EPA INVESTIGATION:The moment of truth

[BAK]

EPA INVESTIGATION:The moment of truth

-TIME RUNS OUT FOR GOVERNMENT AS DONOR
CONTEMPLATE AID FREEZE

THISDAY REPORTER
Dar es Salaam

WITH time effectively over for the external payment arrears (EPA) probe team to wrap up its investigation, the government is now under growing pressure from its development partners to prosecute key suspects behind the theft of over 133bn/- from the Bank of Tanzania or face the risk of donors withholding a huge chunk of the general budget support for 2008/09, it has been revealed.

Around 34 per cent of Tanzania’s 7.2trn/- budget during 2008/09, equivalent to a massive 2.4trn/- solely depends on donor funding.

Well-placed sources say a number of donor countries are becoming increasingly impatient with the government over the lack of tangible progress made so far in the high-level EPA investigations led by Attorney General Johnson Mwanyika.

’’Several powerful countries which hold the purse strings are now ready to delay disbursement of the much-needed general budget support until they see serious legal action taken by the government against the well-known suspects behind the scandal,’’ a government source told THISDAY.

He added: ’’Some of the donor countries are taking a wait-and-see approach and will not release the pledged budget support until the government prosecutes key suspects in the EPA investigation.’’

The Minister for Finance and Economic Affairs, Mustafa Mkulo, and other senior government officials were this month expected to hold talks with some of the country’s development partners on various issues, including disbursement of the budget support funds.

’’We understand that the position of some of the major donor countries is that they will not release the general budget support funds until they get some serious answers from the Tanzanian government on the EPA issue,’’ said a source within the diplomatic community.

Insiders say pressure has been mounting on the government from its development partners to address the recommendations of the special audit of the EPA account at the BoT.

’’The government is at serious risk of losing a substantial amount of donor money if it does not prosecute the EPA suspects sooner rather than later,’’ said another government official.

He added: ’’Donor countries are expected to be ruthlessly blunt with Mkulo in the forthcoming meeting and tell him to forget seeing a quick disbursement of budget support funds if the government doesn’t seriously address the EPA issue.’’

In January this year, President Jakaya Kikwete gave the EPA probe team a six-month deadline to conclude its investigations and submit its report.

Apart from the AG, other members of the high-powered investigation team include Inspector General of Police (IGP) Saidi Mwema and the director-general of the Prevention and Combating of Corruption Bureau.

Several other senior officers from the Attorney General’s Chambers, PCCB, Police Criminal Investigations Department (CID) and the Tanzania Intelligence and Security Service (TISS) have also been taking part in the probe.

The EPA probe team has been heavily criticized for appearing to focus most of its attention on recovering the stolen funds rather than arresting and prosecuting the involved criminals.

When contacted by THISDAY to comment on reports that donors were threatening to withhold budget support over concerns in the fight against grand corruption, Mkulo declined to comment and referred our queries to his Permanent Secretary, Gray Mgonja.

’’I have just arrived from a trip abroad and I am now heading to Dodoma as we speak to take part in the ongoing Bunge session ... I don’t have any information concerning the (forthcoming) meeting on budget support,’’ he said.

However, Mgonja was yesterday not immediately available for comment.

On the other hand, the Deputy Minister for Finance and Economic Affairs, Jeremiah Sumari, told THISDAY that a previous meeting scheduled for July 3 between Tanzania’s development partners and Treasury officials was postponed due to Mkulo’s absence.

’’I don’t have any information right now as to when this meeting will be held after being postponed because the Minister for Finance and Economic Affairs (Mkulo) was on an official trip abroad,’’ he said.

Asked when the EPA probe team would officially conclude its investigation, the spokesman of the Ministry of Justice and Constitutional Affairs, Omega Ngole, was non-committal.

’’What I can confirm right now is that the (EPA) team is still proceeding with its investigation and will formally announce to the public when it concludes its work,’’ he said.

The Tanzanian government lost 4.1bn/- in general budget support from Denmark in 2007/08 after it failed to fulfil its commitment to present the long-awaited anti-corruption legislation to Bunge, although the government ultimately pushed the Prevention and Combating of Corruption Act of 2007 in Parliament.

Donors usually link provision of general budget support to key performance indicators, with disbursement contingent on agreed targets being achieved and agreed actions being undertaken.

Denmark has a so-called ’variable tranche’ as part of its general budget support to Tanzania. This means that for each financial year, 20 per cent of Denmark’s general budget support is linked to the achievement of specific, jointly agreed performance criteria.

