Pandhari rental arrears shoot up to over $200k Mrs Ncube
Mrs Ncube

Mrs Ncube

Municipal Reporter
Pandhari Lodges and Hotel has not paid Harare City Council rates since dollarisation in 2009, resulting in its debts ballooning to over $200 000. The upmarket hotel is also irregular in terms of building plans, licences rates and other related charges.

Council has given Pandhari a lot of business between 2009 and 2016.

Substantiated figures of the business given to Pandhari for the period 2013 to 2015 amount to more than $40 000, resulting in councillors telling city officials to deal with companies which are tax compliant.

The city early this year revealed that more than 85 000 properties had not paid a cent in rates to the cash-strapped council since dollarisation in 2013, resulting in debts owed to council ballooning to more than $700 million.

According to the recent minutes of the Audit Committee, audit manager Mr Joseph Issa reported that properties from where Pandhari Lodges, weddings and conference facilities operate have not paid municipal rates and licences as far back as 2009.

“The outstanding rates and related charges bill is in excess of $200 000 as at January 31, 2017,” reads the minutes. “There was no concrete action that had been taken against Pandhari despite owing such large amounts.

“Council policy required that when organisations accrue so much, the matter be handled by the legal affairs division through courts.

Pandhari was never referred to the legal division for court action.

“Pandhari Lodges and Hotel have drilled boreholes on council land in Umwinsdale and they have paid water to their premises in Glen Lorne without council approval and development permits to that effect.”

According to the audit report, the owners of Pandhari are using the same council land where they drilled boreholes to conduct a commercial grass entity and a butchery, again without any lease agreement with council.

According to the minutes, the Pandhari managing director could not be interviewed as he remained elusive to the point of not answering his mobile phone when called, despite accepting through a telephone conversation to meet audit personnel.

“The committee enquired why council was dealing with an illegal business occupant who was not paying rates to the city and acting town clerk Mrs Josephine Ncube said there was lack of coordination between council divisions such as billing, bookings and inspectorate,” reads the minutes.

“The committee recommended that every illegal activity at Pandhari be corrected and further recommended that in future the city should deal with businesses which are tax compliant. The committee also enquired why the borehole permits were not granted since 2014.”

Mrs Ncube told the committee that the anomaly had since been rectified.

Council resolved that the finance department take urgent action to immediately recover the outstanding amounts from Pandhari Lodges and business units and that the director of works urgently regularises the developments at Pandhari lodges and conference facilities in terms of building plans.

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