FORMER Netone Boss Kangai Granted $800 Bail

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former Netone chief executive Reward Kangai

former Netone chief executive Reward Kangai

A Harare magistrate has granted former Netone chief executive Reward Kangai $800 bail after he appeared at the courts facing charges ranging from criminal abuse of office, corruption and misconduct
Harare Magistrate Rumbidzai Mugwagwa ordered the former Netone boss to deposit $800 bail with the clerk of court, surrender his passport, report to the police once every week and not to interfere with
witnesses.

Magistrate Mugwagwa remanded the matter to 31 January 2017.
The State represented by Linda Gadzikwa did not oppose the granting of bail.
Kangai’s lawyer Nyasha Munetsi tried to challenge the legality of the
arrest by the Zimbabwe Anti-Corruption Commission (ZACC) arguing that
the anti-graft body did not fully investigate the matter.
For State, Gadzikwa is alleging that sometime in October 2014, Kangai
unlawfully and corruptly sanctioned payment of rentals in advance to
four base station landlords without authorisation and approval from
the board of directors.
Gadzikwa told the court that Kangai allegedly showed favour to Bopela
Family Trust by sanctioning the advance rental payment of $10 500
which covered a period of one year nine months.
Richwood Sports Club was paid $33 000 which covered a period of five
years while Avondale Christian Church was paid $27 000 which covered
three years.
It is alleged that house No. 514 Chipembere Road Windsor Park in Ruwa,
Harare was paid $5 400.
The court also heard that NetOne has no provision for advanced rental
payments and the lease agreements entered between the company and base
station landlords were done fraudulently.
It is alleged that Kangai’s conduct was prejudicial to NetOne and
other landlords whose rentals were not paid.
Kangai also approved a loan of $80 000 to Bopela Group (Pvt) Ltd
without the approval of the board. It is alleged that the loan approval
was outside the mandate of NetOne.
The company lost $155 900.
The court heard that between January 2014 to December 2015, Kangai
unlawfully failed to comply with the Procurement Act Chapter 22:14
particularly section 8 of Statutory Instrument 171 of 2002 and
Statutory instrument 126 of 2015 in the selection and engagement of
service providers.
It is alleged that Kangai handpicked Espol Advertising (Pvt) Ltd,
Sectional Poles South Africa, Convergys (Pvt) Ltd, Bopela Group (Pvt)
Ltd, Gemalto (Pvt) Ltd, Afrosoft (Pvt) Ltd and Imago Communications.
The total tender value for the above companies was $17 594 700.
The court heard that on eight different occasions Kangai abused his
authority by giving directives to his subordinates on the acquisition
of base station sites.
The procedure required three survey reports before the final
selection. It is alleged that construction work at the sites commenced
without survey reports. The court heard that surveys were later done
as a cover up.
Sometime in 2014 again, it is alleged that Kangai ordered the
installation of a base station at stand No. 103 Goodhope along
Lomagundi Road. The property belonged to his aunt Joyce Kangai.
It is alleged that Kangai failed to disclose his personal interest and
relationship with Joyce.

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