ACC ponders Namcor probe
TheAnti-Corruption Commission (ACC) is considering whether to launch its own investigation into a damning Namcor forensic report.
The forensic investigation carried out by auditing firm Deloitte reportedly looked into conflict of interest allegations and potential nepotism in the awarding of tenders by Namcor managing director Immanuel Mulunga. There were claims that Mulunga had tampered with the awarding of a N$2.2 million contract to a Malaysian company, Hyrax Oil, to supply oil products to Namcor, without the board's approval.
In his resignation letter recently, former Namcor board chairperson Patrick Kauta wrote he had handed over the report to the ACC and the ministry of mines and energy, adding there was overwhelming evidence for further investigations to be conducted.
“The Deloitte report contains significant recommendations on the next steps that should be taken in the process.
“The Deloitte investigation report records prima facie evidence of a number of senior Namcor employees, including the MD and three executives having contravened provisions of the Public Procurement Act,” wrote Kauta.
According to him, there were possible contraventions of certain sections of the Anti-Corruption Act, which when read in conjunction with the procurement legislation, would require further investigation on the part of the ACC.
The ACC's head of investigations, Nelius Becker, confirmed receiving the report but said that it was now up to ACC director-general Paulus Noa to decide whether to investigate or not.
“I can confirm that such a report was received and is currently with the director-general of the ACC, pending his decision on whether the ACC will investigate the allegations or not,” Becker said.
Upon delivering the report with its findings, Kauta said: “I do not desire to subject myself to a contravention of the Anti-Corruption Act. I hereby resign, effective immediately, upon delivery of the Deloitte report, in accordance with the letter enclosed herewith to the ACC.”
Mulunga was suspended in December 2017 to pave the way for investigations to be done without any interference, but later returned to his post.
Kauta, who led the board that initiated the audit, was widely believed to be on a crusade to remove Mulunga from Namcor.
The audit, which cost Namcor N$3.2 million, was rejected by Mulunga who claimed it was not budgeted for and was also not subjected to the necessary procurement processes.
This led to a further a governance squabble between himself and Kauta.
It was also previously reported that the board had briefed public enterprises minister Leon Jooste and mines minister Tom Alweendo about their plan to suspend and charge Mulunga, based on the findings of the Deloitte report. The two ministers, however, pulled the plug on this plan and said the board should rather discipline the MD while he is working.
Mulunga was not available for comment, as his cellphone went unanswered yesterday.
OGONE TLHAGE
The forensic investigation carried out by auditing firm Deloitte reportedly looked into conflict of interest allegations and potential nepotism in the awarding of tenders by Namcor managing director Immanuel Mulunga. There were claims that Mulunga had tampered with the awarding of a N$2.2 million contract to a Malaysian company, Hyrax Oil, to supply oil products to Namcor, without the board's approval.
In his resignation letter recently, former Namcor board chairperson Patrick Kauta wrote he had handed over the report to the ACC and the ministry of mines and energy, adding there was overwhelming evidence for further investigations to be conducted.
“The Deloitte report contains significant recommendations on the next steps that should be taken in the process.
“The Deloitte investigation report records prima facie evidence of a number of senior Namcor employees, including the MD and three executives having contravened provisions of the Public Procurement Act,” wrote Kauta.
According to him, there were possible contraventions of certain sections of the Anti-Corruption Act, which when read in conjunction with the procurement legislation, would require further investigation on the part of the ACC.
The ACC's head of investigations, Nelius Becker, confirmed receiving the report but said that it was now up to ACC director-general Paulus Noa to decide whether to investigate or not.
“I can confirm that such a report was received and is currently with the director-general of the ACC, pending his decision on whether the ACC will investigate the allegations or not,” Becker said.
Upon delivering the report with its findings, Kauta said: “I do not desire to subject myself to a contravention of the Anti-Corruption Act. I hereby resign, effective immediately, upon delivery of the Deloitte report, in accordance with the letter enclosed herewith to the ACC.”
Mulunga was suspended in December 2017 to pave the way for investigations to be done without any interference, but later returned to his post.
Kauta, who led the board that initiated the audit, was widely believed to be on a crusade to remove Mulunga from Namcor.
The audit, which cost Namcor N$3.2 million, was rejected by Mulunga who claimed it was not budgeted for and was also not subjected to the necessary procurement processes.
This led to a further a governance squabble between himself and Kauta.
It was also previously reported that the board had briefed public enterprises minister Leon Jooste and mines minister Tom Alweendo about their plan to suspend and charge Mulunga, based on the findings of the Deloitte report. The two ministers, however, pulled the plug on this plan and said the board should rather discipline the MD while he is working.
Mulunga was not available for comment, as his cellphone went unanswered yesterday.
OGONE TLHAGE
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