- Zupco management milking company coffers
- Massive violation of corporate governance tenets
- Adminstrator diverted company tiles to her Borrowdale house
ZIMBABWE United Passenger Company (Zupco) management is under scrutiny for alleged massive corruption and violation of corporate governance tenets, Zim Morning Post can reveal.
This publication understands that the purported ‘rebirth’ of Zupco in-fact created loopholes that gave rise to massive looting by management.
Impeccable sources revealed that a cartel led by chief executive Evaristo Madangwa is milking the transport organisation of millions of dollars.
“The cartel, consisting of Evaristo Madangwa,Tito Chirawu (the acting divisional head), Tineyi Rwasoka, the substantive Southern Division Divisional Operations manager and Linda Samunderu, the administrator, is destroying Zupco.
“Members of the National Task Force comprising of Airforce of Zimbabwe, Zimbabwe Republic Police and Central Intelligence Organisation are deployed at Zupco to assist in the smooth running of this national programme, but the cartel snubs meetings and deliberately neglects to implement their resolutions at all.
“They even threaten fellow workers who they see co-operating with the Task Force, with threats of dismissal,” revealed our source.
The cartel is allegedly holds meetings secretly at the Willowvale depot.
“They hold night meetings in Willowvale where major decisions are made, the bulk of which are nefarious.
“Close members of the cartel like the accountant, now acting finance manager, Tendai Nyamayaro and divisional administrator Linda Tigere are building white elephant houses.
“Linda Samunderu completed her Borrowdale house using proceeds from corruption,” alleged our source.
Samunderu is accused of diverting floor tiles that were bought for company use in order to refurbish her house.
The same tilers who completed work at the head office are the ones who allegedly did the same job for Samunderu`s Borrowdale house on Zupco bill.
The chief executive, Madangwa, allegedly interfers with audit and risk management operations to mask corrupt activities.
“Passmore Chimbanda was appointed acting audit and risk manager on August 1, 2019.
“The cartel feared that Chimbanda, being someone with the right qualifications and a military background, may affect their nefarious moves and expose them. They hatched a plan to frustrate and render him useless.
“Firstly Madangwa, under the influence of Chirawu, wrote a funny letter advising Chimbanda that his role was only limited to policy direction and guidance on risk matters, while his two deputies should report to the chief executive.
“This is an awkward arrangement as it undermines the effectiveness, efficiency and chief among everything, the independence of the risk and audit department,” our source submitted.
Madangwa is further accused of nullifying the recruitment of risk control assistants and handpicked his cronies.
The initial recruitment was allegedly nullified because Chirawu wanted to recruit his cronies so he manipulated the interview proccess.
“Interviews and recruitment was done without the manager`s knowledge, which is against the tenets of good corporate governance.
“Interviews for the auditors were done in the absence of the audit and risk manager,” added our source.
Government subsidises ZWL40 million a week on the Zupco buses and kombis engaged by the parastatal through a franchise system.
Recently, Transport minister Biggie Joel Matiza dodged questions from opposition Member of Parliament over government’s alleged monthly expenditure of $40 million in order to subsidise Zupco buses.The Zupco deal implicates some big wigs within government who are believed to be raking in money from the initiative.
There is strong suspicion that there are other people outside Zupco who are also benefiting from the deal.
Although he Zupco subsidies are getting almost ZWL$40 million dollars from government every week, the country is not aware of how those subsidies are working at Zupco and who are the actual beneficiaries.
Efforts to get a comment from the chief executive drew a blank as he did not respond to messages sent to his mobile phone.
He promised to return a call made to him, but had not obliged to his promise at the time of writing.