ZCTU threatens action as top officials rip off NSSA

BUSINESS REPORTER

Top government and the National Social Security Authority (NSSA) officials have turned the State-owned pension fund   into a feeding trough, fleecing the organisation at the expense of workers and pensioners, the Zimbabwe Congress of Trade Unions (ZCTU) has said.

NSSA has come under heavy fire after serious allegations emerge against Public Service, Labour and Social Welfare Minister Paul Mavima, who is alleged to have directed the pension fund to buy a Borrowdale house valued at US$350 000 for him while he waited for his US$500 000 housing allowance for government ministers.

NSSA is also accused of making poor investment decisions that have done little to improve the welfare of pensioners.

ZCTU acting secretary-general, Kudakwashe Munengiwa told Business Times that the union was not happy with the way NSSA is being run, threatening action

“Every year we hear that some funds have been stolen from NSSA. We hear that millions of dollars have been looted by individuals. This is now unacceptable and we cannot continue without taking some measures against that,” Munengiwa said.

The concern by ZCTU comes at a time when the Zimbabwe Anti-Corruption Commission is also looking to probe NSSA investment director, Brian Murewa on allegations of fraud.

Murewa is said to be on the run.

NSSA acting general manager, Charles Shava was arrested last week on criminal abuse of office charges. He appeared before the courts and was granted ZWL$500 000 bail.

He said NSSA was now being used by the wealthy and powerful government officials as a vehicle to enrich themselves at the expense of the “exposed and insecure”.

“It is called NSSA because it caters for the social security of the exposed and insecure. In this case we see that NSSA is being used by the rich to enrich themselves further. As ZCTU, we are totally against this and we demand that the minister (Mavima) comes clean on these alleged corruption activities.

“We don’t expect NSSA to be a Ponzi scheme, we don’t expect it to benefit those who are already getting a huge chunk from the national cake.”

A number of corruption activities have been raised within NSSA and workers` pension savings had been appropriated leading to the beneficiaries not getting any value from the pension fund, according to Munengiwa.

He said the recent allegations involving Mavima were “worrisome as they involve the gatekeepers tasked with good corporate governance at the entity”.

He demanded that the minister publicly respond to the corruption allegations being levelled against him and recused himself from NSSA pending investigations in order to restore public confidence in the institution and the pensions sector.

“It is also bothersome that before any decisive action is taken on the findings of the NSSA forensic audit report, multi-faceted malpractices involving senior management continue to emerge and this time the minister is implicated in the same corrupt shenanigans.”

Munengiwa also called for accountability and punitive action against those involved in corruption.

NSSA is a statutory body established in terms of the NSSA Act of 1989 to provide social security.