Breaking News

Bosso debt soars to $500 000

by Sports reporter
29 January 2013 | 3513 Views
HIGHLANDERS Football Club have been advised by their new auditors Grant Thornton to set up a workable accounting system to manage the club's finances as they continue to be saddled with debts of over $500 000.




Philip Ndlovu, a partner at Grant Thornton, on Sunday told the Bosso annual general meeting that the club's accounting system was not viable for the club which has been declared broke and unable to service its creditors.

"You are technically and factually insolvent. We cannot say you have enough resources to continue as a concern. Your creditors can also not be ascertained because of your system. If all your assets were to be sold you would not be able to meet your liabilities," Ndlovu said.

"The responsibility for the prevention of fraud and error rests with management through the implementation and continued operation of adequate accounting and internal control systems."

According to the executive summary of the auditors: "The company (Highlanders) incurred a cumulative net loss at the year ended December 31 2012 of $472 960 and, as at that date its total liabilities exceeded its total assets by $194 485. These events indicate a material uncertainty that may cast significant doubt on the company's ability to continue as a growing concern and, therefore, the company may be unable to realise its assets and discharge its liabilities in the normal course of business. The financial statements (and notes thereto) do not disclose this fact."

According to the summary, the Bulawayo football giants are $511 332 in the red and Grant Thornton said the club board and executive should advise of projects to trade Bosso out of insolvency, operate at a profit position and establish other projects to sustain core ventures.

Last year, Highlanders generated 73% of its total revenue from its football division, but it is noted that they incurred losses. Grant Thornton gave the thumbs up to the Manwele Beer Garden project which made a profit of $10 681 in five months.
Highlanders won a tender to run the beer garden from the city council.

The club was found wanting in authorisation of club expenditures, authorisation of journal entries, segregation of duties, audit preparedness, budgetary controls, revenue, creditors and payments.

It was, therefore, advised to hire quality staff and increase training, produce monthly management accounts, be prepared for audit, establish a well thought and feasible business plan and implement key accounting systems and controls.

Club chairman Peter Dube said they were working on measures to rectify the situation.

Bosso Debt

Source: newsday

Comments

Latest News

Harare councillor dies

by Staff Reporter | 04 May 2016 | 388 Views

True Christians created to rule

by Khumbulani Maphosa | 04 May 2016 | 481 Views

Female cop begs colleague to wear condom before being raped - A female...

by Staff rerporter | 04 May 2016 | 6344 Views

Mphoko, Mnangagwa fight over Joshua Nkomo

by Staff reporter | 04 May 2016 | 3842 Views

Watercolor artist to showcase artwork at Zim Achievers

by Tidi Kwidini | 04 May 2016 | 691 Views

Bosso top striker dragged into match-fixing scandal - HIGHLANDERS top ...

by Sports writer | 04 May 2016 | 2353 Views

Addressing people's anger is the answer, not muzzling the media - As t...

by Tendai Ruben Mbofana | 04 May 2016 | 848 Views

Obscure multi-currency usage blamed for cash shortages -RBZ - The Rese...

by Staff reporter | 04 May 2016 | 1443 Views

Queen Elizabeth's mother visited disputed top Mugabe's aide farm - COL...

by Itai Mushekwe | 04 May 2016 | 2484 Views

MP Cross calls for alignment of 400 Acts to new constitution - to what...

by Wilbert Mukori | 04 May 2016 | 562 Views

First Sci-fi novel in Shona relaunched - Muna Hacha Maive Nei? The fir...

by Belontos Books | 04 May 2016 | 437 Views

The Truth: Christians created to rule - For years now I have been aski...

by Khumbulani Maphosa | 04 May 2016 | 756 Views

Zim Ministers in a magical economic double act to half civil servants ...

by Patrick Guramatunhu | 04 May 2016 | 1107 Views

Tsholotsho ghost haunts Mnangagwa - CHIREDZI - Former Zimbabwe Sugar M...

by Staff reporter | 04 May 2016 | 1904 Views

'Mugabe must retire' - FORMER Zanu-PF Hurungwe West MP Temba Mliswa ha...

by Staff reporter | 04 May 2016 | 1326 Views

'Mnangagwa sabotaged' - ZANU-PF factional fights have been blamed for ...

by Staff reporter | 04 May 2016 | 1321 Views

Man accuses wife of 'locking' his penis - A Harare man, Trymore Mangez...

by Staff reporter | 04 May 2016 | 1600 Views

Mnangagwa, Mphoko cause scene at ZITF - VICE-President Emmerson Mnanga...

by Staff reporter | 04 May 2016 | 2022 Views

Lions stalk Bikita village - A PRIDE of lions is wreaking havoc in Bik...

by Walter Mswazie | 04 May 2016 | 977 Views

Entertainment

Tupac's mother, Afeni Shakur Davis, dies at 69

by Staff Reporter | 04 May 2016 | 1672 Views

'Ekhweni lami' a classic value for money project

by Vusmann | 03 May 2016 | 1064 Views

Macheso relishes SA tour - "We have performed in South Africa before, ...

by Tawanda Marwizi | 03 May 2016 | 1203 Views

Maita crowned Miss Africa Zimbabwe - Harare beauty, Maita Kainga was c...

by Bongani Ndlovu | 02 May 2016 | 1817 Views

1ns and 2s with DJ-Sticha - Know your song Mondays

by DJ-Sticha | 02 May 2016 | 1626 Views

Interview with musician Lyfe Martinez

by Staff reporter | 01 May 2016 | 2015 Views
iBlog

What To Look For In Video Converter Software

looking for the best video converter software? you have to compare different video converters before making a purchase.the ability to watch video on different types of devices is a wonderful thing. not so wonderful are the compatibility issues that ... Read More
Sergey 19 June 2015 ago

Tb Joshua Worst Enemy Angelique Tonge Exposed

About two years ago, we came out emphatically about those behind the t.b joshua watch. many were those who thought we were framing innocent people up or on a witch hunt. some events have vindicated us and the cat is out of the bag. it is said that no... Read More
pointblank 01 May 2015 ago