ADB Meeting Probe: Are Public Funds at Risk?

A further investigation is set to be conducted regarding the procurement of goods and services for the 52nd Asian Development Bank Annual General Meeting held in 2019, focusing on potential mismanagement within the Ministry of Civil Services.

In a session of Parliament, Esrom Immanuel, Chair of the Standing Committee on Public Accounts, introduced a motion to discuss the review of a special investigation report related to the procurement matters concerning the 52nd ADB meeting.

The Ministry of Civil Service was tasked with organizing the international event, which saw participation from over 3,000 individuals representing 76 countries. As the host nation, the previous government allocated $10 million for the event, but the actual expenses totaled $10.9 million, raising concerns about transparency and the management of financial resources.

The Assistant Minister for Finance stated that the Auditor General’s report, which underpins the investigation, points out several critical issues, including potential fraud, non-compliance with financial regulations, and conflicts of interest among vendors. He noted that the Auditor General’s office found adequate evidence indicating the presence of fraud in certain payments.

Immanuel highlighted that the investigation uncovered delays in the processing of key contracts and identified inefficiencies in fund management. He stressed that, while the investigation and subsequent enhancements are vital, there was a significant delay in the report’s publication. Although the report was completed in December 2020, it was not submitted to Parliament until May 2023.

He reiterated the investigation’s importance in encouraging necessary reforms and called for ongoing oversight to prevent the mismanagement of public funds in the future. Additionally, Speaker Ratu Naiqama Lalabalavu invoked Standing Order 20 to forward the matter to the public accounts sub-committee for further inquiry, with anticipation for their report.

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