Auditor hunts individuals, firms who ‘stole’ $993m

JUBA – The National Audit Chamber has demanded legal action against companies and institutions implicated in the misappropriation of letters of credit (LC) worth nearly a billion dollars eight years ago.

The letters of credit were issued between 2012 -2015 to ensure supplies of basic commodities such as pharmaceuticals, fuel, and food. It was also to enable traders to import building materials to empower the private sectors impacted by the crisis.

In a report signed by the Auditor General of South Sudan Audit Chamber, Amb. Steven Wondu, the office of the auditor tasked the newly reconstituted parliament to take appropriate actions against the individuals and institutions that misappropriated the money between 2012 and 2015 when the country’s economic situation soared following the halt of oil production

The reports said the project was a failure and none of the intended items was delivered to the beneficiaries and that individuals responsible for the money should be held accountable.

“The National Legislative Assembly can lift the corporate veil and order the Director-General of Public Prosecution to charge the individual owners of the offending business in a court of laws,” the statement read in part.

The report pointed out that the Qatar National Bank provided over $793 million while CfC Stanbic Bank released $ 200 million, which amounted to nearly one billion that had been misappropriated by some companies and institutions.

Companies implicated

Companies and institutions implicated in the fraud included the Ministry of Agriculture, which received $15 million to supply food items which it failed to deliver. Ezentus FZE was given more than $ 9 million to implement a certain project and did not deliver.

It also pointed out that some influential state officials awarded contracts to some companies to import food which was also not delivered to vulnerable people of South Sudan, among them, Noor General Company in the Lakes States received $ 2 million for food importation.

Mr. Wondu in the statement said the authorities took advantage of the system’s failure and joined the illicit self-enrichment queue.

The project was implemented and managed by the various bodies including the joint Technical Committee of the Ministry of Trade, Industry and Investment, Bank of South Sudan, National Qatar Bank, Stanbic CfC Bank, some National Ministries, and State Government and Administrative Areas.

Meanwhile, on Sunday, August 15, the Executive Director of Community Empowerment for Progress Edmund Yakani called on the Audit Chamber to audit the National Transitional Committee (NTC) for $100 million availed by the government between 2019 and 2020 to fund the peace implementation processes in the country.

Yakani said the NTC chaired by Gen. Tut Gatluak should be investigated to ascertain how the money has been used since the critical tasks of peace remained outstanding including training and graduation of the necessary unified forces.

“There was a call for the NTC to be audited and Auditor General was asked to audit. My question is why is it difficult to audit NTC. My appeal is to the new leadership of parliament to come in and ask why the auditing of NTC books is becoming a challenge,” he said.