Maravi

Security wings probe K4.4tr over-procurement of road projects

Security wings probe K4.4tr over-procurement of road projects
By Mwala Kalaluka
Thu 20 Oct. 2011, 14:00 CAT

A JOINT team of officers from various state security wings have moved into the Road Development Agency to probe the MMD government's alleged over-procurement of road projects by over K4.4 trillion this year.

Impeccable RDA sources told The Post on Tuesday that a combined team of officers from the Drug Enforcement Commission, Zambia Police and the Anti-Corruption Commission moved into RDA head office over a week ago and so far some top managers at the road agency had been questioned.

"These people security officers have set up base here. They moved in
to follow those issues of the over-procurement and the other issue of
the US$27 million.

They moved in just after those stories came out in
the newspaper," one of the sources said. "They are calling individuals
and so far some top managers have been called for questioning."
The sources said the probe was being done quietly.

Highly-placed National Road Fund Agency (NRFA) sources, RDA's sister
agency in the road sector, also confirmed the ongoing probe but
expressed ignorance as to whether or not the investigations would
extend to NRFA.

Asked to confirm the over-procurement probe at the RDA, DEC
Commissioner Alita Mbahwe said Inspector General of Police Dr Martin
Malama was the appropriate authority to comment on the matter since it
was a joint security operation.

Dr Malama, when called, asked to be contacted later as he was
attending a meeting.

Efforts to get comment from RDA executive director Dr Michael Mulenga
proved futile as his mobile phone went unanswered.

RDA sources recently disclosed that the Rupiah Banda administration
over-procured road works through the agency by over K4 trillion in its
election campaign-motivated urban and township projects.

The Luambe Mondoloka-led RDA board, which was dissolved by President
Michael Sata for alleged corrupt practices, is reported to have also
influenced the award of a contract to tar the Pedicle Road to an
Italian contractor whose contract bid was K60 billion over and above
the lowest bidder, China Heinan.

The sources said there was a possibility that part of the money
obtained from the inflated road projects went towards bankrolling the
MMD's futile 2011 election campaign.

A status report of projects under the so-called Formula One township
roads rehabilitation works dated September 26, 2011 indicates that
contrary to the MMD's claims that the road works covering three
provinces cost K1.3 trillion, the projects totalled over K2 trillion.

Towards the just-ended elections, former president Rupiah Banda and
his ministers said the K1.3 trillion used in the upgrading of township
roads on the Copperbelt, Lusaka and Central provinces was obtained
from the mines.

The sources said this amount added to the cost of 'political' projects
undertaken by the previous government on the Copperbelt, Northern and
Western provinces caused the over K4.4 trillion overprocurement of
projects outside the RDA's approved budget.

The political projects that were over-procured outside the budget by
the RDA include the Mufulira-Chembe Pedicle Road, Nakonde-Mbala,
Isoka-Muyombe, Kasama-Mporokoso, Mbesuma Bridge and Mongu-Kalabo.

The sources said the true cost of these projects could only be
ascertained once a technical audit was carried out. The sources
further disclosed that a Chinese contractor awarded a contract to
carry out road rehabilitation works on a key road in Northern Province
had not commenced the works despite obtaining US$27 million advance
payment from the RDA.

In 2008, the RDA over-procured road projects by K1.3 trillion leading
to the suspension and dismissal of the agency's executive director
Erasmus Chilundika and other senior managers.

President Sata dissolved the RDA board two weeks ago, saying it was
another conduit of corruption where contracts were awarded without
tenders.

Labels: ACC, CORRUPTION, DEC, RDA, ROADS

posted by MrK @ 2:54 PM