Half a billion kina allegedly stolen

By TODAGIA KELOLA

MORE than half a billion kina belonging to the people of Yangoru Sausia Electorate has been alleged to have been stolen, and misappropriated between the months of January and June, 2012.
This is contained in an Investigation report by the Finance Department into the management and use of Yangoru-Sausia District Support Improvement Program or DSIP funds and District Support Grants or DSG funds that was recently completed.
The investigation was requested by the Member for Yangoru-Sausia and Trade, Commerce and Industry Minister, Richard Maru following numerous public complaints of corruption, theft and misappropriation leveled against the former Member, Peter Wararu Waranaka, the former District Administrator, Theo Kiliawi and the former District Treasurer, Mr Dominic Yuangu.
Mr Waranaka through a spokesman, Rodney Kamus said the former MP will respond to the allegations against him. Mr Kamus said the former MP is aware of these allegations but is awaiting police to first make arrests on election fraud first.
“We will respond to the allegations at the right time but we will wait for police to make arrest on the alledged fraud in the recent elections first before we make any comments.” Mr Kamus said.
In a press conference yesterday Minister Maru said “An independent financial investigation into the management and use of Yangoru-Sausia District Support Improvement Program funds and District Support Grants funds, found evidence of misappropriation, mismanagement, abuse and theft of K5,352,905.55 between the months of January and June, 2012.”
The investigation carried out by the Finance Department, using its powers under the Public Finance (Management) Act 1995, found serious breaches of the Finance Management Act where the payments approved by the former District Administrator and Treasurer were without any authority.
According to the report payments were done without following financial procedures and processes under the Public Finance Management Act and there were no complete record of such payments being kept. These include purchase of motor vehicles without tenders, DSIP funds were used to fund suppliers whose services were not approved by the Yangoru-Sausia Joint District Planning and Budget Priority Committee.
Even the Ombudsman Commission froze expenditures in June, they still used Yangoru-Sausia District Funds as shown in the reports. Minister Maru said this is only the tip of the iceberg and very sickening if in 6 months a total of K5, 352,905.55 was misused and stolen.
Minister Maru called on the Police to quickly finaliae investigations into the K5m Tangori to Yekimbole road funds allegedly diverted by Mr Wararu and deposited into Yangoru-Sausia District accounts.
He said this is a potential misappropriation case involving state funds.
Minister Maru has formally handed the Investigation report to the Chairman of the Taskforce Sweep Sam Koim to investigate those implicated in the report. Minister Maru has requested the Sweep Team to use the Proceeds of Crimes Act to recoup and recover the funds.