Two weeks ago the Guardian revealed a document that showed how the PUP issued out the allocation of the Venezuela Grant money in the Fort George Division. While the way 350 thousand dollars, which was the subject of our article was one that left most people flabbergasted, the Guardian has now come into possession of the Auditor General’s Special Report on the Venezuelan Grant Programme, and it reads like the bible of corruption.
In its summary of finding, the report states, “only twenty million of the forty million Belize dollars was brought to account in the Consolidated Revenue Fund”. It continues explaining that of the 20 million that was brought to account $17,980,000 were allocated for home improvements and housing projects which is contrary to the finance and audit act which allows only for 500,000 to be allocated in the manner in which the $17,980,000 was. The summary continues, “The remaining $2.2 Million was not allocated.” More than that however, the report explains that through departmental warrants 13 million dollars were issued through the CEO in the Ministry of Housing to the Director of the Housing and Planning Department. That figure was later reduced to $9,800,000. What is significant is that accounting records show that $10,763,014.21 was spent showing an over expenditure of $963.014.21. While over expenditure is one thing, another is that moneys from the Venezuelan grant were transferred directly from the Central Bank to private commercial banks to the tune of $1,533,700 for use by “various constituencies such as Lake Independence, Albert’s, Caribbean Shores and Toledo West.” Through this system there was expenditure of $1,585,042.20, causing an over expenditure of $51,342.20. And that money was had from the Commonwealth Debt Initiative First Caribbean Bank Checking Account, which is used by the Ministry of National Development. So of the 20 million dollars allocated only $12,348,056.41 was accounted for, at least as it relates to housing grants.
The difference was used in other projects such as $200,000 used for the solar electrification in the Toledo district. Of the allocation, however, only $120,378 was used for purchase of solar equipment. Then there was the Athletic Track, which was one of the objectives of the grant. While two million dollars were allocated for the “reconstruction of an Athletic Race Track in Belize City” “Instead of an Athletic Track, a mobilization fee of $2,000,000 was made to contractor Bella Vista Company Limited/Lopez Equipment Company on 30 January 2008 for construction of an Indoor Sporting Complex.”
The report continues, “resources were to be utilized for construction and repair of houses for persons of “low income”. However, no criterion was established defining low income.” This led to some “senior public officers benefited from the housing assistance programme.” And those benefiting were from multiple ministries including the Police Department such as Sr. Superintendent Chester Williams who received an $8,000 grant, Maureen Leslie who also got $8,000, Rafael Sosa who was the public relations officer in the Ministry of Education; he received $5,000.
There are multiple senior public officers making senior money of up to 52 thousand dollars a year who got in on the action. That’s not the end, however, as housing grants were also issued to persons who were under the age of 18.
Then there was the manner in which material for construction was distributed. Under the program, the Ministry of Housing bought material to be distributed to the people. The way it was supposed to work is that the minister would give approval, verification of estimate would be done by the Housing and Planning Department, and if it was approved, funds would be disbursed; there would be supervision during and after construction the loan would be repaid. All that process went through the door, however, as the auditor’s report that $205,180.95 was used to purchase material after “the Minister of Housing determined that Area Representatives would be allowed to receive housing material for onward distribution to constituents.” “However no evidence was presented to the Auditors to show how these materials… were accounted for…” Two lists which were provided; one amounted to $17,110, which was procured from a Belize City hardware store, and while there were names, addresses, quantity and value of materials on the list “no signature of recipient was affixed.” The second list revealed that $86,200.00 worth of materials was purchased from the same hardware store and no addresses of the recipients were attached having the auditor conclude, “it was difficult and time consuming to locate the recipients.” The report goes on: “materials were delivered to or picked up by the respective Area Representatives or Standard Bearers (in some instances) who subsequently distributed them to their constituents. In this regard, the Office of the Auditor General questions the legality of non-governmental official (un-elected area representative) handling and distributing government stores. Also how was the Ministry of Housing able to satisfy itself that materials purchased and issued to Area Representatives of the various constituencies were accounted for?”
The report also points that moneys that were used were not necessarily for home improvement; rather, they were used for renovations to existing structures. Some pictures furnished in the report show houses that were constructed and which by any estimate were not done by poor people; however, they were granted funds to do improvements on them.
Reading the Auditor General’s report you know that in the days leading up the general elections it was a free for all. The PUP was bent on trying to buy the elections and if it meant the squandering of money it did not matter so long as the PUP won. In the end Belizeans saw past that and, thank God, voted for better.
There are those who will complain about the sluggish process of the distribution of the Venezuelan Grants, but the ultimate question to be asked. What is preferred, for those who really deserve it to get it or that moneys just be wasted away on those who least need it?
