A new investigation will be conducted into the procurement of goods and services related to the 52nd Asian Development Bank (ADB) Annual General Meeting held in 2019, amid concerns of possible mismanagement within the Ministry of Civil Services.
During a session in Parliament, Esrom Immanuel, Chair of the Standing Committee on Public Accounts, proposed a motion to discuss a review of the special investigation report concerning the procurement linked to the ADB meeting. The Ministry of Civil Services was tasked with organizing the event, which drew over 3,000 participants from 76 countries.
The former government allocated $10 million for the event, but the actual expenditure reached $10.9 million, prompting concerns regarding the transparency and oversight of financial operations.
The Assistant Minister for Finance noted that the report from the Auditor General, which initiated this investigation, identified several key issues, including potential fraud, breaches of financial regulations, and conflicts of interest related to vendor selection. He mentioned that there was adequate evidence of fraud associated with some payments.
Immanuel pointed out that the investigation uncovered delays in contract processing for the major event and inefficiencies in fund management. He expressed that while the investigation and proposed enhancements were essential, the report’s delivery was considerably delayed. Although finalized in December 2020, it was not presented to Parliament until May 2023.
He underscored the investigation’s significance in fostering necessary reforms and insisted on ongoing supervision to avert future mismanagement of public funds. In a related development, Speaker Ratu Naiqama Lalabalavu invoked Standing Order 20 to refer the issue to the public accounts sub-committee for further examination, and they will now await the sub-committee’s findings.