Powertel Leadership Under Scrutiny as ZACC Launches Fraud Probe

Harare, Zimbabwe – The Zimbabwe Anti-Corruption Commission (ZACC) has initiated a comprehensive investigation into the senior management of Powertel, the state-owned telecommunications company.

This development follows serious allegations of financial misconduct and procurement irregularities, casting a shadow over the firm’s governance and accountability.

Sources close to the matter indicate that ZACC commenced its inquiry last week, prompted by a formal complaint submitted by the advocacy group, Citizens Against Corruption (CAC). The complaint detailed concerns regarding financial improprieties, inadequate internal controls, and potential abuse of office within Powertel.

Lodged last month, the CAC’s submission specifically targets Powertel’s Acting Managing Director, Willard Nyagwande, and other members of the executive team. It highlights claims of internal instability, including reported conflicts among senior managers that are allegedly impacting the company’s operations and employee morale.

“The Acting Managing Director is engaged in persistent confrontations with senior management, creating an environment of hostility and instability,” the CAC’s complaint to ZACC stated.

Investigators are reportedly scrutinizing suspected failures in financial oversight, which are believed to have enabled a junior employee to defraud the company. This raises significant questions about the accountability of higher-level management.

The ongoing probe will also assess whether any senior officials may have directly or indirectly benefited from the alleged irregularities.

Procurement practices constitute another critical area of focus for the investigation. Concerns have been raised regarding advance payments made to suppliers without sufficient safeguards, as well as the implementation of a consignment stock model. Critics argue that this model could be susceptible to manipulation and lead to preferential treatment for certain contractors.

Furthermore, allegations concerning expenditures on international travel by senior executives are expected to be part of the inquiry, with questions being posed about the value these trips delivered to the organization.

These developments come in the wake of Citizens Against Corruption’s appeal for intervention from both ZACC and the Corporate Governance Unit within the Office of the President and Cabinet. The group cited what it described as systemic governance failures within Powertel.

“These lapses point to a failure of accountability mechanisms and raise serious questions about those entrusted with safeguarding public resources,” the complainant asserted.

When contacted for comment, Mr. Nyagwande stated he was not authorized to discuss the matter and directed inquiries to the company’s Acting Group Stakeholder Relations Officer, Prisca Utete. “I’m not allowed to respond to such issues for now,” he remarked.

Ms. Utete confirmed that investigations are indeed underway, adding, “The matter is subjudice.”

ZACC has yet to release an official statement detailing the scope or timeline of its investigation.