‘Investigate Winston Projects’
Leaders urge Government to investigate TC Winston projects for misappropriation of public money. Political party leaders and industry experts are calling for an investigation into the schools’ rehabilitation project and the Help for Homes initiative that
Both projects are labelled as scams and fuels for cancerous corrupt practices because the Ministry of Finance, through the disbanded Construction Implementation Unit (CIU), failed miserably in ensuring proper checks and balances as mandated in the Financial Management Act.
The Minister for Finance is responsible for ensuring the Government’s financial resources are managed effectively and efficiently.
The CIU, headed by Mohammed Shah then, was established by the ministry, with Aiyaz Sayed-Khaiyum as line minister, to help Fijians build back their lives following Category 5 Tropical Cyclone Winston in 2016.
Construction Industry Council president Gordon Jenkins said people continuously took advantage of public funds for years despite the regulations.
Fiji Labour Party leader Mahendra Chaudhary, Unity Fiji Party Leader, Savenaca Narube, and former Member of Parliament, Niko Nawaikula, say many people made money, while those affected suffered.
Government paid lead consultants for the schools’ rehabilitation project $18.5 million in total fee claims, which industry experts say is exorbitant because there was no cost control. Many contractors, some were paper companies formed overnight, also took advantage of the situation to make money.
“A lot of bad apples in the industry and it spoils it for the guys who are being straightforward and honest about everything,” Mr Jenkins said.
Many affected Fijians, who qualified for the Help for Homes initiative and were not fully assisted, are still waiting for their grievances to be resolved or compensation because of the failure of hardware merchants, Vinod Patel and Company Limited, and RC Manubhai Company Limited, to deliver complete housing materials despite swiping people’s cards that were loaded with money allocated by Government.
“The sad thing is that those who may have benefited from this scam are rich and well off,” Mr Narube said.
The coalition Government is drawn into the controversy, facing calls to establish a commission of inquiry to investigate the processes undertaken in the two projects, and other Government-funded initiatives. “Taxpayers deserve accountability,” Mr Narube said.
“The amount of money that may have been wasted through the lack of project management and oversight are significant. They run into millions of dollars.”
Mr Chaudhary said $300 million was a large sum in terms of Fiji’s economy.
However, the coalition Government has remained mum. Questions put to the Minister for Finance, Biman Prasad, Prime Minister Sitiveni Rabuka and Minister for Trade, Cooperatives, Small and Medium Enterprises and Communications, Manoa Kamikamica, remain unanswered.
“I am quite disappointed that parties that are now in Government were talking about so much corruption, are doing nothing about this to investigate and to take people to task,” Mr Chaudhary said. Mr Narube added “if the Government does nothing, they may be hiding their own complicity”.
In 2017, the Asian Development Bank identified the inconsistencies between the 2013 Constitution, the Financial Management Act 2004 and the Finance Instructions 2010 had not facilitated clear accountability and governance in the management of public funds.
PROBLEMS OF THE PAST
There were a lot of problems in the awarding of tenders, and Mr Nawaikula says the problems that existed from the FijiFirst time, still exists.
“There is the danger of the current Government falling into that unless and until you review the tender process...ensuring it is transparent and favouritism does not come into play,” he said.
“A school in Qamea was built by a boat builder from Nadi, but it was not completed...that came about because of favouritism, which means tender process was not transparent.
“It is hard, but it can be done and for those people who had illegally
A lot of money were made by people who were close to FijiFirst and to get everything out in the open, will need a comprehensive investigation ... Mahendra Chaudhary Former Prime Minister and Leader of Fiji Labour Party
The option to forgive instead of investigating is a grave injustice to the people. We can not have two sets of laws - one for the rich and another for the poor ... Savenaca Narube Unity Fiji Party Leader
There is the danger of the current Government falling into that unless and until you review the tender process ... ensuring it is transparent and favouritism does not come into play. Niko Nawaikula Former Member of Parliament
and unlawfully benefited, they must be investigated.”
Mr Nawaikula said there was clear evidence that the Government was awarding contracts to people they knew, people who supported FijiFirst.
“A lot of money were made by people who were close to FijiFirst and to get everything out in the open, will need a comprehensive investigation,” Mr Chaudhary said. Mr Chaudhary added the tendered advertisements were tailor-made to suit certain companies.
“These contracts were given to selected people and these companies were formed overnight, they were paper companies, and after obtaining the contracts, they subcontracted the work to other smaller builders. People made money sitting in their offices.”
Mr Chaudhary claimed there was collusion by those contractors and the former Minister for Finance, Mr Sayed-Khaiyum.
“Sayed-Khaiyum is known to be very close to these hardware merchants,” he said.
Mr Chaudhary said comments that the emergency resulted in the payout of large sum of money to complete projects were excuses which didn’t stand up for scrutiny.
“Schools were not built over night, and some children studied in tents for four years,” he said.
The former Prime Minister said the FijiFirst Government did not follow the regulations and tender procedures.
Mr Narube aired similar comments that the tender process may have been compromised.
INVESTIGATION ARM
Mr Nawaikula said we must never let go of people who abuse, even if it went back 16 years.
He said the Fiji Independent Commission Against Corruption (FICAC) was incompetent for not acting on the evidence given to them. “FICAC must change that. They must look at all the evidence again. They were pushed aside because people who were reported were members of the Government or friends of FijiFirst,” Mr Nawaikula said.
He added the $10.1 million budget allocated to FICAC indicated that it had the capacity and training to gather evidence.
Mr Nawaikula emphasized the need for a commission of inquiry to investigate individual cases and with credible evidence given to FICAC to proceed with it.
“Those found guilty of conspiracy, fraud, corruption and abuse of office must face justice,” Mr Narube said.
“The option to forgive instead of investigating is a grave injustice to the people. We cannot have two sets of laws – one for the rich and another for the poor.”
ADDRESSING THE LOOPHOLES
The processes of procurement have been strengthened over the years, but a lot of work still must be done to eradicate corruption.
“We need the support of the Government, non-governmental organisations, civil societies, and the people. We must include this topic in the school curriculum,” Mr Narube said.
Mr Jenkins said licensing contractors was one way to ensure the contractors were competent and acceptable to the Government and the public.