Millions Looted From Government In Car Deals
The Auditor-General’s report for the Financial Year ended December 31, 2023, which was recently tabled before the Parliament, has revealed significant issues regarding the government’s procurement processes, reported newZWire.
The report highlights how the government has paid large sums of money for a variety of items, including cars, laptops, and furniture, but has often failed to receive the expected deliveries.
Furthermore, the report indicates that little has been done to recover the misappropriated funds or the undelivered goods.
According to the report, unscrupulous individuals have been exploiting the government’s procurement system to their advantage.
These individuals have been awarded lucrative tenders, collected the associated payments, and then neglected to fulfil their contractual obligations to supply the goods.
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These actions have often gone unpunished, with no apparent consequences for the perpetrators.
One such example highlighted in the report involves the Ministry of Finance and Economic Development. In December 2022, the ministry placed an order with Tsapo, a car dealership, for seven Toyota Hilux GD6 vehicles.
However, the report indicates that the ministry never received the ordered vehicles, despite the substantial payments made to the dealership. According to the Office of the Auditor-General (OAG):
The seven vehicles had not been delivered at the time of concluding the audit in September 2023.
According to the report, the Ministry of Finance visited the supplier several times to enquire about the delivery. The officials told the auditor:
An email was sent on March 20, 2023, after three physical visits were made to enquire about the delivery. Thereafter, a formal letter of follow-up was sent on March 23, 2023, as the supplier indicated that they were experiencing supply challenges on the production line. A final demand letter was then sent on April 13, 2023, and the supplier responded that delivery would be done in two weeks’ time.”
However, by May 2024, the cars were still to come according to the Auditor-General.
In another case, in September 2023, the Ministry of Mines and Mining Development ordered a Toyota Land Cruiser Prado VXL and Toyota Land Cruiser 79 for US$193,000 from Burnett Motors.
The Toyota Land Cruiser Prado VXL was delivered in April 2024 but without the papers needed for a change of ownership. The Toyota Land Cruiser 79 was still to come by May this year.
In 2022, the Ministry of Home Affairs and Cultural Heritage ordered 35 cars from Faramatsi Motors for ZWL$182,621,960, according to the Auditor-General’s report.
The government was to pay half of the money before delivery in four weeks. The Ministry paid ZWL$ 175,000,000 before supply. Faramatsi delivered 11 cars, leaving 24 outstanding in May 2024.
The Ministry blames currency depreciation, saying when the order was made, the cost was equivalent to US$1.8 million.
The payments that the government made in 2022 were worth US$888,874, enough for just 17 cars. The Ministry says Faramatsi Motors has now delivered 15 cars and two are left.
The Auditor-General’s report also shows that the Ministry of Sport bought 17 Nissan Navara cars in December 2022 for ZWL$393 171 724 from AMTEC.
Only seven were delivered in 2023, and the rest had still not arrived by May 2024. Reads the report:
In addition, out of those seven vehicles delivered, four of them were yet to be registered in the name of the Ministry.
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