NetOne CEO arrested for alleged US$1,2m fraud

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NetOne CEO arrested for alleged US$1,2m fraud
NetOne CEO arrested for alleged US$1,2m fraud

Africa-Press – Zimbabwe. In a dramatic development that has sent shockwaves through Zimbabwe’s corporate sector, the Zimbabwe Anti-Corruption Commission (Zacc) has arrested NetOne Cellular (Pvt) Ltd chief executive officer Raphael Mushanawani, over allegations of fraud amounting to more than US$1,2 million.

The arrest stems from a complex web of alleged financial misconduct and abuse of authority relating to the company’s transition from its aging SAGE 1000 system to a modern Enterprise Resource Planning (ERP) solution.

According to Zacc, the allegations date back to 2022, when NetOne entered into a US$3,5 million contract with Farevic Systems (Pvt) Ltd for the supply and implementation of the new ERP system—a move widely seen as a strategic overhaul aimed at enhancing efficiency and accountability within the State-owned telecoms giant.

However, while the ERP project was still in progress, Mushanawani allegedly connived with Christopher Muchechemera from the finance department reportedly circumvented established governance structures by independently engaging another company, Lunartech Solutions (Pvt) Ltd.

The purpose, according to Zacc, was to upgrade the very same SAGE 1000 system that was being phased out.

Without the knowledge or approval of NetOne’s executive committee or board of directors, Mushanawani is accused of authorising an initial payment of US$257 600 to Lunartech.

This amount later ballooned to over US$1,2 million after he allegedly signed two further contract addendums.

These financial decisions were reportedly made unilaterally and in violation of procurement and corporate governance procedures.

In a further twist, Mushanawani is also accused of signing yet another unauthorised contract with Diztech (Pvt) Ltd, valued at US$79 467.

This contract, Zacc alleges, was for consultancy and training services that were already fully covered under the original agreement with Farevic Systems rendering the Diztech contract not only redundant, but also financially injudicious.

The cumulative effect of these transactions, Zacc investigators contend, suggests a deliberate intent to defraud the organisation of public funds through opaque dealings and duplicate contracts.

Mushanawani, who has maintained a public profile as a reform-driven executive since his appointment, is expected to appear before the Harare Magistrates Court on Tuesday September 30, 2025.

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