Employees told this newspaper they had not been paid, with some saying they were owed money dating back to more than a year ago. Gono left RBZ in December last year after serving for a decade. He reportedly acquired most of the companies during his tenure as governor. It is understood that he sought to have his term extended by a year but President Robert Mugabe turned down his request.
Gono, who owns a web of companies in the construction, banking, hospitality, agribusiness, fuel, transport, publishing and security sectors, is facing a raft of corruption charges at the Constitutional Court following an application by Munyaradzi Kereke, his former advisor at the Bank.
In response to questions submitted by email, Gono said he was away until January 20 and would respond on his return “and possibly take (the reporter)on a personal tour of my companies so he can see for himself if they are ‘struggling’ to the point he has been misled to believe.”
Gono added: “Please advise him not to join the list of those being used to tarnish the image of the retired governor.”
The companies in his empire include Omega Abattoir, Luna Chickens, Dobadoba Construction, Ecosoft, Phoenix Security, Earth Core, The Financial Gazette, Sun Estates and the Chivu based Vics Tavern Hotel, as well as several fuel concerns, including an oil transporting company, Avante, Malborough Service Station and a service station at Murambinda business centre in rural Chivu.
In addition, Gono has several farms, including the 4,000 hectare New Donnington, some 60 km southwest of Harare, and Rimaitidye. A source at the once-thriving New Donnington, speaking anonymously, said production at the farm had drastically gone down over the years, with a lean team of workers now tilling a few hectares of potatoes and soya beans.
“We are experiencing a severe shortage of inputs. A good number of workers have left the farm because of poor production and non-payment of salaries over many months. Some skilled workers have found jobs elsewhere,” said the source.
He claimed that Gono, unlike in the past, hardly visited the farm and had told workers that they should find alternative means of income. As result some of them helped themselves to the little produce resulting as the farm, in order to survive.
A visit to New Donnington by The Zimbabwean revealed that it is now overgrown with grass and weeds, with hardly any production taking place. Irrigation equipment is breaking down and the workers complained that have no means of transport. Of late, the small workforce has been busy with potato harvesting, but the workers say the crop was farmed on a small piece of land, and left buyers disappointed because they could not meet demand.
Omega Abattoirs, which slaughters cattle for sale to Harare butcheries and other private buyers, has also fallen on hard times. Based in Norton, it used to employ about 60 full time workers, but the number of beasts being slaughtered has reportedly fallen sharply.
“Most of us have not been paid for the last 12 months and the going is tough for us. Gono does not have a hands-on approach to the business and we have not seen him in ages,” said the source, adding that Omega, like the other businesses owned by Gono, was a victim of poor management.
Some workers said Group Chief Executive Officer Velanjani Lupanga had asked employees to write letters asking to be laid off without terminal benefits. “This is not acceptable. There is no way in which we can just walk away after years of loyal service. It looks like these guys want to crook us,” said one of the employees.
Lupanga did not respond to numerous calls, and the only time he did so, he promised to call back but had not done so by the time of going to print.
Late last year, one of Gono’s companies, Luna Chickens, was taken to court by Crest Breeders International, accused of defaulting on paying for $17,000 worth of poultry products.
Post published in: News
After paying Biti his legal fees in the Kereke case, Gideon Gono’s or what remains of it will be history. Come on Biti, extract as much as you can from the fool. Ndiwe wadini hako?
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….Gideon Gono’s wealth…….
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….Gideon Gono’s wealth…….
The real issue in any operation is growth. Most of the companies that were acquired in the aftermath of the economy or before 2008 had experienced real growth but that growth could not survive as the industrial and farming sectors were disrupted by the exit of those who owned them and their customers. If Zimbabwe is to experience growth of any kind in any business, whether mining, industry, banking or whatever, let do research before we go further, otherwise we lose it all. These businesses can only grow if the whole macro economic environment is working in tandem. Where are the customers that used to support these businesses? If the customer base is sound the whole environment should have worked. If the customers are in flee markets, they are supporting that line of commerce and industry-nothing wrong, but this is the issue in business takeovers around the world. The customer base must remain to support the industry. I am jealous for my country especially when we are losing everything while we hold them in our hands.
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