Stands scam costs Chitungwiza $13m

Lovemore Meya Herald Correspondent
Chitungwiza Municipality lost $13 million worth of stands that were parcelled out irregularly since 2013, an audit has revealed.

The cash-strapped council only pocketed $1 686 194.

Presenting findings on information submitted to auditors, council audit manager Mr Jimmy Chiundura said all was not well.

“According to the information handed over to audit by the housing department, council from 2013 to 2017 issued residential and commercial stands worth $14 382 541 and only $1 686 194 was received,” said Mr Chiundura.

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“There is no follow-up on land debtors resulting in stands offered as far as 2013 still owing council on land sales. Some of these stands have since been developed without council approval and are enjoying services without any contribution towards such services.

“We have got about $14 million worth of stands which were allocated to beneficiaries since 2013 and only $1,4 million has been received by council making a debt of about $13 million.”

In his recommendations, Mr Chiundura advised council to identify beneficiaries who were not in its database.

“Council needs to identify those who are not in its database. What we are saying is the person has received an offer letter, has not paid and there is nothing actually happening in terms of revenue.

“We need to identify all those not in the council database and find a formal procedure of communicating with those who have not yet paid for their stands in a bid to have them pay or repossess the stands if a workable solution is not reached,” said Mr Chiundura.

He said the housing department facilitated that councillors, council employees and residents change ownership of stands through an affidavit ceding rights of ownership to new allottees.

However, the caretaker commission chairperson, Mr Madzudzo Pawadyira, said there was need to recover the money.

“Legally, we want to get our money – $13 million – which is sitting out there. Town clerk can you prioritise that and follow on all those people who were given stands because we cannot say they were owed services when there is no exchange of money.

“We want to account for all those stands and bill them so that we get our money. We are in serious financial problems as Chitungwiza and yet we got money all over the town which we are not collecting,” he said.

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