For financial year 2007/08, the 20 per cent variable tranche - equivalent to Danish Kroner 18 million (approx. 4.1bn/-) - was linked to a revised anti-corruption legislation.

 

[MiratKad]

Well done donors. Intensify the Pressure on this corrupt regime. Criminals have to face justice.

 

[BAK]

Well done donors. Intensify the Pressure on this corrupt regime. Criminals have to face justice.

Donors wakiamua kukata misaada basi hapo ndipo itakuwa kazi kubwa kwa JK maana bajeti bila ya 40% toka kwa wafadhili itakuwa ni kazi kubwa kuendesha serikali. Inabidi wajibane sana na hili hawalijui maana wanapenda matanuzi kila kukicha au waongeze kodi kuendelea kuwakamua Watanzania. Vinginevyo awashughulikie mafisadi wote bila kuwaogopa na hatimaye kuwafunga na kuwafilisi.

 

[Bongolander]

Donors wakiamua kukata misaada basi hapo ndipo itakuwa kazi kubwa kwa JK maana bajeti bila ya 40% toka kwa wafadhili itakuwa ni kazi kubwa kuendesha serikali. Inabidi wajibane sana na hili hawalijui maana wanapenda matanuzi kila kukicha au waongeze kodi kuendelea kuwakamua Watanzania. Vinginevyo awashughulikie mafisadi wote bila kuwaogopa na hatimaye kuwafunga na kuwafilisi.

Bubu Unachosema hapa ni kuwa ajichukulie hatua yeye mwenyewe, sijui kama hilo linawezekana. Niambie akichukua hatua nani atapona, kama DEEP gree ni CCM ndiyo inayotawala JK hana uwezo wa kuichukulia hatua. Nadhani tusubiri hilo la kukatiwa misaada, au tuone ni nani watakaotolew kafara.

 

[Kaa la Moto]

Nadhani tusubiri hilo la kukatiwa misaada, au tuone ni nani watakaotolew kafara

Maskini sisi hapa ndio tutakuwa victims kabla hawajarudi na kutuambia uchumi umekuwa na kila kitu kinakwenda vizuri.
Hata hivyo njia ya mwongo ni fupi.

 

[akilimtindi]

Donors wakiamua kukata misaada basi hapo ndipo itakuwa kazi kubwa kwa JK maana bajeti bila ya 40% toka kwa wafadhili itakuwa ni kazi kubwa kuendesha serikali. Inabidi wajibane sana na hili hawalijui maana wanapenda matanuzi kila kukicha au waongeze kodi kuendelea kuwakamua Watanzania. Vinginevyo awashughulikie mafisadi wote bila kuwaogopa na hatimaye kuwafunga na kuwafilisi.

Nakumbuka siku huyu waziri wetu wa fedha ambaye ni &$@#%& kabisa aliulizwa kuhusu donors kutukatia huo mlungula akasema "WAFADHILI HAWAJAWAHI NA HAWATAKAA WATUKATIE MSAADA" lakini mwenyewe juzi juzi hapa alisema serikali imeamua kujitegemea ili hata wafadhili wakikata misaada tusiathirike sana. Nimegundua serikali inatafuta namna ya kujikinga kwa nguvu zote isiyumbe misaada ikikatika maana hakuna uwezekano wa kutekeleza kikwelikweli masharti ya wahisani. Kuwaanika wahujumu nchi wa EPA ni ccm kujianika yenyewe, haiwezekani. Ikibidi basi na ikiwa ngumu sana inabidi atolewe kafara mtu, ni kwa jinsi gani na kwa wakati gani, nashauri tutumbue macho kuhakikisha masikio hayana nta tutayapata sio siku nyingi maana hiki kichocho kiko kwenye familia yao sasa kinawakula wenyewe kwa wenyewe.

 

[jmushi1]

Nakumbuka siku huyu waziri wetu wa fedha ambaye ni &$@#%& kabisa aliulizwa kuhusu donors kutukatia huo mlungula akasema "WAFADHILI HAWAJAWAHI NA HAWATAKAA WATUKATIE MSAADA" lakini mwenyewe juzi juzi hapa alisema serikali imeamua kujitegemea ili hata wafadhili wakikata misaada tusiathirike sana. Nimegundua serikali inatafuta namna ya kujikinga kwa nguvu zote isiyumbe misaada ikikatika maana hakuna uwezekano wa kutekeleza kikwelikweli masharti ya wahisani. Kuwaanika wahujumu nchi wa EPA ni ccm kujianika yenyewe, haiwezekani. Ikibidi basi na ikiwa ngumu sana inabidi atolewe kafara mtu, ni kwa jinsi gani na kwa wakati gani, nashauri tutumbue macho kuhakikisha masikio hayana nta tutayapata sio siku nyingi maana hiki kichocho kiko kwenye familia yao sasa kinawakula wenyewe kwa wenyewe.

