Fraud? Mike Harris Fails to Deliver Vehicles Despite Extended Deadline

A major procurement scandal has rocked the Zimbabwe Revenue Authority (Zimra) as supplier Mike Harris failed to deliver the majority of vehicles despite being paid a massive US$209 million and granted additional time to fulfill the contract. Out of the 85 vehicles ordered, only 15 Toyota Hilux units were delivered, while the entire batch of 50 Toyota Corolla vehicles remains undelivered.

This revelation was made in a report presented before Parliament by Public Accounts Committee chairperson Charlton Hwende, highlighting serious irregularities in Zimra’s procurement processes.

According to the report, Harris attributed the non-delivery of the vehicles to challenges in securing foreign currency. However, despite Zimra’s efforts to recover the vehicles through arbitration, the authority lost the case. Fortunately, it successfully appealed to the Procurement Regulatory Authority of Zimbabwe and later won the case in the High Court, leading to Harris’s debarment.

“The Auditor-General noted that the authority had not received all vehicles despite paying Z$209 million. It paid for 85 vehicles, yet the supplier delivered only 15 of the 35 Toyota Hilux units and none of the 50 Toyota Corolla vehicles,” the report stated.

Hwende further explained that prepaying in Zimbabwean dollars significantly contributed to Harris’s failure to deliver, exposing serious flaws in Zimra’s asset procurement strategy.

Zimra’s inability to enforce contract terms and secure a favorable arbitration ruling raises concerns about poor oversight and mismanagement in handling supplier agreements. The committee has now urged Zimra to abandon prepayment policies and ensure that payments are made only after goods have been received.

The report also underscored broader weaknesses in Zimra’s procurement system, stressing the need for tighter controls and stricter due diligence when engaging suppliers.

In addition to the procurement scandal, the audit exposed that Zimra’s vehicle fleet is severely outdated, leading to escalating maintenance costs. Of the 135 vehicles inspected across five regional offices, 44 were deemed non-runners, further hindering Zimra’s operational effectiveness.

The authority’s dependence on outdated vehicles is exacerbated by insufficient Treasury funding, making it increasingly difficult for Zimra to fulfill its mandate efficiently.

“The audit noted that Zimra’s vehicles were aged, leading to significant repair and maintenance costs. In the five regional offices reviewed, there were 134 old vehicles, 44 of which were non-runners,” the report highlighted.

Hwende emphasized that Zimra lacks proper systems for disposing of non-functional vehicles. As a corrective measure, the committee recommended that Zimra establish a board of survey to oversee the disposal of non-runner vehicles by December 31, 2025.

The failure of Mike Harris to deliver the contracted vehicles, despite being given ample time, has sparked outrage and renewed calls for accountability in public procurement. Moving forward, Parliament is urging Zimra to implement stricter controls to prevent similar fraudulent dealings that waste public funds and compromise service delivery.