Conflict of Interest Delays Forensic Audit Investigation

By Lagi Keresoma

Apia, Samoa – 25 October 2023: A potential conflict of interest of the overseas company chosen to conduct the investigation has further delayed its implementation.

The Minister of Finance Lautimuia Afoa Uelese Vaai told Talamua that the idea behind having an overseas company conduct the forensic audit into more than twenty government projects, is that it remains independent, neutral and has no local connection.

“However, the company awarded the task has a local office in Apia so the Tenders Board is currently reviewing the matter and report back to Cabinet,” said Lautimuia.

Also under review is the costing of the whole project.

Lautimuia hopes the matter be resolved soon so the audit could begin but this depends on the Tenders Board report whether there is a conflict of interest.

The Minister said Cabinet’s intention is for the audit investigation to start before the financial year is over.

$1million was endorsed in the 2023/2024 budget for the audit investigation and Cabinet wants to finalise the audit project before the financial year is up.

Projects listed to be investigated in Phase 1 include:

• The Ti’avea Airport Project
• $50 Stimulus for National ID
• Sheraton Hotel & Bungalows Apia Beach Road
• Lease on the Samoa Airways Aircraft
• Newly built prison at Tanumalala & Savaii
• SNPF new headquarters at Salelologa, Savaii
• New Electoral Office Mulinu’u
• Samoa National Broadband Highway & School-net Project
• Underground Cabinet Network Arrangement (MCIT)
• Satitoa Port/wharf
• Nafanua Patrol Boat incident
• Tax Invoice Monitoring System (TIMS)
• Purchasing of the Ministry of Works computers
• Purchase of two vehicles from Scholastic Books for MESC
• Instalment of electricity to Falelatai & Samatau in 2019-2020 & usage of EPC funds for election campaign
• Accountability for funds used by the former Prime Minister, Cabinet & the late Chief Justice under the Civil List Act
• Unforeseen & Unauthorized funds under the Act
• Tenders Boards

Issues to be investigated under Phase 2 include:

• Measles Epidemic and & how funds were utilized
• COVID-19 justification on how funds and assets were used
• Review on all Government bodies financial status
• Terms of Reference on employment conduct

Cabinet has endorsed the Ministry of Finance to lead the project under the guidance of the Minister and to work closely with other organisations such as the Samoa Law Society and the Samoa Institute of Accountants.