal to fully utilise the ERP system, claiming it created a loophole for corruption.

โ€œRevenue generation is the lifeblood of the councilโ€™s operations. Yet, management has consistently delayed critical integrationsโ€”putting finances at risk and leaving us vulnerable to fraud!โ€

Mr Jasi revealed that the cityโ€™s repeated audit disclaimers had tarnished its reputation, casting doubt over its financial integrity.

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