Former Netone CEO Kangai arrested

Former NetOne chief executive officer, Reward Kangai, was arrested late yesterday by the Zimbabwe Anti-Corruption Commission (Zacc) on allegations of criminal abuse of office during his tenure at the parastatal.

BY DESMOND CHINGARANDE

Zacc spokesperson, Phyllis Chikundura, confirmed the arrest, saying the former NetOne boss was detained at Avondale Police Station.

“Kangai’s arrest is in connection with a forensic audit, which linked him to several underhand performances, including flagrant disregard of procedural airtime distribution, salary payment and tenders,” she said.

Kangai was suspended and subsequently fired last year after the NetOne board accused him of looting $11 million from the mobile phone service provider through Firstel Cellular, a company that he allegedly owned together with other NetOne executives.

The forensic audit discovered that several multi-million-dollar contracts had been allegedly signed outside tender procedures and with little viability assessment.

The team established that Kangai was using Firstel Cellular to market the parastatal’s products. Firstel’s co-owners included NetOne executives, Lyndon Nkomo, Memory Moyo, Matavire Dzimbanhete (now late) and Godfrey Tarupuhwa (former finance director).

It is believed that Firstel received $11 million, but did not provide the stated services and Kangai later tried to convince the NetOne board not to pursue the matter.

Further, Kangai and his management team allegedly ploughed millions into OneWallet, NetOne’s mobile money platform, although evidence showed this was unprofitable. The venture did not realise much revenue due to poor marketing, a non-existent agent network and system inefficiencies.

The auditors also discovered that NetOne entered into a $3,7 million deal with Bopela Group (Pvt) Ltd without following tender procedures. Bopela is owned by South Africa-based Zimbabwean businessman, Agrippa Masiyakurima.

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8 Comments

  1. poor kangai and supa is having the last laugh

    1. The government seems to protect Supa here. There is a litany of issues raised by Kangai but ZACC only looked at the USD4million yet Kangai said he resisted pressure from the minister to approve the payment to Megawatt, a company in which Kangai has interests.

      Why did ZACC not investigate the appointment of B. Mutandiro to the position of COO when he did not qualify (check the job advert). Supa appointed his former employees (at the struggling Taccon) to key executive positions at NetOne. One such notorious executive is Kuda Nyashanu who heads the HR department. Nyashanu has also been appointing his cronies without having them go through any interviews. He (Nyashanu) is promoting his girlfriends like Manager Executive Resourcing and the SHE officer.

      NetOne has been giving at least $7000 to Supa every week yet ZACC ignores all this. Is Supa a sacred cow? Isn’t that the President said that there is no sacred cow in the fight against corruption in this country. Please bring Supa to book so that he can answer and defend himself against all these allegations leveled against him. Of late Supa has been sending his cronies to NetOne for employment as Technicians/Engineers yet they are not qualified and for those who attended interviews, they performed badly. No wonder why NetOne network challenges are never resolved speedily because there are a few qualified Technicians/Engineers who are qualified to do the job. If Brian Mutandiro disputes all this then let NetOne have a personnel audit by independent auditors. Government will be shocked with the findings.

      Let us not protect thieves. Yes Kangai has a case to answer but he is also a whistle-blower who raised allegations that need to be thoroughly investigated.

  2. Does this mean that Supa is off the hook?

    1. ZAAC protecting LACOSTE faction.SUPA authorised $4m payment to Megawatt for them to compare quotations.ZAAC says because the payment did not go thru then SUPA is cleared.He has been appointing people from Metbank why?

      ED statement on corruption shouldremove these statements “ZERO TOLERANCE”WITHOUT FEAR OR FAVOUR'”NO SACRED COWS’ and replace them with 100% tolerance for LACOSTE 0% tolerance for G40

    2. Not really. Kangai will nail Supa in a competent court of Law. takachenjeresa kani

  3. When the eite Reward the Supa

    So this is the Reward that Kangai is getting for reporting some Supa human being?

    1. see what u did buddy…. Zimbabwean-British humor…. love the pun

    2. Hahahaha apa Mandiwanzira blaz!!!!

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