Impact and Cost of Corruption on Service Delivery

Cllr. Action NyamukondiwaKadoma City Council Zimbabwe

CIFAL LOCAL GOVERNANCE IN 21ST CENTURY- FRAUD CORRUPTION & RISK

MANAGEMENT

Kadoma City Background

• City in Mash West Province

• Seventeen elected Councillors

• Population of City – 84 000

• Service Provided:-• Housing and Community

Services• Waste Management• Water and Sewer• Town Planning and Roads• Public Health

Working Definition of Corruption in Zimbabwe

• Misuse of public office for private gain (money etc)

• Applies to policy makers- councillors• Applies to

council officials

• Criminal abuse of office

• Failure to follow procedure with no need to prove exchange of favours

Types of Corruption- in Zim Local Authorities

• Bribery - Offering of something often money but can be goods or services to gain an unfair advantage..

• Extortion -Threatening or inflicting harm to a person, their reputation, or their property in order to unjustly obtain money, actions, services, or other goods

• Embezzlement - Illegal taking or appropriation of money or property that has been entrusted to a person but is actually owned by another.

• Nepotism- Practice to favour a group or person who is a relative when giving promotions, jobs, raises, and other benefits to employees.

• Patronage systems- Consist of granting favours, contracts, or appointments to positions by public officials in return for political support.

Kadoma City Cases Study

• Have encountered corruption in city service delivery

• Housing Stands allocation• Commercial Stands

allocation• Sewerage Unblocking• Parking and Market

fees• Medical Sundries

Bribery

• Sewer clearing gangs demand money to expedite sewer clearance

• Ask clients to pay them directly instead of council

• Rampant theft of sewer rods for private jobs

• Potential lose of income= $500-$1000

• Opportunity cost- disease outbreaks

Extortion• High competition for weekend flea market

stalls• Security and market assistants demand money

from clients so as to be allocated trading space

• Some traders forced to pay using merchandise• Some markets allocated in exchange for sex• Potential lose per month- $2000 per month

Embezzlement

• Problem common among officials• Top official sold commercial stands• Country was still using Zim dollar• Separate secret receipt used to sell stands in

US$• Used his own receipts books• Converted money to own use• Total prejudice to council- US$40 000

Nepotism

Zim Financial Gazette -Friday, 08 June 2012 08:52 • GWERU — Council has been operating without a substantive

chamber secretary for a year now after RM who held the post in a substantive capacity was dismissed in May last year over allegations of nepotism.

• A similar situation prevails in Kwekwe where MM, an auditor, is the acting city treasurer following the dismissal of AZ in August last year over corruption allegations.

• Both positions have not been filled after the intervention of Local Government Minister, Ignatius Chombo who dispatched investigators to look into circumstances surrounding RM and AZ’s dismissal.

Patronage System • Ward based disbursement of HIV/AIDS

mitigation funds to wards- 2006• Funds allocated on political lines and abused• Issue reported to police but the councillors

stopped prosecution and paid back the money- US$10 000

• General workers positions filled by those loyal to ruling party

• Advent of new party in council workforce antagonised

Corruption maybe there but we need to face it head on…….

Thank You