NetOne scandal: Muchenje in the eye of a storm, illicit deals cripple NetOne

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Fired NetOne chief executive Lazarus Muchenje
  • Muchenje allegedly breached his employment contract
  • Reportedly awarded himself allowances without board approval

WOES continue to mount for suspended NetOne boss Lazarus Muchenje after a recent audit reported that he unlawfully awarded himself a holiday allowance of ZWL89 5000 and a December bonus of ZWL507 000, Zim Morning Post has learnt.

The alleged scandal came to light following an audit report carried out by Deloitte and Touche assigned by the Auditor General.

Muchenje was said to have wrongfully and unlawfully paid himself the total sum of ZWL895 000 for air tickets, per diem and entertainment allowance for a holiday with his spouse in contravention of the terms of his contract of employment and without Board approval.

“In November 2019, you wrongly and unlawfully paid to yourself the total sum of ZWL895 000 for air tickets per diem and entertainment allowance for you and your spouse in contravention of the terms of your contract of employed and without the board’s approval,” reads the audit.

Muchenje reportedly breached employment contract Section (4)(d) on theft and fraud, which stipulates that travelling allowances for a spouse are not a part of his contract.

Documents in this publication’s possession reveal that in November 2019, Muchenje his acting Finance officer Tinashe Severa prejudiced NetOne of US$2,240 million “after unlawfully signing an interconnect agreement with Bankai International Private Limited, dated December 10 2019.”

The internal audit also contained allegations that Muchenje and his finance manager were into illicit deals which crippled the public enterprise.

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