Detection of Creative Accounting Related Frauds in the Zimbabwean Cotton Industry-The Internal Auditor’s Role: Evidence From One Large Cotton Company

Prompted by behavioural manifestations of massive creative accounting and fraud perpetration in the Zimbabwean cotton industry, particularly in the pre-dollarisation era, the research identifies the need to assess the value of the internal audit function in detecting creative accounting related frauds in this busy industry which is characterized by seed cotton procurement as a key activity. The study employed the quantitative research design, studying one large cotton company in Zimbabwe. Data was collected from ten out of twelve depots in one region and sampling was random. The study defined creative accounting related fraud as rule bending, falsification or manipulation of accounting information, loophole seeking, and systematic misrepresentation of the income and assets of the company. Statistical tests for relatedness between the internal audit function and fraud detection were done. Empirical evidence suggests that the more internal audit visits the more the reported frauds. Keywords: Internal audit; Creative accounting; Fraud detectio

Impact of Alexandra Township on the water quality of the Jukskei River

Accommodation shortage in Alexandra Township, South Africa, has resulted in the establishment of informal settlements on any open land including Jukskei River banks. The closely built dwellings among several other factors have made refuse removal difficult and sanitation facilities inadequate, hence waste including human excreta is discharged on open lands or into the Jukskei. These wastes affect the water quality of the Jukskei River. This study, therefore, determined the changes in water quality as the Jukskei River flowed past Alexandra. Eleven physical, chemical and microbiological parameters were monitored between May and December 2009 at four sites in the Jukskei catchment using standard methods. Water entering Alexandra was only significantly high in turbidity (27.1 ± 4.5 NTU) while water exiting Alexandra contained significantly high pH (7.7 ± 0.1), nitrate (0.36 ± 0.07 mgN/l) and orthophosphate (0.41 ± 0.17 mgP/l). There was no statistical difference in Escherichia coli in the water upstream and downstream of Alexandra. The high nitrate-N, orthophosphate and E. coli downstream of Alexandra were likely to be associated with raw sewage, domestic and animal waste. Most measured parameters in water exiting Alexandra were within the acceptable ranges of aquatic ecosystems guidelines. Ammonium-N and electrical conductivity, however, fell into the bad categories of the aquatic and domestic guidelines respectively. E. coli concentrations were above the drinking water (0 cfu/ml) and recreational (<1.3 cfu/ml) guidelines. Turbidity and total suspended solids were significantly higher in the wet season than in the dry season while orthophosphate, suspended particulate organic matter, pH and electrical conductivity were higher in the dry season at all sites. The changing seasons had no significant influence on temperature, nitrate-N and dissolved oxygen at all the sites. The results suggest that some activities like poor waste disposal in Alexandra can reduce the water quality of the Jukskei River

Are Directors Remunerated for Corporate Performance?

Key corporate stakeholders in Zimbabwe contest the directors' remuneration and incentive systems. The study sought to find out if directors’ remuneration is aligned to corporate performance as reflected by corporate share prices. Secondary data was gathered from detailed annual reports of the companies listed on the Zimbabwe Stock Exchange whose directors’ remuneration data information could be accessed. Samples of nine companies in 2009 and thirteen companies in 2010 were used. Correlation Coefficients, Regression Analysis, Chi Square Tests and Averages were used to analyse data for discussion. Results indicated a weakening positive correlation between directors’ remuneration and corporate performance over the two years. The research concluded that Directors’ remuneration in Zimbabwe is not linked to corporate performance and that good corporate governance is lacking in most of these companies as suggested by the dearth of information on directors’ remuneration. The research recommended the central determination of directors’ remuneration based on agreed corporate performance measures / indicators. Individual directors’ fees need to be disclosed in the ZSE Handbooks. Further research with an increased sample size is encouraged. Keywords: Directors’ remuneration, firm performance, share pric

Customs and Tax Reforms Effect on Manufacturing aqnd Retail Sectors in Matebeleland (Zimbabwe) (2000-2010)

The last decade (2000-2010) has been witness to one of the largest customs and tax experiments in economic history, the transformation from one tax system to the other. These changes in the customs and tax systems have had a lasting impact on the manufacturing and retail industries in Zimbabwe. The purpose of this dissertation is to test empirically whether customs and tax policies exist in Zimbabwe and whether these policies/reforms have been beneficial to the local industry. This is done by studying the manufacturing and retail industries in Matebeleland province. A sample of twenty (20) companies has been drawn from the Matebeleland region. Questionnaires have been distributed and interviews conducted with these companies using the stratified random sampling method. Results of the survey indicate that the customs and tax systems that have emerged are, at least in some way, satisfactory in terms of policy but deficient in terms of administration and enforcement. Inadequate education on implementation of the changes in tax and customs systems has contributed to some existing policies on customs and tax incentive not being correctly implemented. Controls on the implementation of the existing policies are not water tight, leaving room for implementers’ discretion and ambiguity. Experiences with the tax reforms have been diverse, with some respondents knowing very little about them. It also shows that despite changes in customs reforms, many businesses are still relying heavily on imported goods. The results from the study suggest that further tax reforms should take into account the need to build vertical accountability of the tax system by ensuring that taxpayers are more involved in the formulation of tax policy and planning for any reforms. Policy makers and implementers of taxes and customs laws should be engaged in meetings to map the way forward whenever changes to taxes and customs systems are about to take place. This should be followed by public awareness campaigns. The tax system must protect local industries, encourage the investments that make manufacturing successful, not tax it to benefit the rest of the economy. Key words: Tax Planning, Tax and customs reforms

How the Integrated Approach to Corporate Governance Enhances Company Performance? Case of Delta Beverages.

