Muchinguri in Psmas scandal

via Muchinguri in Psmas scandal – The Zimbabwe Independent October 23, 2015

WATER, Environment and Climate minister Oppah Muchinguri-Kashiri cashed in US$46 000 in shady circumstances after selling a residential stand situated at Harare’s Borrowdale Estate to the debt-ridden Premier Service Medical Aid Society (Psmas) as more details of the goings on at the medical aid society emerge, Zimbabwe Independent has learnt.

Hazel Ndebele

This comes as it has emerged Health and Child Care minister David Parirenyatwa is also implicated in the Psmas scandal. Information at hand shows that he did not only receive US$100 000 from Psmas through his private company CHEST but could also have benefitted in many other ways from the medical aid society.

A forensic audit draft report on the utilisation of Psmas funds dated February 20, 2015, done by Ernst and Young, reveals that Psmas bought 3 041 hectares of land from Muchinguri-Kashiri, although the institution did not need the stand as it is still lying idle.

“Stand 18 Carrick Creagh Township 2 of Carrick Creagh of section 4 Borrowdale Estate was transferred into Psmas’ name on October 13 2010,” reads the report.

According to the report, the purchase of the land was approved by former Psmas chief executive Cuthbert Dube, who was retired by the board in January last year after revelations of his hefty salary and perks sparked public outrage and condemnation from government. Dube was taking home about US$500 000 per month in salary and allowances.

“The land was approved by Cuthbert Dube and there is no indication that the board was involved in the approval of the purchase. The land has not been developed at the time of this investigation,” reads the report.

The audit report also reveals Psmas bought a second-hand Toyota Land Cruiser Prado from Muchinguri-Kashiri for US$60 000.

“We requested for but were not availed with the agreement of sale between Muchinguri and Psmas, according to the asset register, the vehicle was recorded as a Psmas pool vehicle,” states the report.

As part of the former Group chief executive’s benefits Psmas also purchased a house, Lot 1 of 31 Glen Lorne, Manyonga road, for Dube for US$534 120. Renovation costs amounting to US$301 862 were incurred for the property.

In 2012, Psmas purchased three properties worth US$10 696 208 for its subsidiary Premier Service Medical Aid Investment.

The report further states that the secondment of certain government officials to the Psmas board could have given rise to board compromise due to conflicting and competing interests as these representatives were not in a position to subsequently overturn or upset decisions made collectively at Psmas as board members.

On Tuesday, Parirenyatwa and Public Service, Labour and Social Welfare minister Prisca Mupfumira ordered Psmas board chairman Jeremiah Bvirindi to reinstate suspended managing director Henry Mandishona despite him facing a slew of allegations, including prejudicing the financially crippled institution of nearly US$300 000 in a space of four months.


  • comment-avatar

    these and other revelations show that this zanu pf government consists of largely of disgraceful unprincipled thieves.

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    It’s all about zanu pf mafia milking the public – nothing more nothing less.

    They are ALL the same – rotten to the core; and I literally mean ALL – including their commander-in-chief of looting together with his family & clan members.

    Question is: What shall we do, as Zimboz???

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    psalms 58 6 years ago

    And people are walking around with sticks because there is no money to fix them. How are we going to stop this?

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    Planter 6 years ago

    kukama chete…….

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    And do you believe that the govt wants to introduce a health insurance where they will milk us again as they are doing with NSSA, PSMAS and AIDS Levy. We are being abused and it is high time we say no to this rampant looting.Parirenyatwa is reinstating Mandishona to continue his looting of PSMAS.Students in SA did it we can do it also.

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    aminab 6 years ago

    Muchinguri some time back in 2002 once forced GMB to purchase the water damaged wheat grain. The gain marketing CEO Muvuti was advised that the purchase was not supposed to be done but she gave a directive that it must be bought to support black farmers. that grain was eventual taken in and scientific test over it proved that the grain was now poisonous and can not be fed even to a animals. The final result was to destroy the grain. The purchase of stands could be that the PSMAS did not want the stand but Muchinguri forced this because she wanted money and that this stand probably was over priced. In as much as now PSMAS board was forced by Parirenyatwa and Muchinguri to keep this Henry guy as PSMAS as CEO, the CEO is now extremely compromised, and the two ministers can always have their deals done with PSMAS without any one in PSMAS saying nothing. However the medical aid subscribers are the greatest losers.

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    Mazano Rewayi 6 years ago

    That’s what the sense of “entitlement” does to people. We should be wary of anyone who claims to do things “for the people”. Most of us are just plain liars, thieves, cheats, rapists and murderers in that order. Power accords a few the opportunity to bring these vices out without being brought to account. Only time will tell.

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    This is scary. Government officials should be banned from parastatals and PSMAS. The loot is just scary. God have mercy on Zimbabwe.