By Correspondent
Marondera Municipality is struggling to pay off debts of around ZiG 8.2 million and USD$420 000 and is likely to have its accounts garnished.
The situation has resulted in Council resorting to negotiate with debtors according to Full Council minutes.
Some of the creditors include Zimbabwe National Water Authority (ZINWA), National Social Security Authority (NSSA) and Zimbabwe Electricity Transmission and Distribution Company (ZETDC).
Also included are banks and other financial institutions among others.
According to Full Council minutes Council has created a priority list of creditors to deal with first.
“A total of ZiG 8, 209,339.78 and USD$ 420, 638.54 is needed to pay priority creditors.
“Constant negotiations are still on-going to protect council from garnishes,” reads the minutes.
Financial Mismanagement
The precarious situation has been blamed on financial mismanagement by authorities.
An internal report established that clamping and towing department had performed poorly from November 2022 to June 2023.
“The Internal Audit observed that accounting records in the parking section were not properly maintained.
“It was observed that there was lack of supporting documents for parking fees.
“For example the section operated without parking tickets or receipt books,” it said.
Cashbooks were also improperly recorded and there was improper recording of the receipt books registers.
This resulted in inconsistencies through which corruption most likely occured.
The Internal Audit has since recommended the setting up of robust accounting policies and procedures.
These will ensure compliance with the relevant laws and regulations.
