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President Emmerson Mnangagwa last week said rampant abuse of public funds by government bureaucrats is crippling service delivery.
Addressing delegates at the procurement Regulatory Authority of Zimbabwe annual conference in the capital on Thursday, Mnangagwa said the government was crafting laws to punish officials charged with violating the Public Procurement and Disposal of Public Assets Act.
Mnangagwa said violation of tender procedures had become the major scam by which senior government officials were stealing public funds, according to <a href="https://www.newsday.co.zw/local-news/article/200002377/govt-officials-too-corrupt-ed">NewsDay Zimbabwe</a>. He said:
<blockquote>
This conduct by procurement entities, which goes against the very tents of the Second Republic, will not be tolerated. My government is, therefore, cracking the whip on those who are bent on abusing public procurement processes, thereby frustrating and delaying government programmes and projects.
Some of my senior government officials when they are given vehicles they park them, deflate tyres and use the pool car to wait for time to expire so that they can acquire the vehicle while still quite new.
If the workers discover that the boss’s car is deflated they go and repair the wheel and the boss silently deflates another. Meanwhile he uses the pool car because he knows at the end of three or five years he will get the car in excellent condition, but at book value in terms of years. I am also informed that there are lots of motor vehicles and furniture in government offices just put aside, new furniture bought and put in office. All those are government assets and must be disposed according to the law.
</blockquote>
His remarks support annual reports by Auditor-General Mildred Chiri which have often noted that billions of dollars are being lost to graft.
<h2>Some of the prominent cases:</h2>
<blockquote>
1). In 2020, Health minister Obadiah Moyo awarded a US$60m contract for COVID-19 supplies with flouted procurement processes.
2). In 2022, Local Government Minister July Moyo ordered local authorities to buy fire trucks from Belarus at US$464 296 when the same fire tenders cost US$30 000 in countries like China.
3). In 2022, Parliament approved a tender for the supply of 173 laptops valued at US$9 200 each. The tender was later cancelled by the Finance ministry.
</blockquote>
<h2><a href="https://zero.pindula.co.zw/">Pindula News</a></h2>

Pindula News

President Mnangagwa Says Abuse Of Public Funds Is Crippling Service Delivery

President Emmerson Mnangagwa has accused government bureaucrats of abusing public funds by flouting procurement procedures.
Addressing delegates at the Procurement Regulatory Authority of Zimbabwe (PRAZ) annual conference in Harare on Thursday, Mnangagwa said the abuse of public funds will not be tolerated.
He said the government is working on legislation to punish public officials charged with violating the Public Procurement and Disposal of Public Assets Act. He said:
<blockquote>
This conduct by procurement entities, which goes against the very tenets of the Second Republic, will not be tolerated.
My government is, therefore, cracking the whip on those who are bent on abusing public procurement processes, thereby frustrating and delaying government programmes and projects.
Some of my senior government officials when they are given vehicles, park them, deflate tyres, and use the pool car to wait for time to expire so that they can acquire the vehicle while still quite new.
If the workers discover that the boss’s car is deflated they go and repair the wheel and the boss silently deflates another.
Meanwhile, he uses the pool car because he knows at the end of three or five years he will get the car in excellent condition, but at book value in terms of years.
I am also informed that there are lots of motor vehicles and furniture in government offices put aside, and new furniture bought and put in the office.
All those are government assets and must be disposed of according to the law.
</blockquote>
| <a href="https://www.newsday.co.zw/local-news/article/200002377/govt-officials-too-corrupt-ed">NewsDay</a>

