The Board of the Water and Sewerage Corporation has decided to bring criminal charges against certain individuals in the wake of a Forensic Audit that found what its Chairman termed tendering and procurement irregularities, suspected misappropriation of assets and questionable undertakings.
With an update in the House of Assembly yesterday, Long Island MP, and WSC Chairman, Adrian Gibson, publicly announced the dismissal of WSC’s general manager and the appointment in the person of CPA Elwood Donaldson, an 18-year veteran of WSC.
“Notably, both the CFO and the AGM for human resources will soon be on retirement leave and there are additional EXCOM reforms on the horizon, he said.
“We have also shifted senior managers and middle managers for more efficient operations at WSC. Further we will reposition departments and place them into their proper division,” he added.
“The board of directors will soon embark on a right sizing exercise, offering voluntary separation packages to WSC employees. Notably the average age for WSC is nearly 50.”
According to Gibson, the forensic audit was spurred by findings that ranged from Tendering and procurement irregularities from RO plants and monopolies associated; renewal of 10 and 20 year contracts without open bids.
In addition, there was also inappropriate Board/Executive manipulation in the selection of vendors; contracts being awarded to vendors who were not selected or did not participate in the tendering process; unusual contractual terms; and instances where the tender process was simply not followed.
The audit also found that contracts were being awarded above the pre-approved limits; there was a lack of vendor diligence; companies were being newly established for the awarding of a contract; there were no standing Tenders Committee for at least 5 years, meaning the General Manager gave contracts below $100,000 by himself.
According to the Chairman, the board will also pursue several lawsuits.
“The board of directors has instructed Ferron Bethel of Harry B Sands, to embark upon a number of law civil suits emanating from the Forensic Audit report.
“Likewise, the office of the attorney general has been written and criminal prosecution are anticipated in the not too distant future.”
