Commercial Farmers' Union of Zimbabwe

Commercial Farmers' Union of Zimbabwe

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ZESA Lost Money to RBZ – Comptroller and Auditor General

ZESA Lost Money to RBZ – Comptroller and Auditor General

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10 hours 27 minutes ago
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HARARE – June 16, 2012 – Zimbabwe Electricity Supply Authority (ZESA) has 
lost slightly over US$1million from its tobacco farming activities after the 
funds were forfeited by the Reserve bank of Zimbabwe (RBZ), the Comptroller 
and Auditor General Mildred Chiri has said in her latest report.

The top government auditor also revealed that ZESA risks losing nearly 
US$5million held by banks in South Africa and China.

“I noted that there were tobacco sales to Zimbabwe Leaf Tobacco amounting to 
US$1 299 412, 40 that have not been recovered for a period of over two 
years. ZLT instructed RBZ to make a transfer of the funds to ZESA 
enterprises. However, the RBZ took the funds citing that ZESA holdings has a 
debt owing to RBZ which RBZ decided to set off. ZESA enterprises was still 
reflecting this trade debtor in their accounts as owing,” said Chiri.

“Recommendation- the debt should be transferred to ZESA holdings upon 
reaching mutual consensus or provide for the debt in full. Concerted effort 
should be made to resolve this issue.”

The report added that ZESA was losing revenue due to non billing of 
customers as most farmers were not being due to their hostility to meter 
readers. It added that ZESA officials sent to disconnect defaulters were 
sometimes bribed.

It said US$4; 2 million was held with South Africa’s FNB bank and US$33 000 
by Escrow bank of China and no follow ups have been made on the money for 
years.

“No reconciliations were prepared for the accounts as no statements were 
received. In the prior year no reconciliations were prepared due to the same 
reason. Thus there has been no correspondence with the banks for the past 
three years,” Chiri said in her report.

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