NHS hit by pension scandal

Published: 5 hours ago

Zimbabwe's state-controlled National Handling Services (NHS) is facing a serious corporate governance and financial scandal, with reports of unremitted pension funds totaling nearly US$1 million and questionable travel and entertainment allowances for top executives.

The crisis surfaced following the dismissal of several senior executives last year, including former CEO Godknows Maravanyika, CFO Question Maisera, and HR head Shamiso Nyangairi, who were accused of graft, incompetence, and corporate governance failures. Acting appointments have since been made, with Philip Rambakudzibwa and Emmanuel Black taking over as interim CEO and CFO, respectively.

Sources told The Standard that NHS's current board, led by Chairman Gwevedza, has allegedly prioritized personal perks over operational responsibilities. Reports claim the chairman spent over US$140,000 on overseas trips and claimed substantial entertainment allowances, while employees endured delayed salaries. Allegations also include nepotism, unprocedural transactions, and a failure to remit pension contributions amounting to over US$900,000.

One insider said, "The chairman went to South Africa for a corporate governance meeting, double-dipped by claiming allowances, and demanded US$6,000 for entertainment. Meanwhile, statutory obligations like pensions were ignored."

In response, NHS defended its operations, stating all travels were sanctioned and for legitimate corporate governance purposes. The company confirmed that pension remittances have resumed and that outstanding payments for former employees are being addressed. NHS said the non-remittance debt of US$661,960.53 and ZWG4,981,979 as of July 31, 2025, was a legacy accrual inherited from previous lapses.

"The acting leadership, despite challenges, has restored standard operating procedures and made significant progress in a short period," NHS said in a statement. The company added that US$1.5 million is required to sustain its operations in Zimbabwe, while the Zimbabwe Dry Port needs US$1.8 million.

The financial and governance concerns coincide with observations from the Auditor General, Rheah Kujinga, who noted in the 2024 parastatal report that NHS's going concern status is uncertain, with current liabilities exceeding current assets by ZWL$919 million.

Formerly a subsidiary of Air Zimbabwe, NHS was disbanded in 2012 and retained a monopoly over passenger handling at local airports until 2023, when the government licensed Aviation Ground Services, a privately owned operator, to handle travelers.

The unfolding scandal raises fresh questions about oversight, accountability, and the sustainability of state-controlled enterprises in Zimbabwe's aviation sector.
- The Standard

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