Nyashadzashe Ndoro
Chief Reporter
The City of Harare lost nearly half a million dollars in a questionable contract with Synlak Pvt Ltd, a firm linked to notorious businessmen Mike Chimombe and Moses Mpofu, for the removal and replacement of a crematorium at Warren Hills, ZimNow can reveal.
Documents reveal that the contract signed in 2016, was valued at US$494,270.
Despite minimal progress on the project, the City of Harare had paid Synlak the amount by August 2017. However, the City Architect's report indicated that only 0.1% of the work had been completed by September 2017.
The payments made were not proportionate to the work done and that there was no evidence of communication between the project implementing department and the Finance Department when payments were made.
Synlak failed to deliver the crematorium unit as agreed in the contract despite receiving significant payments.
"The payment made is not proportionate to the work done so far; neither did Audit get evidence of the basis of the payments as provided for in the agreement in the above key deliverables tables. In fact there is no evidence of communication between the project implementing department (Works) and Finance Department when payments were being done. Audit had to rely on the purchase order number quoted on the RTGS instruction after falling to get supporting documentation.
"Audit noted that the invoice 0016 for the contract was posted in BIQ and the whole amount accrued as asset number ASS41684 as buildings yet the contract had a breakdown of the various assets and also included building repairs. Payments to Synlak were not fully accrued for in the BIQ and Audit relied on the manual records and therefore cannot vouch for the completeness of the payments recorded," reads part of documents linked to a recent audit carried out at Harare City
This is not the first instance of non-delivery by Synlak, as they had an outstanding contract for a biogas digester project that was yet to be completed.
This publication understands that the matter is currently being investigated by the Zimbabwe Anti-Corruption Commission.
Zim Now reached out for a comment from ZACC, but did not get any response.
The City of Harare's biogas project, funded by a €350,000 grant from the European Union, is also under scrutiny.
Despite paying Synlak Pvt Ltd US$465,290, the project remains incomplete due to disagreements between the contractor and the city. An investigation reveals a trail of mismanagement, overpayment, and non-enforcement of contracts.
The project aimed to design and construct four 200m² biogas digesters and supply and install a 9,100KVA biogas generator. However, the city paid the full contract amount without ensuring completion or receiving stage completion certificates. This resulted in an overpayment of Us$221,755.
The contract lacked clear terms, allowing Synlak to receive payment without submitting a performance bond or meeting certification requirements. The city's failure to enforce contract terms has led to reputational risk, loss of funds, and compromised delivery capacity.
The matter was referred to arbitration, but the Environment Management Committee intervened, directing further consultations between the city and Synlak. Meanwhile, Synlak seeks price variation for the project, which the Director of Works has not approved.
Chimombe and Mpofu are currently in jail over two corruption related cases. They are accused of siphoning more than US$7 million in the presidential goat scheme.
The two are also involved in the US$9.2 million streetlights corruption scandal, which has seen six Harare City Council officials, including Town Clerk Hosiah Chisango, being caged.
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