HARARE – A staggering US$4.5 million has inexplicably disappeared from the Harare City Council (HCC) through its subsidiary, Harare Quarry, laying bare the extent of corruption within the local authority. The startling revelation came to light during the ongoing Commission of Inquiry investigating the operations of the HCC.
Harare Quarry received US$4.5 million from the City Council in 2018 with the intention of reviving its operations. However, the funds were squandered, leaving no traceable paper trail.
Mayor Jacob Mafume made the disclosure to the retired Justice Maphios Cheda-led Commission of Inquiry on Thursday as he continued with his testimony. He stated bluntly, “The money was stolen.”
When pressed by Cheda on who was responsible for the theft and what measures had been taken to investigate the missing funds, Mafume replied: “The management of Quarry. We resolved to get the Police involved. What we did is, we instituted, what was done before we were elected as Councillors. This was done by the previous Council and the previous management.”
Mafume clarified that the alleged embezzlement occurred before his tenure. “We were elected in 2018. The money was stolen, I am trying to think when the loan was advanced. I am not too sure,” he added. He has since been battling to recover the funds and bring those responsible to account.
Mafume had to defend himself against suggestions from members of the Commission of Inquiry who claimed he was not pursuing the issue with the same vigour he has shown in trying to resolve the issue of the US$1 million he claims was stolen when the City of Harare bought a house in Ruwa.
The Mayor emphasised that it was the duty of the Town Clerk to report such matters to either the police or the Zimbabwe Anti-Corruption Commission (ZACC). It has been noted that a report has since been filed with ZACC regarding the US$4,5 million which Mafume says was stolen in the Harare Quarry project.
Harare Quarry, wholly owned by the Harare City Council, has become a hotbed of corruption, with top officials allegedly exploiting it for personal gain. The company has also failed to remit funds to the City Council despite leasing its premises to private companies.
Mafume acknowledged that the company has been a financial burden to the Council, requiring constant bailouts. “I am very passionate about that US$4 million because that US$4 million is the one that has caused us to have differences with the management that was there. I have pursued it in different Council meetings. I have taken the actions within my power.”
“As of current, because the properties are being constantly attached, I have suggested that the entity be put under management or what we used to call liquidation. For the past three weeks, as Council we have had to pay amounts that are owed by the Quarry,” said Mafume. He further stated that resolutions have been passed to stop the financial bleeding, with the first step being the removal of the management. “We have passed resolutions to stop the bleeding, the first thing was to get rid of the management, which we did,” said Mafume.
HCC chamber secretary Warren Chiwawa confirmed that the matter has been reported to the Zimbabwe Anti-Corruption Commission. “I had discussions with the Business Development manager, who confirmed that we indeed made a report after the matter came up in one of the committee meetings,” said Chiwawa.
Mafume claimed that in just this week alone, US$4,5 million was stolen from the City Council. Harare Quarry is owned 100 percent by the Harare City Council but has not been generating any money for the municipality despite some economic activity which is going on there. Mafume said they have since resolved that the company should be put under liquidation because its assets were being attached.
In a separate, but related revelation during the Commission of Inquiry, the Harare City Housing Director, Addmore Nhekairo, revealed that Councillors have been directly involved in the allocation of stands and cluster housing developments, a practice he says has undermined the proper functioning of his office.
Nhekairo confirmed that Councillors had taken advantage of the regularisation process to allocate land to their political supporters. “Councillors have been personally benefiting from land sales, often acquiring stands outside their own constituencies, which is against the law,” he said. “The involvement of Councillors in the direct allocation of stands has destabilised the functions of my office.”
He also acknowledged that Councillors have played a role in approving cluster housing developments, despite lacking the technical expertise required for such decisions. Leading evidence lawyer, Tapiwa Godzi, raised concerns about reports that Councillors were using their influence over land allocations for personal gain, including alleged extortion of developers seeking approval for cluster housing projects.
While Nhekairo did not provide direct evidence of corruption, he conceded that the possibility of Councillors benefiting from these deals was raised during stakeholder consultations.
