Former ZESA boss demands $10m

Former ZESA boss demands $10m

Source: Former ZESA boss demands $10m | Financial Gazette (News)

By Alois Vinga

FORMER ZESA Holdings executive chairman, Sydney Gata, has approached the Ministry of Labour and Social Welfare seeking an additional retrenchment package of $10 million.

Gata is requesting a recalculation of his exit package because his initial severance payments were eroded by ZESA’s lack of salary records, hyperinflation and continuous adjustments of exchange rates during the period in question.

He is also citing the absence of board resolutions confirming terms and conditions of his retrenchment as well as an undocumented part payment by ZESA over the disputed period.

Details contained in submissions made through his legal representatives, Sinyoro and Partners, indicate that Gata received ZW$18 313 477 606 on December 18, 2007 and ZW$59 615 494 451 934 on May 30, 2008 as part of his severance package.

Despite the earlier payments, he was given a further US$292 723 between 2015 and 2016 over and above two Mercedes Benz vehicles, one utility vehicle and a house in Umwinsdale.
Gata is now arguing that he was short-changed and needs his exit package reviewed.

“ZESA’s policy on the sale of company houses to executive staff, who are entitled, is to charge 75 percent of market value. I paid ZW$500 billion against a market valuation of ZW$480 billion. In terms of benchmarking, the discount of 99,992 percent extended to senior executive management should also be applied in my case,” he said.

He also lodged an outstanding insurance claim of fire accident amounting to $157 000.
The total claim of $10 395 656,42 has two interest  percentage rates on delayed payments; a five percent fixed rate per annum on payments deriving from severance packages since July 2007 and 10 percent per annum for current market rate of interest on all commercial debts.

He alleges that he served as chairman of ZESA Holdings from July 1, 2006 to June 12, 2006 before being forced to leave office through forced retrenchment.

“I was denied a contract of employment, by construction, due to salary offers well below my subordinate and also lower than my predecessor and former ZESA chief executive officer, Mr (Simbarashe) Mangwengwende and even lower than that of (an 11th grade supervisor under) the 2006 salary structure,” he said.

He noted that there was no board resolution confirming the retrenchment as well as the salary conditions and the package offered in May 2006 was below the standard. He noted that the package was not implemented leading to protracted engagements, with litigation until a new agreement was reached on January 25, 2016 to settle the package in full and in sthe originally prescribed manner.

“Ad hoc and incomplete and undocumented payments were made in February 2016, but these were stopped. I was advised then of a new board resolution to declare a dispute before the Labour Ministry,” reads the submissions in part.

COMMENTS

WORDPRESS: 3
  • comment-avatar
    Ndonga 7 months ago

    This is the very same Sydney Gata who in 2004 campaigned for ZANU PF in Gutu. At that time he claimed that there was no difference between ZESA and ZANU PF.

    He never spoke a truer word in his life.

    They were both complete and utter failures in bringing prosperity and stability to the long suffering people of Zimbabwe.

    Then after all that boot licking he left ZESA under a cloud in 2006.

    And now he wants to break the Zimbabwe bank with a late pension payment of US$ 10 Million.

    Sydney Gata might be mad, but he has a good sense of humour.

    Sydney go and tell your sad tale somewhere else.

    Then join the queue with the millions of other Zimbabwe government pensioners who were cheated out of their miserly pensions by the stupid financial policies of ZANU PF.

    You’ill find no tears, or supporters for your demands in that queue!

  • comment-avatar

    This idiot (Sydney Gata) is just showing Zim taxpayers, and probably the new government, a middle finger. Can anyone ever imagine Simba Chikore ever making noise that Zimbabweans owe him anything? I mean anything! Now we have Sydney, a very-very close brother-in-law to Robert Mugabe (whose relationship to Robert Mugabe is just as close as that of Simba), spitting or even vomiting this kind of nonsense on us. Is it not time new regime took strong stands against these well known Mugabe-family looters and authors of our present suffering? Imagine, instead of these people (Sydney, Simba and others) showing some contrition and offering to return some of the looted & externalized resources, in line with President ED’s call, they are actually hell bent on causing havoc for the new government & the whole nation. For how long should this nonsense be tolerated really? Does Gata not appreciate the fact that we all know that he managed ZESA like his own farm during his tenure, just as Chikore did with AirZim? Of course, with their common denominator being Robert Mugabe’s in-laws or family members. Now, we have a Mugabe family member (Gata) who abused his family position to destroy a key entity of our country now coming back to demand more freebies from us. what nonsense! nxaaaaa!!!

  • comment-avatar
    Nyoni 7 months ago

    NO MORE PARASITES ON OUR BACK. You now go and work for you monies ma idiot . Your kind destroyed viable parastatals and made them your kingdoms. You want more money ask Mugabe to pay you .