Council officials in court over US$9m tender scam

Prosper Dembedza, Herald Correspondent

FOUR Harare City Council officials yesterday appeared in court on allegations of awarding local company Juluka Endo Joint Venture a tender worth US$9 244 328 without following proper procedures.

Never Murerwa (62), Jabulani Mukomazi (44), Denford Zhungu (69) and Tawanda Mutenhabundo (29) were facing criminal abuse of office charges when they appeared before Harare magistrate, Mrs Marehwanazvo Gofa who remanded them in custody to today for continuation of their bail applications.

Murerwa is supply chain manager and Mukomazi is principal buyer in the City of Harare procurement management unit.

Zhungu is a principal accountant and Mutenhabundo an engineering technician in council service and were members of the tender evaluation committee when the crime was allegedly committed. The tender was for the refurbishment of streetlights.

Juluka Endo Joint Venture is owned by businessman Moses Mpofu, who along with business associate Mike Chimombe, is currently in remand prison awaiting trial on allegations of defrauding the Government of over US$87 million meant for the Presidential Goat Scheme.

Prosecutor Mr Lancelot Mutsokoti opposed bail and called his first witness, the investigating officer Owen Mutembwa, who said Mukomazi was a close associate of Chimombe and Mpofu .

He alleged that there was documentary evidence, which linked Mukomazi to approving procurements without proper procedures. He also said Murerwa participated in the awarding of the tender to Juluka Endo knowing very well that it was unlawful since the company did not deserve to win the tender .

Mutembwa stated that the accused persons approved the tender despite knowing that Juluka Endo had problems with its finances.

He further submitted that the accused persons were flight risks because they had rich friends who could easily sponsor them to flee the country and evade trial.

Mutembwa said the Zimbabwe Anti-Corruption Commission had over 20 witnesses and the statements from 12 witnesses had been recorded so far. The suspects were also likely to interfere with witnesses if granted bail, he argued.

It is the State’s case that in January this year, the City of Harare embarked on the rehabilitation of street lighting along Harare roads.

On January 29, the Procurement Regulatory Authority of Zimbabwe (PRAZ) granted a few specific exemptions to facilitate the expeditious completion of key projects in time for the summit. On March 15, an invitation to tender for street light repairs was published in the Government Gazette and it was listed on Procurement Regulatory Authority portal on March 19. The court heard that 11 companies responded to the tender invitation.

Juluka Endo Joint Venture was disqualified after failing to meet the tender requirements.

However, the accused persons, working in connivance went to unlawfully award the tender of the remaining lots to Juluka Endo Joint Venture, disregarding the general procurement provisions which required the process to be done through a competitive bidding process.

The State further alleged that the accused persons disregarded an earlier decision to disqualify Juluka Endo Joint Venture for having failed to meet the bid requirements.

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