Allegations of financial mismanagement and corruption have surfaced at NetOne, one of Zimbabwe’s largest telecommunications companies. The claims implicate senior executives, including Group CEO Raphael Mushanawani and Chief Technical Officer Christopher Muchechemera, in a series of questionable financial decisions that may have cost the company millions.
The allegations center on the procurement of key telecommunications equipment and services. In 2024, NetOne began exploring the purchase of new microwave transmission equipment, with the CTO inviting a local company, Teleios, to conduct trials. A trip to Romania, funded by Teleios, was subsequently approved by the GCEO for senior staff to examine the technology. However, the trip’s purpose and outcomes were not discussed with the Executive Committee, raising concerns among staff.
A procurement requisition for the equipment was later raised, bypassing senior procurement officials, and ultimately led to a deal worth $15 million. This was despite other vendors offering to supply the same equipment for lower prices, ranging from $8 million to $9 million. The deal was not part of NetOne’s annual procurement plan or budget, and the sudden change in direction has raised questions.
Further allegations surround the upgrade of NetOne’s ZTE VAS platforms, with Teleios again being brought in as the preferred vendor at a cost of $11.7 million. The Head of Supply Chain questioned the necessity of this upgrade, citing the system’s end of life and the availability of more competitive solutions. Despite these concerns, the project moved ahead, fueling suspicions about the nature of these procurement decisions.
Additional concerns have been raised about consultancy services during the implementation of the SAP ERP system, with the GCEO pushing for additional consultancy services at a cost of $79,467.49. This was despite NetOne having already paid for the necessary services through its contract with Farevic. The GCEO also allegedly bypassed the Executive Committee to engage Lunartech Solutions for the upgrade of NetOne’s SAGE ERP system, resulting in costly addenda that exceeded $1.2 million.
The allegations have created a toxic working environment at NetOne, with staff reporting intimidation and retaliation for questioning the deals. The impact extends beyond the company, with regulators and industry observers calling for an independent investigation into the matter. With large sums of money at stake, there is a growing demand for transparency and accountability. The outcome of this situation remains unclear, but pressure is mounting for action to be taken.
