Masvingo City Council has failed to account for over US$12 000 in funds from business license fees according to an audit report.
Acting Auditor General Rhea Kujinga said investigations have shown a disparity in money from business licenses and billboards rentals.
“The Council had an unreconciled variance of ZWL68 million on revenue from business license fees and bill boards rentals.
“The business license fees and billboard rentals had total invoices amounting to ZWL 219 million.
“However, the ledgers had balances of ZWL151 million resulting in variances of ZWL68 million,” he said.
Masvingo council was also found to be in breach of various other offences.
“Council was not enforcing the provisions of the Shop Licenses Act [Chapter 14:17].
The Act requires every business operator to obtain a license.
Due to the non-enforcement of the law Masvingo had 168 businesses operating without licenses.
Kujinga said there was no evidence of penalties charged for that crime.
“My enquiries with management revealed that the businesses did not meet the minimum requirements of operating in the respective industry.
“The businesses were operating preschools, butcheries, restaurants and takeaways, hardwares, night clubs and grocery shops.