Dora tribunal hears evidence on radar tender
Dora tribunal hears evidence on radar tenderWritten by Maluba Jere and Mwala Kalaluka
Friday, March 06, 2009 6:30:52 PM
THE Dora Siliya tribunal yesterday heard that Zambia Public Procurement Authority (ZPPA) director general David Kapitolo was reluctant to cancel the tender awarded for the installation of radars at the Lusaka and Livingstone international airports.
This is in a matter where former communications and transport minister William Harrington and ten civil society organisations had asked Chief Justice Ernest Sakala to set up a tribunal to investigate alleged corruption and abuse of office involving communications and transport minister Siliya.
Harrington and the ten civil society organisations urged justice Sakala to probe Siliya for allegedly breaching the Parliamentary and Ministerial Code of Conduct in her engagement of RP Capital Partners of Cayman Islands to value Zamtel's assets before partial privatisation, her cancellation of a tender that was awarded for the installation of radars at the Lusaka and Livingstone international airports and her alleged claim of K12.5 million from Petauke District Council as refund for two hand pumps for two boreholes sunk in one of the wards called Nyika, when in fact the hand pumps were procured at K5 million.
During cross-examination by Siliya's lawyer Eric Silwamba, Kabwata Patriotic Front (PF) member of parliament Given Lubinda told the tribunal that Kapitolo in his letter dated January 14, 2009 addressed to the permanent secretary at the communications and transport ministry stated that the ZPPA had not found any compelling reason to justify the cancellation of the awarding of the tender.
Lubinda told the tribunal that according to Kapitolo's letter, ZPPA refused to cancel the tender. Lubinda also read another letter from Kapitolo to the communications and transport permanent secretary stating that six bids were received for the contract and that at a meeting on December 5, 2008, the Central Tender Committee recommended that SELEX was the preferred bidder.
The tribunal heard that according to a memorandum from the chief purchasing and supply officer addressed to Siliya and her deputy Mubika Mubika dated December 12, 2008, the ministry was advised that any purchase above K2.5 billion should be done by the ZPPA.
Lubinda, who read the memorandum, said the tender was not invited by the ministry as it was above the authorised threshold [K2.5 billion] adding that the method used was not acceptable to then ZNTB [now ZPPA] and did not meet the sourcing requirements.
"...I advise that the Ministry of Communication and Transport has no authority to undertake high value procurements not within its threshold," read the letter in part. "...Note that the company selected was a reputable manufacturer of radar system and there should be a substantial explanation why the contract awarded was cancelled."
Silwamba also asked Lubinda to read a letter dated January 7, 2009 authored by National Airports Cooperation (NAC) managing director Robinson Msitala to the director at Civil Aviation Department, which indicated that it was difficult to calculate how adequate the offer to SELEX to supply radar at the airports would be, saying it was not clear unless clarified.
He also testified that in that letter, Msitala raised concerns about the option to repair the radar and that he would prefer that a new one be procured.
Another letter addressed to the Secretary to the Cabinet noted that it was unfortunate that the letter of offer to SELEX had been brought to the attention after ZNTB [ZPPA] granted the authority to award the contract.
"...SELEX met the technical personnel from NAC and the communications and transport ministry and opted to supply modern radars...," Lubinda read the letter in part.
And judge Chitengi advised Silwamba to produce documents showing the status of Thales Air Systems S.A. when Siliya's time to give evidence in the matter comes.
This was after Silwamba asked Lubinda if he took time to surf the internet to check the status of Thales Air Systems S.A after he had been shown the documents by Post managing editor Amos Malupenga.
When Lubinda said he did not check, Silwamba told the court that he wanted to show the witness some of the documents he had personally downloaded from the internet on the status of the company.
Judge Denis Chirwa told Silwamba that if he showed the witness those particular documents, then the tribunal would have to admit them as part of the evidence to which Silwamba asked for some time to get the copies.
He explained that one of the allegations leveled against his client was that she canceled the tender arbitrarily and that the documents he wanted to show the witness were relevant to the proceedings.
Silwamba told the tribunal that he was not anxious and that he wanted to show Lubinda the document because when he first appeared to testify, he told the court that he was the chairperson for the African Parliamentarian Network Against Corruption (APNAC).
Judge Chirwa then told Silwamba that he could show Lubinda the documents, provided they were admitted as evidence.
At this point, Bonaventure Mutale reminded Silwamba that he needed to abide by the ruling made over the production of the documents.
Mutale said there was no point in the counsel trying to be seen to be arguing to which Silwamba conceded.
Silwamba then asked Lubinda to look at the yellow book for this year's budget and tell the court whether there were provisions for the valuation of Zamtel's assets.
Lubinda said under the heading 5101 on page 621, there was a provision of K1 billion for a number of enterprises including Zamtel.
Silwamba also asked Lubinda to read the letter from the acting principal counsel for the Solicitor General regarding the Memorandum of Understanding (MoU) between the government and RP Capital.
Lubinda said the letter indicated that the acting principal counsel noted that the word "propose" was consistently used.
He also read a letter dated January 5, 2009 written by Attorney General Mumba Malila to the permanent secretary at the Ministry of Communications and Transport.
Lubinda testified that Malila wrote to the permanent secretary saying it was not immediately clear why the Ministry of Communications and Transport should be party to the MoU rather than the finance ministry.
He said Malila registered some lack of clarity over the matter.
Lubinda also told the tribunal that Siliya in a letter dated December 11, 2008 wrote to Kapitolo instructing that the awarding of the tender for the radars be suspended to restore confidence in the process and that a new tender be initiated.
Lubinda said according to the letter, the new tender was to allow manufacturers of radars to submit bids.
He said the same day Siliya wrote the above letter, another letter of notification for the supply of the radar was written by the permanent secretary in the communications and transport ministry.
Earlier, Lubinda told the tribunal that he did not take possession of any documents relating to Siliya's alleged defrauding of Petauke District Council of K12.5 million in fake refund claims.
He said it was clear that the role of the National Assembly of Zambia was not limited to the appropriation of funds through the budgetary allocations and that it also had oversight role through the Auditor General's report or any other national reports of the utilisation of public funds.
Lubinda explained that the National Assembly had no direct supervisory role over Constituency Development Funds through parliamentary constituency offices ,saying the funds were superintended over by district councils.
He further said the allocation of the CDF was the responsibility of the Constituency Development Committees (CDC), which make recommendations to the planning unit of the local council and that these appraisals were later submitted to the district coordinating committee.
Lubinda said CDCs were guided by a set of guidelines produced by the Ministry of Local Government and Housing and that they were obliged to abide by the same guidelines.
He testified that when he read about the allegations concerning Petauke Council in the press, he was perturbed and that he approached the complainants to prove that the allegations were not malicious and that he was shown the documents upon which the allegations were based.
Lubinda told the tribunal that regarding the Petauke CDF and hand pumps, he confronted one of the originators of the allegations [Transparency International Zambia president] Reuben Lifuka in particular who is also a witness in the tribunal.
Asked by Silwamba whether it was illegal or permissible for a parliamentarian to make a donation to a constituency they represent if they had some extra money, Lubinda said it was not only permissible but practical, it had been done and shall be done in the foreseeable future.
He also told the tribunal that the document on Petauke Council as well as other documents shown to him satisfied his anxiety as to whether the allegations were unfounded and malicious.
Lubinda reiterated that his aim was not to investigate but to establish whether or not the accusers had a basis to make such serious allegations.
Labels: CORRUPTION, DORA SILIYA, GIVEN LUBINDA, PRIVATISATION, WILLIAM HARRINGTON
posted by MrK @ 6:32 PM
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