POLITICIANS, traditional leaders and the youths have been fingered in the looting millions of dollars donated through Community Share Ownership Trusts (CSOTs) resulting in most of the projects collapsing, a local environmental group has said.
CSOTs were launched in all provinces by President Robert Mugabe between 2010 and 2013, as a means by the government to force foreign owned companies to empower local communities.
However, the trusts were dismissed by the opposition parties and the civil society at the time as part of a political campaign tool for Zanu PF, as they would only benefit a few people, drive away foreign investors and affect employment creation.
According to a report released by the Zimbabwe Environmental Law Association (ZELA), only 21 from the 61 trusts launched are still operational.
The trusts have received millions of dollars from the foreign owned companies, especially mining firms but, according ZELA, looting, corruption and lack of sound financial management, resulted in the collapse of most of the projects.
"Once they were established (trusts), interested parties that included chiefs, headmen, youths, politicians, employees and administrators saw them as cash cows," said a recent ZELA report.
"In the melee that ensued, mechanisms to promote accountability and transparency were forgotten," reads the report.
The lawyers argued that in the absence of investment plans, the donated funds were exposed to massive looting, mismanagement and misappropriation.
Although the report does not mention any names, senior government and Zanu PF officials and youths have been at the fore front of forcing the foreign owned companies to contribute to the trusts or risk closure.
ZELA said trusts in Zvishavane and Mberengwa are currently engaged in a tussle over the control of $10 million donated by platinum mining company, Mimosa Mining Company.
The conflict follows an order from the National Indigenisation and Economic Empowerment Board (NIEEB) to the Zvishavane Trust to transfer half of the $10 million to the Mberengwa Trust since Mimosa operates in both districts. The NIEEB is a state owned entity that monitors if foreign owned companies are compliant with the country's indigenisation laws.
However, the Zvishavane Trust is against the decision as it contends that it should receive more than the Mberengwa Trust as most of Mimosa's operations are in Zvishavane.
The trust also argues that it had used $4 million already and would be left with only $1 million if it gave the Mberengwa CSOT its share, and it would be unable to complete most of its planned projects.
In Manicaland province, in 2013, villagers were promised, through the Marange-Zimunya CSOT, $50 million after the five diamond mines in the area each pledged before President Mugabe $10 million, but the trust only received $400 000 at the end. The diamond mining companies have since been booted out and the government has taken over operations.
However, the $400 000 donated remains unaccounted for amid speculation that it was looted by senior government and Zanu PF officials.
According to the ministry of youth development, indigenisation and empowerment 2015 records, at least $134 million was pledged by some of
the targeted businesses. However, most of these funds cannot be accounted for.
Elsewhere, it is a different story in Mutoko and Mudzi where black granite mining companies have told the government that they cannot contribute to the community as they are operating under difficult economic conditions.