Several gross breaches and open violations were cited by People’s Progressive Party (PPP) Executive, Gail Teixeira, who has called on the Public Procurement Commission (PPC) to investigate new findings relative to the use of taxpayers’ monies on a consultancy services for the feasibility study and design for the new Demerara River bridge.
Her June 12, 2019, letter addressed to the PPC Chairperson, Carol Corbin, said: “In addition to the $161,514,420 approved by Cabinet in November 2016, the Demerara Harbour Bridge Corporation (Asphalt Plant Account) actually paid $215,371,182 in 2017 for the cost for the new Demerara Harbour Bridge and $74, 068,000 in two payments of $14,728,000 in January 2018 and another of $59,340,000 in February 2018 for the New Bridge feasibility studies.”
Teixeira noted that the new findings show that the Feasibility Study cost the taxpayers $293,439,182 or approx. US$1.4M – a whopping $131.92M more than what was revealed as the initial cost.
This is the second time that Teixeira has called on the PPC to investigate the matter of the Procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge.
CURIOUS TIMING
Meanwhile, hours after Teixeira’s letter was made public, last Friday (June 14, 2019), the Guyana Police Force released a statement indicating that Minister David Patterson was cleared of wrongdoing in the procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge.
The statement said: “(With) reference to an investigation by the Special Organised Crime Unit (SOCU) into the “Procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge, please be informed that Legal Advice has been obtained to the effect that: There was no misuse of funds; there is no evidence that a criminal offence has been committed; and there is no evidence of any collusion between Arie Mol/ Lievense CSO and the personnel from the Ministry of Public Infrastructure.”
This disclosure from the Guyana Police Force comes months after the PPC was asked to investigate the procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge and produced a report on August 7, 2018.
The Police Force’s disclosure also comes months after the PPC report was sent to SOCU, which completed its investigations into the matter since January 2019, according to SOCU Head, Sydney James.
SOCU’s involvement in the matter came after a call from the People’s Progressive Party/ Civic (PPP/C) for an investigation. The PPP/C, on August 16, 2018, forwarded to SOCU a report from the Public Procurement Commission.
PPC FINDINGS
The PPC report made clear that there were clear breaches of Guyana’s financial laws in the procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge
It noted that several companies bid for the project – to do the feasibility study and design for the new Demerara River bridge – and 12 companies were shortlisted. The report added that only two of the 12 companies made proposals. As such the bidding process was annulled. It added that on November 12, 2016, the National Procurement and Tender Administration Board (NPTAB) approved the move for the project to be re-tendered.
The project was not re-tendered. Instead, a Dutch Company, LivenseCSO, was engaged by Patterson’s Ministry.
The report, on page 7, noted that the bid from LivenseCSO was “unsolicited” and added that Patterson then took the company’s proposal to Cabinet for approval. Cabinet granted its approval for the company to be engaged. The report said, “The PPC noted that the Minster of Public Infrastructure, by memorandum dated November 18 2016, made a request to the Cabinet for Government seeking consideration and approval to use funds from the Demerara Harbor Bridge Corporation to fund the feasibility study and to commence a contractual engagement with LievenseCSO as of the 1 Jan 2017. The PPC noted that this request to Cabinet was not forwarded through the NPTA but submitted directly by the Minister of Public Infrastructure.”
The report, on page 7, stated that monies to be spent on the project were taken from the Demerara Harbour Bridge Corporation (Asphalt Plant Accounts). Notably, the General Manager of the Demerara Harbour Bridge Corporation, according to the PPC report, disclosed that the Board of the Corporation was not involved in the decision to spend its monies. The report said, “He (Mr. Adams) stated that he had not signed the contract on behalf of the DHBC, but only because he was requested to do so by the Minister of Public Infrastructure.
Additionally, a source close to the matter stressed that the findings of the Public Procurement Commission’s findings after it investigated the procurement of Consultancy Services for the Feasibility Study and Design of the New Demerara River Bridge are clear.
The source disclosed too that the Police Legal Advisor was ‘expected’ to make a positive pronouncement on the matter, ahead of the Alliance For Change (AFC) national conference, scheduled for Saturday’s (June 15, 2019), to ensure that Minister Patterson is cast in a positive light.
Below is the letter from PPP/C MP Gail Teixeiria: