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Zimpapers Scandal: Mismanagement, Corruption, and Misuse of Funds Revealed

Heading for exit … Zimpapers CEO Pikirayi Deketeke is on his way out of the company

Harare, Zimbabwe – A shocking scandal has rocked Zimbabwe Newspapers (1980) Limited (Zimpapers), the country’s largest state-controlled media group, as revelations of gross mismanagement, corruption, and misuse of funds come to light. The company, which operates newspapers, television and radio stations, and commercial printing services, is under fire for alleged financial and operational irregularities.

Haulage Truck Spares Worth $500,000 with No Trucks Owned

In a baffling decision, Zimpapers reportedly purchased haulage truck spares worth US$500,000, despite not owning any trucks. Half of the payment, US$250,000, went to the supplier, but the remaining funds remain unaccounted for. The transaction has prompted an internal inquiry, and questions are being raised about who benefitted from the misappropriated funds.

The spares are currently stored at NatPrint in Workington, raising further concerns about transparency and accountability within the company.

$2 Million Purchase Misclassified as Clothing

Adding to the controversy, Zimpapers reportedly made a US$2 million purchase from Dubai, which was falsely declared as clothing ware for a boutique upon entry through ZIMRA. A forensic audit is being conducted to trace the consignment and determine its ultimate destination.

Senior Management Suspended

Three senior executives have been suspended and placed on leave pending the expiration of their contracts:

The trio is accused of running the company into the ground through alleged corruption, wasteful spending, and nepotism.

Extravagance and Mismanagement

The inquiry has revealed extensive mismanagement, including:

  1. Lavish Spending
    • Mandimutsira is alleged to have spent nights in pubs buying Blue Label whiskey, with each bottle costing US$600. Reports suggest he consumed up to four bottles per night, all while employees struggled to receive their salaries.
  2. Misuse of Company Resources
    • Management reportedly purchased luxury vehicles for themselves, while newsrooms suffered from a lack of functional transport.
    • A service vehicle assigned to Kwayedza boss Tandai Motsi has been unavailable for over three weeks, leaving him unable to perform his duties.
  3. Overstaffing and Underperformance
    • Zimpapers’ television division, ZTN, has been accused of overstaffing despite its poor performance.
  4. Procurement Irregularities
    • The advertising department outsourced design work to a company allegedly owned by Mandimutsira, further raising ethical concerns.

Retrenchment and Employee Fallout

As part of the fallout, some employees are expected to receive retrenchment letters, with insiders reporting that the process targets staff such as Isdoire Guvamombe, Lovemore Chikova, Eliad Mambambo, Petros Kausiyo, and Ruth Butaumocho. Meanwhile, cronies of the suspended executives are rumored to be avoiding the layoffs.

A Company in Decline

Once a media powerhouse, Zimpapers now faces operational challenges, including a lack of bond paper for printing. The organization’s poor financial management has left its staff demoralized, and its reputation tarnished.

What’s Next?

With the forensic audit underway, stakeholders are awaiting answers about how the media giant was mismanaged to this extent. The results could pave the way for legal action against those responsible and possible restructuring to restore Zimpapers to its former glory.

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