Govt Officials Abusing Public Procurement Processes - ED

The Clerk of Parliament of Zimbabwe, Mr <a href="https://www.pindula.co.zw/Kennedy_Chokuda">Kennedy Chokuda</a>, has said he cancelled the controversial laptop tender in August.
He said this was regardless of compliance with all procurement requirements in choosing the two companies that eventually won <a href="https://zero.pindula.co.zw/treasury-cancels-tender-authorised-by-parliament-directs-that-suppliers-be-blacklisted/">tender to supply laptops and desktops.</a> 
<a href="https://zero.pindula.co.zw/parliament-says-the-blacklisted-companies-had-better-prices-compared-to-competitors/">In a statement</a> seen by Pindula News, Chokuda said the two companies, Blinart Investments P/L ANCE and Mid-End Computers and Hardware (P/L) had the lowest prices compared to their competitors. Reads his statement issued on 17 September 2022:
<blockquote>
However, while all the procurement processes had been adhered to and cognizant of the need to exercise prudence and probity in all procurement processes, our due diligence processes indicated that the prices quoted were highly inflated. It is at this particular point that on Friday 9th August 2022. I, as the Accounting Officer, directed the Parliament’s Director Procurement Unit, in the presence of the Director Audit, to initiate cancellation of the tender and to proceed with retendering as the quoted prices were not justified. It is in this regard, that no contract has been signed with any of the two suppliers, and no payment processes have been activated in respect of the two suppliers.
</blockquote>
Confusion: 
In a different letter dated 29 August 2022, Chokuda notified other companies that had applied for tender that Blinart Investments and Mid-End Computers and Hardware had won the tenders. Reads the letter seen by Pindula News:
<blockquote>
<h2>RE: NOTIFICATION OF AWARD — SUPPLY AND DELIVERY OF 173 LAPTOPS AND 79 ALL-IN-ONE DESKTOPS: TENDER NUMBER: POZ/DOM/013/2022</h2>
I take this chance to appreciate your efforts for the Supply and Delivery of 173 Laptops and 79 All m One Desktops. The Evaluation Committee was impressed by your documentation and how you presented your bid…
The award for the Supply and Delivery of 173 Laptops and 79 All in One Desktops was awarded to the following bidders whose bid was more responsive to the proposal requirements.
</blockquote>
He then stated that Blinart Investments had won the tenders to supply laptops at USD9 264.48 each while Mid-End Computers and Hardware had won the tender to supply desktops at USD3 076.61 each.
His statement issued on Saturday 17 September came after the Ministry of Finance and Economic Development had directed the cancellation of the tender and blacklisting of the concerned suppliers from any future Government procurement process. 
Treasury cited exorbitantly inflated prices. Finance Secretary <a href="https://www.pindula.co.zw/George_Guvamatanga">George Guvamatanga</a> said:
<blockquote>
It has come to Treasury’s attention that Parliament of Zimbabwe had awarded a tender for the supply and delivery of laptops and desktops to the following companies as follows:
<table>
<tbody>
<tr>
<td title="Character Accurarcy=99.83">BIDDER</td>
<td title="Character Accurarcy=99.53">DESCRIPTION</td>
<td title="Character Accurarcy=99.81">TOTAL PRICE (USD)</td>
</tr>
<tr>
<td title="Character Accurarcy=95.12">Blinart Investments P/L ANCE</td>
<td title="Character Accurarcy=99.32">173 Laptops</td>
<td title="Character Accurarcy=98.69">1 602 755.77</td>
</tr>
<tr>
<td title="Character Accurarcy=90.7">Mid-End Computers and Hardware (P/L)</td>
<td title="Character Accurarcy=99.7">79 Desktops</td>
<td title="Character Accurarcy=99.78">243 052.36</td>
</tr>
</tbody>
</table>
Treasury notes with concern that these suppliers are charging USD9 264.48 and USD3 076.61 for a laptop and desktop, respectively. These USD dollar prices have been exorbitantly inflated way beyond those that are prevailing in the market and hence, are not acceptable.
</blockquote>
It is not clear why Treasury would cancel a tender that was cancelled in August.
<h2><a href="https://zero.pindula.co.zw/">Pindula News</a></h2>

Chokuda Says He Cancelled The Laptop Tenders In August

According to the Public Procurement and Disposal of Public Assets Act (PPDPA), accounting officers in Government departments, ministers, permanent secretaries and board members now face jail time for flouting tender procedures.
In an interview with The Herald, Procurement Regulatory Authority of Zimbabwe (PRAZ) acting chief executive Mr Nyasha Chizu said the penalties for flouting tender procedures are outlined in Statutory Instrument 5 of 2018. He urged accounting officers not to be coerced into violating tender procedures and should request written directives from those wanting to interfere with procurement processes. Said Chizu:
<blockquote>The law recognises that other individuals with authority over heads of parastatals and ministries may influence procurement decisions in violation of the laws. Ministers or board members in the case of head of state enterprises may direct accounting officers to do or to omit something in respect of procurement which the accounting officers are authorised to do in terms of the Act. In such cases, the accounting officer ought to write to the authorities concerned highlighting the provisions of the law. The Minister or authority’s directive should be in writing also and if he or she refuses to put the instruction in writing, the accounting officer should not comply notwithstanding any terms or conditions of employment. He shall not be liable to any penalty for such non-compliance.
In terms of section 16(2) of the new ACT, if the accounting officer objects and the Minister insists through written communication, he or she may freely implement the directive and communicate to the line minister in the case of directives from board members, auditor general and accountant general in the case of ministries. Where the instructions are given by the Minister, the accounting officers should report to the Chief Secretary to the President and Cabinet.</blockquote>
Chizu also revealed that the prison sentences do not exceed 6 months in prison.
More: <a href="http://www.herald.co.zw/jail-term-for-flouting-tender-process/">Herald</a>

Ministers Face Jail Time For Flouting Tender Procedures

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