Allegations of Fraud Rock Fiji’s 2019 ADB Meeting Budget

The Ministry of Civil Service has forwarded serious allegations of fraud and legislative violations to the Fiji Independent Commission Against Corruption concerning the previous administration’s management of the 52nd Asian Development Bank Leaders Meeting in 2019. This referral was made last year and is currently being revisited by both the Ministry of Civil Service and the Ministry of Finance.

During a parliamentary session, Assistant Minister for Finance Esrom Immanuel revealed that the Office of the Auditor-General identified signs of fraud related to payments, as well as violations of relevant laws, regulations, and policies governing the procurement of goods and services. The investigation highlighted inadequacies in the Financial Management Information System concerning the payment processing during the 2019 event.

Immanuel reported that a significant level of misstatement prompted the decision to launch an inquiry. He noted that the Fijian Government had allocated $10 million for the event, but the actual expenses amounted to $10.9 million. The additional $900,000, attributed to VAT, was covered by the Government’s Budget Head.

He mentioned that the Standing Committee on Economic Affairs observed delays from the Ministry of Civil Service and its former minister in finalizing the report, which was ultimately completed on December 2, 2020. Aside from COVID-19 related postponements, there were alleged intentional delays in presenting the report to Parliament, which was only done on March 27, 2023, following the Coalition Government’s assumption of power.

Immanuel added that there were also delays by the Ministry of Civil Service in forwarding the report to pertinent authorities, including FICAC, for further investigation. This was finally addressed by the current Permanent Secretary and his team after consultations in November 2023.

In light of these issues and the time that has elapsed, as well as actions by those implicated, the Committee recommends that the current Executive Management of the Ministry of Civil Service, in collaboration with the Ministry of Finance, ensure FICAC is updated on the status of the referred cases.

Additionally, according to Standing Order 121(5), Parliament plans to discuss the contents of this report in a future session.

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