Zimbabwe Parliament report on ZINARA 2017-2018 audit- Part 5

Umguza Rural District Council (Umguza RDC)

253. On 1 October 2010, a contract was executed between Umguza RDC and Notify Enterprises, for reconstruction works of Ilitshe Road and construction of a six span Bridge along Umguza River. In an undated letter forwarded to ZINARA by Umguza RDC in 2010, Umguza RDC indicated that they required the following works to be done:

• Road rehabilitation and regrading;
• Gravelling of road;
• Provision of drains; and
• Bridge construction across Umguza Road.

258. Their bill of quantities reflected an estimated cost of US$865 367 and US$734 724.80 for the 12km Ilitshe Road reconstruction and the Umguza Bridge reconstruction respectively, totaling the sum of US$1 559 991.80.
259. The contract was a three page document outlining the contract price, the obligation by Notify Enterprises to provide certain services to Umguza RDC and Umguza RDC had a responsibility to compensate the contractor for the work done.
260. The auditors established that the contract was inadequate and not consistent with standard construction contracts. They highlighted the following omissions:
261. Pursuant to this, payments were then made to Twalumba when there was no evidence of work being done. The following payments were made:
262. There were no supporting documentations to the above payments nor were they endorsed by Umguza RDC’s Engineer.
263. Consistent with other contracts analysed above, Notify Enterprises did not perform. On 29 July 2011, Umguza RDC CEO wrote to the ZINARA CEO informing him that more than 10 months had passed since Umguza RDC and Notify Enterprises had entered into a contract to rehabilitate Ilitshe Road yet no work had been done by Notify Enterprises. As at the time that the audit was done and completed in 2016, Notify had not performed in terms of its contract.

Continued next page

(268 VIEWS)