Georgetown: The Auditor General (AG) in his 2020 report has found several breaches in procedures regarding the purchase of items, and the subsequent handing over by the Ministry of Amerindian Affairs, under the watch of its former Permanent Secretary, Sharon Hicks, who was recently charged on allegations of corruption.
The AG, Deodat Sharma, found that purchases totaling in excess of $32 million were made, however, he was uncertain if the items bought were of benefit to the respective communities since at the time of the audit it was unclear whether the items were delivered or put to use.
He said in one instance, some $22.851 million was expended for the purchase of two Toyota Land Cruisers for Kaibarupai and Waipa Villages in Region Nine.
“The approval was granted by NPTAB on 24 November, 2020 and the contract was signed on 18 December, 2020. The sum of $11.425M was paid to the supplier on 13 January, 2021. The Land Cruisers were registered on the 29 July, 2021 and was physically verified in August 2021,” the Report detailed.
However, at the time of reporting in September 2021, the vehicles were still in the Ministry’s compound and were not handed over to the villages. As a result, the intended benefits of the vehicles are still to be achieved, the AG contended.
In response to the finding of the Audit Office, the Head of Budget Agency stated that the Ministry acknowledged the finding and explained that the agency faced some “unforeseen challenges” during the process. It was also noted that due to the deplorable condition of trails, deliveries were not possible.
As a consequence, the Audit Office recommended that the Head of Budget Agency ensure that the vehicles be put into use as intended, so that the benefits can be derived.
In another instance, the Auditor General found that the Ministry of Amerindian Affairs purchased a generator valued at $5.904 million for St. Cuthbert’s Mission and while the Ministry claims to have handed over the equipment, there were no supporting documents to prove same.
“The generator was received on 16 January, 2021 and reportedly handed over to the community. However handing over records were not submitted for audit. As a result, it could not be determined to whom the generator was handed, and whether it is being used as for the purpose(s) intended,” Sharma said in the Report.
To this, the AG said that the Head of Budget Agency stated that the asset was removed from the Ministry Stores to the Village. The Audit Office therefore recommended that the Head of Budget Agency obtain the relevant records and submit same for scrutiny.
Additionally, the sum of $3.925 million was expended for the purchase of solar radios for hinterland communities. While the equipment was received by the Ministry they were not put into use. As a result, the intended benefits of the radios were not achieved.
In response to this finding, the Head of Budget Agency stated that the solar radios were in possession of the Ministry and would soon be delivered, as planned. The Audit Office recommended that the Head of Budget Agency ensure that the equipment be put into use as intended, so that the benefits can be derived.
More than two months after she was allegedly caught red-handed collecting a bribe from a contractor, Hicks was charged on December 17, 2021 for the offence. Hicks, 42, of Onderneeming, West Bank Demerara, appeared in the Georgetown Magistrates’ Courts before Chief Magistrate Ann McLennan, in the company of her lawyer, Sase Gunraj.
She denied the charge, which stated that on October 7, 2021, at 251-252 Thomas and Quamina Streets, Georgetown, while being an agent employed by the Government of Guyana, she obtained from Heramainie Chintamanie, for herself, $200,000 as an inducement or reward for processing the payment requests for security services provided.
Gunraj made a bail application for his client to be released on bail and it was granted by the Magistrate.
The defendant was placed on $100,000 bail and the matter was adjourned to December 20, 2021, for statements.
The AG report has since flagged several transactions the PS was involved in. For instance, the Ministry of Amerindian Affairs last year, not only sole sourced the purchase of 112 tractors and trailers for Amerindian Villages and Communities on the basis of market research and non competitive bidding, but the cheques were drawn up for payment even before a contract was signed.
The Auditor General in his report found that Cabinet granted its “No-objection” on December 30, 2020 for the award of a contract in the sum of $446.880M for the supply and delivery of 112 tractors and trailers for the Amerindian Communities and Villages.
According to the report, the award was made using the single source method of procurement on the basis of market research, which revealed that Mahindra Tractors are the most economical tractors on the market with the four-wheel drive and 75 horse power needed for development in the Amerindian Communities/Villages.
Compounding the situation, it was noted that the contract was signed between the Ministry and a local supplier on 31 December, 2020—the last financial day for the year.
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