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— has unravelled deep-seated infighting in the local authority.
A group of youths under the banner of Upfumi Kuvadiki marched to protest the Easipark deal as well as the alleged proliferation of foreigners in the retail sector.
The demonstration was, however, hijacked by rowdy elements who looted and damaged property at the Gulf Complex near Market Square.
Sources yesterday revealed that the Easipark deal remains largely unexplained to most officials at Town House.
Town clerk Dr Tendai Mahachi chairs the Easipark management committee.
Other members of the committee are council workers Mr Alois Masepe (business development unit) and Mr Richard Chigerwe from the city health department.
Two brothers only referred to as the Dubes represent South Africa’s Easihold.
Government yesterday said it would investigate the contentious deal.
Youth Development, Indigenisation and Empowerment Minister Saviour Kasukuwere said: “We are not happy with the reports we are getting from these councils.
“The fact that a foreign-owned company was engaged without due consideration for local companies needs to be investigated.
“Government will set up a team to investigate such allegations.”
Minister Kasukuwere said Monday’s demonstration was justified.
“The youths are reacting to some of the corrupt activities by some individuals and officials in council. We are saying corruption must come to an end.
“This also shows the rampant corrupt activities across the country.”
Senior managers at Town House yesterday said the Easipark issue has dominated several directors’ meetings.
“For example, I can confirm that the city treasurer has on several occasions demanded council’s share in the deal.
“His efforts have been frustrated,” said the source.
However, Dr Mahachi said money generated from parking fees is banked and a dividend is shared at the end of the financial year.
He said the city owned 60 percent of Easipark, which is a private concern, while the South Africans have the remainder.
“A dividend will be paid at the end of the year. We are still implementing the deal,” he said.
Sources indicated that Easipark rakes in around US$79 000 every month but none of the money has been channelled to council.
Dr Mahachi said Easihold “has what it takes in this transformation process” as the city needs a partner with modern technology and a proven track record in running commercial parking facilities.
The company, however, displays the South African flag on its logo and signage.
Dr Mahachi said the city in 2007 advertised and showcased at the Zimbabwe International Trade Fair and the Harare Agricultural Show the business opportunities within council, including parking facilities.
The Affirmative Action Group and Upfumi Kuvadiki, a new pressure group, have accused the city of sidelining locals in the deal.
Dr Mahachi yesterday said: “The strategy was to secure a partner who had, not only the modern vehicle control technology but also, and more importantly, proven expertise and experience to run parking facilities as a business venture.
“For effecting the transformation of council’s parking facilities from being a service provision activity to a modern viable business, Easihold (Pvt) Ltd will get a 40 percent profit share while City of Harare gets 60 percent.”
The joint venture, Dr Mahachi said, would subsist for five years after which the city would assume full ownership.
“At the end of the five-year joint venture, the City of Harare will inherit a functional and modern parking infrastructure operating as a viable business enterprise.
“The public has to know that the parking account was making losses all along and was being subsidised by the ratepayer.”
Dr Mahachi said since Easipark was a private business entity complaints should not be directed to Town House.
Meanwhile, business returned to normal at the Gulf Complex yesterday with traders dismissing claims that the shops are largely foreign-owned.
Leaders of the Upfumi Kuvadiki group tried to stop the hooligans without much success.
Yesterday, traders and shop owners were repairing or installing screen gates and windows at their premises.
It emerged that less than 30 out of the 240 shops there are foreign-owned.
The looters complained that they could not compete with foreigners on the rent market.
A trader, Mrs Juliet Kambani fumed, “We are surprised with the demonstrators’ behaviour. How do they explain the destruction and looting from my shop? I am also a Zimbabwean who is trying to make ends meet.”
Another trader, who only identified himself as Norbert, said the demonstrators had no reason to vent their anger on shop-owners.
“We were caught in crossfire and there is no way I am going to recover my stuff. I think the youths should seek to have their concerns addressed by the municipality and Government.”
Gulf Complex owner and manager Mr Hussein Safeiddine bemoaned the attack on the traders.
“I came here to invest in accordance with the country’s laws and if these people have any complaints they should direct them to Government not these tenants.
“Yes I can acknowledge that there are some people of foreign origin but they are less that five percent of the total number of stand owners here.
“There is no law regulating who can be a tenant at the complex.”
He dismissed reports of subletting at the complex.
“In the event of one is found subletting, the tenant automatically loses his lease agreement,” Mr Safeiddinne said.
However, tenants spoke of widespread subletting.
“You have to be well connected to get a shop here. Most of us are subletting from the real tenants for a fee,” said one trader who preferred not to be named.