ACC, CPBN enter RedForce saga

ACC, CPBN enter RedForce saga

WALVIS BAY – The Anti-Corruption Commission (ACC) and the Central Procurement Board of Namibia (CPBN) have been roped in to scrutinise the procurement process and the contract between RedForce and the Walvis Bay municipality.

A detailed report was also sent to the ministry of urban development on the contract which was allegedly awarded dubiously. 

The municipality contracted RedForce on a five-year term last year to recover more than N$300 million owed to it by residents in unpaid rates and taxes.

ACC spokesperson Josefina Nghituwamata confirmed on Friday that the matter had been referred to the commission.

“Kindly take note that while the commission has been made aware of the matter, it has not yet complied to warrant a preliminary investigation,” she said.

Reports or complaints submitted to the ACC are usually evaluated initially before a thorough investigation is carried out, provided all requirements are satisfied. 

“Thus, the matter will be evaluated and subjected to preliminary investigation once all those requirements are met,” she added.

Residents earlier demanded the removal of RedForce, resulting in the council passing a motion to terminate the contract. 

RedForce challenged the motion in the High Court, resulting in a decision against the council.

The council appointed advocate Richard Metcalfe to scrutinise the contracts and dealings between the administration and RedForce.

He earlier submitted his findings, indicating that RedForce received payments of more than N$17 million during the first nine months.

Metcalfe stated that the tender should have been referred to the CPBN for proper guidelines to be followed.

“It would have cost a simple calculation to determine that N$302 million is outstanding to the municipality, and 12% thereof is N$36 million. This simply shows that this tender could not be entertained by the local authority, as it exceeded the N$20 million threshold,” he stated in his findings.

Unaware

Meanwhile, the chairperson of the management committee Richard Hoaeb said during a press conference last Friday that the municipal administration appointed RedForce through the Procurement Act without their knowledge. 

He observed that the council was not aware of any other details because they do not have the mandate or power to interfere with procurement matters, including tenders. 

“The council is not allowed to interfere. We do not even know how tenders are advertised, or the entire process until the final award. It does not go through any of the council committees or the council itself. We did not have any information on how things were done,” he stressed.

CPBN 

Hoaeb also mentioned that the procurement board had been engaged recently to get more clarity on the appointment of RedForce.

“They will also conduct their own investigation,” he said.

The Public Procurement Act states that any consulting service which exceeds the N$20 million threshold needs to be remitted to the CPBN for allocation to a successful bidder.

CPBN spokesperson Johanna Kambala earlier stated that the CPBN did not handle any procurement awards which had to do with debt-collection by RedForce.

Finance ministry spokesperson Wilson Shikoto also said they have no recollection of an exemption granted or requested in relation to this matter.

 He added that the procurement method used in this instance is a non-consultancy service. 

“In instances where the procurement is above the threshold of a public entity, an exemption should be requested from the minister,” he emphasised.

His worship 

Walvis Bay mayor Trevino Forbes acknowledged there was an informal presentation by RedForce after the council put pressure on the administration, which was reporting losses rather than generating money for the council.

“It should be noted that none of the political parties serving on the council had anything to do with the appointment of Red Force. It was an administrative decision,” he said. 

The mayor continued that despite the differences in opinion, all political parties have a role to play in serving residents.

“There will be differences of opinion. However, this difference in opinion should not hamper the progress of service delivery to our residents, and I can assure you it doesn’t,” he said.

“We must be very cognisant of what we say in public to protect not only the residents, but also this institution. Sometimes, we forget about the role the institution plays in the lives of the residents of Walvis Bay,” Forbes said.

Governor 

Meanwhile, Erongo regional governor Neville Andre engaged the council last week to address the infighting among councillors.

He stated that it is unacceptable that one of the biggest municipalities is marred by controversy.

“These are things one can expect from village councils, not top-tier municipalities.  We must leave our differences aside as we don’t serve our parties when elected, but look after the interests of the community,” Andre said.

-edeklerk@nepc.com.na