The researcher wanted to find out how the integrated approach to corporate governance enhances company performance. In the past periods many corporations collapsed and this was attributable to failure to keep in pace with corporate governance evolution trend. On contrary the performance of Delta Beverages proved to be well and it is in that same period that it appreciated and adopted the evolution in corporate governance leading to its adoption of an integrated approach to corporate governance. In light of this, the researcher was then prompted to find out how this integrated approach enhances company performance. The study looked into many sources of literature on the integrated approach to come up with more informed scientific outcomes on the effectiveness of risk management in GRC, how GRC enhances company performance and the benefits accruing from the adoption of GRC. Conclusions were drawn from a total sample of 33 respondents consisting of directors, managers and general employees. It then became evident that the integrated approach to corporate governance enhances company performance and the researcher advocates that the manufacturing industries adopt it. Key words: Governance, Risk Management, and Complianc

Barriers and coping mechanisms relating to agroforestry adoption by smallholder farmers in Zimbabwe

PURPOSE: The purpose of the present study was to investigate agroforestry adoption by smallholder farmers in Gutu District, Zimbabwe. DESIGN/METHODOLOGY.APPROACH: The methodology was based on field data collected through household questionnaires, key informant interviews and direct observations. FINDINGS: Major findings reveal that traditional agroforestry was common in the study area. There were no cases of innovative agroforestry other than dwindling remnants from a former trees-withpasture project. Majority of respondents were willing to adopt innovative agroforestry technologies to improve yields and income. Damage and destruction of plants by pests and animals due to lack of fences emerged as the major challenges to the adoption of agroforestry. Other challenges included seed availability and labour requirements. Possible coping strategies, identified through consulting farmers and other stakeholders, would include local initiatives and support from outside the community. Local and external efforts are required especially to secure inputs and raise awareness, knowledge and skills with respect to specific agroforestry technologies. PRACTICAL IMPLICATIONS: The paper presents pointers on the involvement of women in agroforestry and on the cultural significance of indigenous and exotic fruit trees. It provides practical lessons useful to extension or rural development workers in a localised set-up. ORIGINALITY/VALUE: The case study gives an insight into the problems faced by peasant farmers and the requirements to make agroforestry successful. Practitioners in southern Africa could learn a great deal about issues relating to smallholder farmers from reading this paperhttp://www.tandfonline.com/loi/raee2

Does Corporate Size Influence CEO Incentives? Case of Zimbabwe Stock Exchange Listed Companies

The study sought to analyse the alignment of Chief Executive Officers (CEO) s’ incentives to corporate size (Sales / Revenue) in Zimbabwe Stock Exchange (ZSE) listed companies in 2009 to 2010 trading years. The research was motivated by the results of various findings from previous researches mostly in developed countries. The findings had results ranging from a negative relationship, no relationship, disappearing relationship to a positive relationship being observed. Some of these researches failed to give results because of total lack of information on directors’ fees. Quantitative data was analysed using simple regression model and Chi Square Test. Correlation coefficients were also calculated. The research found a very weak positive relationship between CEO incentives and corporate size and that the link is quickly weakening towards a no relationship if not a negative relationship. The basis for the setting and changes in CEO incentives for the Zimbabwe Stock Exchange listed companies remains a mystery. Information on CEO incentives was unexpectedly very scarce. This resulted in the Chi Square Test results at 5% significant level suggesting that the different sample sizes used could have influenced the research findings – the fall in the relationship. Key words: CEO Incentives; Firm Size; Corporate Performanc

Does Corporate Size Influence CEO Incentives? Case of Zimbabwe Stock Exchange Listed Companies

The study sought to analyse the alignment of Chief Executive Officers (CEO) s’ incentives to corporate size (Sales / Revenue) in Zimbabwe Stock Exchange (ZSE) listed companies in 2009 to 2010 trading years. The research was motivated by the results of various findings from previous researches mostly in developed countries. The findings had results ranging from a negative relationship, no relationship, disappearing relationship to a positive relationship being observed. Some of these researches failed to give results because of total lack of information on directors’ fees. Quantitative data was analysed using simple regression model and Chi Square Test. Correlation coefficients were also calculated. The research found a very weak positive relationship between CEO incentives and corporate size and that the link is quickly weakening towards a no relationship if not a negative relationship. The basis for the setting and changes in CEO incentives for the Zimbabwe Stock Exchange listed companies remains a mystery. Information on CEO incentives was unexpectedly very scarce. This resulted in the Chi Square Test results at 5% significant level suggesting that the different sample sizes used could have influenced the research findings – the fall in the relationship. Key words: CEO Incentives; Firm Size; Corporate Performanc

Decolonising Science, Technology, Engineering and Mathematics (STEM) in an Age of Technocolonialism : Recentring African Indigenous Knowledge and Belief Systems

Positing the notions of coloniality of ignorance and geopolitics of ignorance as central to coloniality and colonisation, this book examines how colonialists socially produced ignorance among colonised indigenous peoples so as to render them docile and manageable. Dismissing colonial descriptions of indigenous people as savages, illiterate, irrational, prelogical, mystical, primitive, barbaric and backward, the book argues that imperialists/colonialists contrived geopolitics of ignorance wherein indigenous regions were forced to become ignorant, hence containable and manageable in the imperial world. Questioning the provenance of modernist epistemologies, the book asks why Eurocentric scholars only contest the provenance of indigenous knowledges, artefacts and scientific collections. Interrogating why empire sponsors the decolonisation of universities/epistemologies in indigenous territories while resisting the repatriation/restitution of indigenous artefacts, the book also wonders why Westerners who still retain indigenous artefacts, skulls and skeletons in their museums, universities and private collections do not consider such artefacts and skulls to be colonising them as well. The book is valuable to scholars and activists in the fields of anthropology, museums and heritage studies, science and technology studies, decoloniality, policymaking, education, politics, sociology and development studies