- Boardroom squabbles at the centre of suspension
- Internal audit exposes financial misconduct
- Insiders say CEO turned around the company to profitability
NETONE, a government-owned telecoms company, has suspended its chief executive officer Lazarus Muchenje and his finance manager, following an internal audit which is alleged to have exposed some illicit financial dealings, Zim Morning Post can report.
The suspension of Muchenje comes at a time when he has turned around the company from being a high loss making entity to profitability since his reinstatement.
“There are allegations of donations to some clinics without board approvals,” said the source.
Sources said an audit revealed that Muchenje and his finance manager implemented unilateral decisions which had no board approvals, a move that ignited some board room squabbles.
“There is also the issue of buying fuel from the black market with rates which were too high. The prices were way above what the Zimbabwe Energy Regulating Authority (Zera) approved rates and this is a breach of the Zera laws,” an impeccable source told Zim Morning Post.
Insiders, however, say the audit was a witch-hunt process aimed at “fixing Muchenje.”
Efforts to get a comment from Muchenje could not materialise as his mobile phone was not reachable.
Early this month the ICT minister Jenfas Muswere read the riot act to government-owned telecoms companies after reports of financial abuse and corruption.