G6: Wicknell Chivayo Gwanda Solar Funds Dispute Revealed

• G6, Wicknell Chivayo's brother, revealed he invested US$220,000 into the Gwanda Solar Project in 2015 but never received his promised US$1 million share.
• The 100-megawatt Gwanda Solar Project, valued at US$172.8 million, remains largely stalled more than a decade after its inception.
• The Zimbabwe Power Company (ZPC) terminated Intratrek Zimbabwe's contract in 2018, citing non-performance, after advancing approximately US$5.6 million.
• The Zimbabwe Supreme Court upheld the contract's validity, ruling ZPC's termination unlawful and highlighting ZPC's procedural shortcomings.
• Recent reports indicate Intratrek Zimbabwe has received a Notice to Proceed to complete the project within 24 months.

The Zimbabwe Supreme Court Gwanda solar ruling, which validated the contract and found ZPC's termination unlawful, has left a void in accountability regarding the US$5.6 million advanced funds and the project's continued stagnation.

The intricate financial dealings surrounding the 100-megawatt Gwanda Solar Project, valued at approximately US$172.8 million, have recently been brought into sharper focus through a personal account shared by G6, the brother of project developer Wicknell Chivayo. Speaking at a funeral, G6 provided a new perspective on the 2015 agreement that initiated the controversial project, which was awarded to Wicknell’s company, Intratrek Zimbabwe Pvt Ltd. G6 recounted how, in 2015, Wicknell approached him, stating he had secured the Gwanda solar project but required capital to finalize the necessary paperwork.

In response to this request, G6 liquidated a significant portion of his personal assets, selling most of his vehicles to raise US$220,000. He stated that Wicknell had promised him a US$1 million share from the anticipated US$5 million proceeds of the deal. G6 vividly recalled a morning less than two months later when Wicknell informed him that the deal had been finalized and US$5 million had been paid, leading G6 to believe his promised US$1 million was imminent, envisioning himself as a millionaire by age 24. However, G6 claimed his excitement was short-lived, as Wicknell subsequently ceased communication. G6 later observed Wicknell posting on social media about lavish purchases, including US$90,000 shoes and international travel to the United States, while G6 awaited his payment. Upon confronting his brother, G6 alleged that Wicknell claimed the money was "already gone" and offered a vehicle valued at approximately US$400,000, an amount G6 deemed significantly less than their original agreement. G6 characterized this incident as an example of his brother’s "hustling mentality," suggesting that even family members could fall victim to his business tactics.

Despite its ambitious goal to supply 100 megawatts of solar-generated electricity to Zimbabwe’s national grid, the Gwanda Solar Project remains largely incomplete more than a decade after its inception. A recent inspection of the 262-hectare site revealed a neglected property, extensively overgrown with bushes and shrubs, showing minimal evidence of significant power generation infrastructure. The presence of termite-infested wooden structures, missing roof tiles, and a single solar panel reportedly used for security lighting, alongside a poorly maintained access road, underscores the project's apparent abandonment. Nevertheless, reports from the previous month indicated a potential revival, with Intratrek Zimbabwe having reportedly received a Notice to Proceed from the government, aiming for project completion within 24 months.

The history of the Gwanda Solar Project is marked by a complex series of legal disputes, primarily between the Zimbabwe Power Company (ZPC) and Intratrek Zimbabwe. ZPC initially awarded the contract to Intratrek in 2015 but proceeded to terminate it in 2018, citing non-performance as the primary reason. Following this termination, ZPC initiated legal proceedings against Intratrek, seeking to recover funds that had been advanced for the project's development. ZPC contended that Intratrek had failed to fulfill its contractual obligations despite receiving an advance payment of approximately US$5.6 million.

However, the legal battles did not yield the straightforward accountability ZPC had anticipated. The courts ultimately determined that ZPC's termination of the contract was unlawful. This ruling hinged partly on specific contractual conditions and the obligations related to project funding. The Zimbabwe Supreme Court subsequently upheld the validity of the contract, a decision that highlighted various procedural and contractual shortcomings on the part of ZPC. The collapse of ZPC's case in court left significant questions unanswered regarding the fate of the project, the advanced funds, and the precise responsibilities of each party under the terms of the agreement. The Intratrek Zimbabwe ZPC contract dispute thus became a prominent example of the challenges inherent in large-scale public-private partnership legal risks.

The personal financial dispute between G6 and Wicknell Chivayo, coupled with the protracted legal battles between Intratrek Zimbabwe and ZPC, underscores the multifaceted Gwanda Solar Project controversy. The alleged financial dispute between the brothers, where G6 claims he was left without his promised share after investing US$220,000, reflects a broader narrative of informal financial arrangements complicating formal contractual obligations in high-stakes public infrastructure projects. G6's characterization of his brother's "hustling mentality" offers a glimpse into the personal dynamics that can intertwine with and potentially impact the execution of significant national developments.

The Zimbabwe Supreme Court Gwanda solar ruling, which validated the contract and found ZPC's termination unlawful, has left a void in accountability regarding the US$5.6 million advanced funds and the project's continued stagnation. This outcome raises critical questions about due diligence, the robustness of contract drafting, and the long-term implications of judicial decisions on project viability and public accountability in Zimbabwe. The ongoing complexities surrounding the Gwanda Solar Project serve as a cautionary tale for lawyers and compliance officers, highlighting the challenges in contract enforcement and the recovery of advanced funds within large-scale public-private partnerships, particularly when informal financial dealings are alleged to have occurred.

Lawyers and compliance officers should note the ongoing legal and financial complexities surrounding large-scale public infrastructure projects in Zimbabwe, particularly the challenges in contract enforcement, recovery of advanced funds, and the potential for informal financial arrangements to complicate formal contractual obligations. This case serves as a cautionary tale regarding due diligence, robust contract drafting, and the long-term implications of court rulings on project viability and accountability.

Source: Original reporting based on recent revelations.