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An anonymous source who spoke to The Herald revealed that the decision to terminate the contract for the dualisation of the Beitbridge-Harare Highway was made by Cabinet and not President Emmerson Mnangagwa as an individual.
The source said the decision was made after consulting with the Attorney-General, Advocate Prince Machaya,who informed Mnangagwa that the agreement with Geiger International could be terminated without legal consequences provided that there should be a material breach of the contract and secondly, the terminating part should give the other a notice of intention that should last for 60 days to effect the termination. According to Cabinet deliberations of March 13, 2018, Geiger International failed to provide proof of funding.
The source said the first breach of contract by Geiger International was the failure to provide proof of funding. The second breach is that two years after the signing of the agreement, there hasn’t been anything happening on the road. This is despite the fact that Transport Minister Joram Gumbo was quoted by the Zimbabwe Broadcasting Corporation (ZBC) stating that the project was underway.
More: <a href="https://www.herald.co.zw/govt-sets-record-straight-on-geiger/">Herald</a>

Pindula News

Why Govt Terminated Austrian Company's Dualisation Of Beitbridge-Harare Highway Contract

Construction of the Harare-Beitbridge highway is set to start next April after government signed an agreement with the Austrian contractor Geiger international on Wednesday. The project is expected to take 3 years to complete.
Speaking to journalists on Wednesday, Transport Minister <a href="http://www.pindula.co.zw/Joram_Gumbo">Joram Gumbo</a> confirmed the development and said that the project would be implemented under a 25-year Build Operate Transfer (BOT) model, with Geiger International funding the entire $984 million project. In terms of the contract, at least 40 percent of the value of the project will be sub-contracted to local  companies.
The project had initially been given to a 14 company consortium, Zimhighways but the project never took off due to disputes between the company and government. Government accused the contractors of failing to provide money for the project, while Zimhighways accused government officials of demanding bribes.
More: <a href="http://source.co.zw/2016/11/zim-govt-signs-1bln-deal-for-harare-beitbridge-highway/">The Source</a>

Govt signs $1 billion deal for Harare-Beitbridge highway construction

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