The Zimbabwe Anti-Corruption Commission (ZACC) has arrested a former National Railways of Zimbabwe of Zimbabwe (NRZ) top engineer for corruption.
This follows an internal audit report released last year indicating that Phillip Chifamba, who was chief engineer for infrastructure at the parastatal, grossly inflated costs for the renovation of an NRZ guest house in Bulawayo.
He was nabbed on Thursday last week after ZACC carried its own investigations and he is expected to appear in court soon.
The property, number 242 Leopold Takawira in Bulawayo, was supposed to cost US$110,000 to renovate but Chifamba, working in cahoots with the others who are also under investigation, caused the price to be increased $214 000.
This represents a variance cost of 104,000 in direct contravention of the company’s Procedural order as read with the Procurement Regulations which provide for re-tendering in the event of a price variance above 20%.
The property is used as the official residence of the NRZ board chairperson, a position currently occupied by Advocate Martin Dinha.
The audit report also indicated that Chifamba connived with former NRZ chief finance officer Joel Lunga, who approved the payments by-passing General Manager.
They also did not run the tender past the Procurement Regulatory Authority of Zimbabwe as is required at law.
Payments were made directly through Lunga.
“Payments were done by the Finance Branch on instructions from the acting chief finance officer (Lunga). Papers wrongly processed for payment sailed through the hands of acting chief finance officer without scrutiny,” the audit report said.
It added: “All payments regarding variations were approved by the offices of the chief engineer and that of the then procurement manager and paid for by the finance branch. This was clearly contrary to expectations of the line of duty of the chief finance officer.”
