NSSA in quandary as acting GM Shava reports for work on bail
ZIMBABWE’S largest pension fund, the National Social Security Authority (NSSA), is under the spotlight for alleged “dereliction” of duty as it emerged acting general manager, Dr Charles Shava, who is facing a $12 million fraud charge is reporting for work in violation of his bail conditions.
While acting board chairperson, Marjorie Chinyemba and her human resources committee peer Grace Mathe declined to comment on the grounds they were “mere pensioners”, there are concerns about the board’s inaction given the gravity of the matters and their implication on the organisation’s reputation and good corporate governance tenets.
Although Minister of Public Service, Labour, and Social Welfare, Professor Paul Mavima, yesterday said he could not comment on the issue as it was before the courts, a senior official with NSSA who declined to be named, said the matter was straight forward and Dr Shava should have been served with a suspension letter in fulfilment of his bail terms.
“Dr Shava and his backers might be using the technicality and loophole that he has not been served with a suspension letter, but there is no justification for his presence there as item 3 of his bail conditions is quite clear that he must not interfere with State witnesses,” sources close to the matter at the pension fund, said this week.
Bail conditions prepared by Provincial Public Prosecutor, Michael Reza, are as follows: (1) Accused to deposit $500 000 with the Clerk of Court, (2) Accused person to reside at supplied address until case is finalised (3) Not to interfere with State witnesses until the case is finalised, (4) To report once every fortnight at Borrowdale Police Station between 0600 hours and 18 hours and (5) To surrender passport with the Clerk of Court.
The official, who declined to be named because is not authorised to talk to media said; “There is no longer objectivity at NSSA because we cannot have a situation where people start bickering on straight forward issues. We now have people pursuing personal interests ahead on national interests.
“Perhaps this could be a reflection of the divisions we see and this is damaging the integrity of the institution.”
However, according to close sources, it is alleged “a number of inconclusive board meetings, including Monday’s urgent and Wednesday meetings, have been held so far” and reportedly failed to handle the matter.
“As you might be aware, he has been sneaking in and out of NSSA House since Saturday — when he is facing such grave charges related to governance breaches and dishonest behaviour — and one wonders if that does not constitute failure in terms of the panel’s fiduciary duties or role,” they said.
Legal practitioner, Farai Dumbura, said if the bail conditions stipulate that the accused person should reside at a supplied address until the case is finalised and not interfere with the case, they should simply do so.
“You are not supposed to go to work where the offence was committed, apparently the person in question is violating bail conditions, they should be locked up because it will now be contempt. In terms of implications, it means that there is a high chance of tampering with evidence and witnesses thus continuing to go there even when forbidden it is a blatant disregard of good corporate governance,” said Dumbura.
On his part, Public Service, Labour and Social Welfare permanent secretary, Simon Masanga, also refused to comment by deflecting questions to the acting chair (Chinyemba), who in turn referred
this paper to chairman Dr Percy Toriro, who is apparently out of the country.
The row comes as Dr Shava has tried to wriggle out of the situation by describing his alleged illegal payment of allowances to four of his subordinates as a “skills retention scheme” and desperately sought to hold onto his “caretaker seat” on the back, if not coattails, of some powerful interests within government as well as subverting the law, it is alleged.
But the Zimbabwe Anti-Corruption Commission (ZACC) would not be swayed, as it descended on him last Wednesday after being satisfied that the move to effect a 115 percent pay hike – which could cost NSSA nearly $1,2 billion by 2027 and arrived at by multiplying the doctors’ US$6 800 monthly salaries against today’s prevailing auction rate, and – was based on a November 08 board resolution constituted an offence. To demonstrate Dr Shava’s unrelenting efforts to dodge the bullet and hold onto power, which included a well-calculated plan to frustrate Minister Paul Mavima’s recommendation to rotate acting GMs under the pretext of preserving an on-going AMG Global Accountants forensic audit, he is still pushing his agenda to disregard Chinyemba’s February 24 memo to suspend the incentives.
And to compound matters, some board members – specifically George Chigova, Mathe, the acting chair and Dr Chipo Ndudzo – who had adduced some ZACC affidavits to confirm the 57-year-old executive’s misconduct, were not only delaying the conclusion of these disciplinary matters by reportedly backtracking on the criminal proceedings at Monday, and Wednesday’s ’s board meeting on the basis that they were still waiting for an internal audit report by mid-week.
“What is happening at NSSA is quite strange, if not shocking, in that – unlike substantive GM Mr Arthur Manase who was indefinitely suspended to pave way for investigations in July and subsequently cleared by multiple law enforcement agencies – Dr Shava and other executives like Mr David Makwara have been arrested by ZACC, yet these (board members) have been treating people in contempt of court with kid gloves,” the sources revealed.
“You will also appreciate that the man is already under probe for a mortgage financing deal by the crime-busting agency, remains under the spotlight for many other questionable decisions such as the US$300 000 Victoria Falls trip, suspending investments director Mr Brian Murewa ahead of audit conclusion and failing to regularise Mr Masanga’s OK Zimbabwe board sitting.”
Meanwhile, Dr Shava’s surprise return at work followed his own “appointment” of social security director Shepherd Muperi as acting GM last week.
Permanent Secretary in the Ministry of Public Service, Labour and Social Welfare under which NSSA falls, Masanga, said he was not privy to finer details of the issue and could not comment on the latest developments.
He referred Business Weekly to Chinyemba, who again declined to comment adding; “I was appointed to the board of directors only to represent pensioners and nothing further. Talk to NSSA Board chairman, Dr Percy Toriro who is currently out of the country.”
Dr Toriro also declined to divulge any details saying; “I am currently out of the country consulting on a project hence not fully informed. I will engage to get the latest position on the matter. I am also referring the same questions to the head of the NSSA Public Relations to assist get responses,” said Dr Toriro.
Dr Shava’s phone rang unanswered yesterday.