…Council bosses accused of awarding tender to own company
Melinda Kusemachibi
Heads are expected to roll Bikita Rural District Council (RDC) following allegations by Bikita Residents Association (BIRRA) that council bosses awarded the local authority’s business to a private entity (Hanyanya Private Limited) they own.
The company is allegedly owned by Chief Executive Officer (CEO) Peter Chibhi and Executive Finance Officer Never Mavhuna.
The resident association has since written a petition in which they are complaining over the matter.
However, Chibhi denied allegations that he co-owns the company saying it is wholly owned by Bikita RDC
“The company (Bikita Hanyanya) is owned 100 percent by Bikita RDC. We are interim directors, I, council chairperson, finance committee chairperson, human resources chairperson, the CEO and the executive finance officer and the company has a separate administration system.
“For record sake, the company is 100 percent owned by Bikita RDC. Directors sit to consider reports from the company’s management and feedback to council which owns the company,” said Chibhi.
He went on to say the company was formed to become the commercial vehicle for the council to improve efficiency in its operations.
“Bikita Hanyanya pvt ltd is there to be a commercial vehicle for Bikita RDC. This commercial vehicle will see improved efficiency and effectiveness while the local authority will focus on their mandate of service delivery. This is the practice even by Central government. They outsourced services so that they focus on their key mandate of service delivery.
“Bikita Hanyanya as a private limited company is currently carrying out the clamping function and more other functions. In other local authorities, clamping is done by a private company owned by the local authority. In April 2020, Bikita RDC resolved to form a company (Bikita Hanyanya) meant to be a vehicle for income generation projects. However, due to Covid-19, the company could not be fully operationalized,” added Chibhi.
He also said Section 80 of the Rural District Councils Act chapter 29:13 allows local authorities to run income generating projects where Bikita has two in form of Pambudzi Lodge and Umkondo ranch in Save Conservancy which are run separately from council.
However, in a petition letter dated October 4, 2022 addressed to council management, ministry of local government and copied to Bikita District Development Coordinator (DDC), Police, President’s Office among other government departments, BIRRA expressed dismay and their rejection to the arrangement while at the same time calling for action from the authorities.
“We have noted with great concern and suspicion on the existence and operation of a private company called Bikita Hanyanya at our council. What we have gathered as residents is that the company whose directors are council bosses was formed in 2020 and given the mandate to run operations on behalf of council.
“It is said the company, has already taken over collection of revenue from all council commercial entities that include Pambudzi lodge, Save conservancy and vehicle clamping operations contradicting section 276 of the Constitution of Zimbabwe that clearly states that it is the duty of the local authority to collect public funds not private companies,” read part of the letter.
The letter undersigned by Mark Mutengani (BIRRA spokesperson) and Berlina Sithole (president) went to express fear over continued dripping of council resources at the expense of service delivery as they say Bikita Hanyanya is duplicating roles by council at the expense of residents and villagers.
“Plans are there for the company to act as an employment agent for council starting from 2023 taking over the role of councillors (committee on human resources) and technocrats. We are worried all this is done at the cost (commission) from our council coffers.
“The decision to engage the company to run parallel if not duplication to what council employees are doing was reached at without residents’ knowledge. We strongly suspect the move is meant to siphon and loot resources from council. As residents, we are pretty sure the dubious resolution was reached at during the Covid-19 era, when our councillors were ‘coerced and misrepresented’. If this continues, we foresee a situation where the operations of council that is a public entity being privatised for the benefit of few individuals,” added the letter.
However, Bikita RDC chairperson Benjamin Masakadze said all resident representatives that is BIRRA and Bikita Business Association (BBA) are aware of the Hanyanya’s existence as they were informed in a meeting held on October 4 at council boardroom at Nyika growth point.
“We met with the team from BBA and BIRRA on October 4, 2022 in the council’s boardroom. The operation of Bikita Hanyanya which is 100 percent Bikita Council Income Generating Project was well explained to them. They even gave a green light to its operations,” said Masakadze.
Mutengani however refuted the claims by Masakadze labelling his statements ‘a lie’ as he claims BIRRA never attended the so-called meeting saying their association was never invited to it.
“It’s unfortunate to hear such a lie that BIRRA attended a meeting on October 4 at council boardroom. Setting the record straight, BIRRA was never invited to that meeting. We know that because of unearthing the rot in council that include the vehicle purchase scandal where the chairperson is a beneficiary, they resolved to side line BIRRA at all council meetings.
“Now they are at it again and the chairperson is singing the technocrats’ song instead of siding with residents. We are not deterred by that as we will continue to expose and shame corrupt elements as Bikita residents
“It’s very sad that one entrusted with Bikita resources becomes the chief culprit. It is clear Bikita Hanyanya is owned by council bosses with each having 50 percent shareholding. As BIRRA, we totally reject the engagement and operation of the company at our council. We strongly condemn the daylight looting of resources and this self-enrichment programme disguised as enhancing efficiency,” said Mutengani.
Bikita RDC finance chairperson is Ruwaya Taruvinga, while Sarah Mandiki chairs human resources.