Nikweli kabisa na mfano mwingine ni namna ambavyo wameamuwa serikali yetu kwa kupitia Membe wamemkumkubatia Al Bashir wa Sudan licha ya kwamba huyu jamaa ni rafiki na Bin Laden.

 

[akilimtindi]

Nikweli kabisa na mfano mwingine ni namna ambavyo wameamuwa serikali yetu kwa kupitia Membe wamemkumkubatia Al Bashir wa Sudan licha ya kwamba huyu jamaa ni rafiki na Bin Laden.

Halafu wakasema hawamtambui Mugabe kwa kuwa uchaguzi wake ulikuwa na maroroso, lakini ukiwauliza Zanzibar wanasema ni shwari kabisa hakuna maneno wala kelele kule

 

[BAK]

Denmark confirms donors` curiosity over EPA probe

-Want progress report from the government

SEBASTIAN MRINDOKO
Dar es Salaam

A GROUP of 14 development partners providing general budget support (GBS) to Tanzania has confirmed that it is awaiting more information from the government on action taken so far in addressing the 133bn/- Bank of Tanzania external payment arrears (EPA) account embezzlement scandal before releasing any more funds to the country.

The Danish Ambassador to Tanzania, Bjarne S�rensen, told THISDAY in Dar es Salaam yesterday that although development partners had already submitted their GBS commitments to the government for the 2008/09 financial year, no final decision on the release of funds will be made until they get some answers on the EPA and other corruption issues.

Specifically, the development partners want a progress report on the implementation of recommendations by the Controller and Auditor General (CAG) based on the special audit of payments made from the EPA account during 2005/06, as well as the BoT audit for 2006/07.

The CAG is the statutory auditor of the central bank.

''Before making final decisions on disbursements, budget support partners are looking forward to receiving further information on the work underway to tackle corruption allegations and improve governance, including implementation of the Controller and Auditor General's recommendations arising from the Special Audit of the Bank of Tanzania's management of the EPA account and the Bank of Tanzania audit 06/07,'' said ambassador S�rensen.

The Danish envoy said the government appeared to be making good progress towards ensuring the right conditions for general budget support in 2008/09 are met.

However, he added that development partners will continue to pursue constructive dialogue with the government and meet regularly with the Minister for Finance and Economic Affairs, Mustafa Mkulo, to ''monitor and facilitate further progress.''

Denmark is part of the Poverty Reduction and Budget Support (PRBS) troika in Tanzania, and assumed the rotating chairmanship of the GBS from the United Kingdom in April this year.

The development partners providing general budget support to Tanzania are the African Development Bank (AfDB), Canada, Denmark, the European Union (EU), Finland, Ireland, Japan, Germany, the Netherlands, Norway, Sweden, Switzerland, UK and the World Bank.

The GBS helps finance implementation of Tanzania's National Strategy for Growth and Reduction of Poverty (MKUKUTA).

All budget support is provided within the framework outlined in a five-year agreement signed in January 2006 between the government and 14 donors.

The objectives of the budget support programme include encouraging improved financial management, which is seen as necessary to help the government make better use of its scarce resources and to give donors confidence to move towards budgetary support in sector programmes.

According to well-placed sources, pressure has been mounting on the government to prosecute key suspects in the EPA scandal, or face a possible aid freeze from donors.

It is understood that the country's development partners are becoming increasingly impatient over the lack of any tangible progress in the high-level EPA investigation led by Attorney General Johnson Mwanyika.

Apart from AG Mwanyika, the Inspector General of Police (IGP), Saidi Mwema, and the director-general of the Prevention and Combating of Corruption Bureau, Dr Edward Hoseah, were also incorporated in the EPA probe team.

So were other senior officials from the Attorney General's Chambers, PCCB, Criminal Investigations Department (CID), and the Tanzania Intelligence and Security Service (TISS).

A six-month deadline given to the EPA probe team appointed by President Jakaya Kikwete last January has effectively come to an end, with development partners and members of the general public alike waiting for the government's next move.

About a third of Tanzania's budgeted 7.2trn/- expenditure during 2008/09 is pegged to come from development partners.

During the 2007/08 financial year, the government lost 4.1bn/- in general budget support from Denmark after failing to fulfil its commitment to pass the Prevention and Combating of Corruption Act of 2007 in Parliament within the agreed timeframe.

 

[The Khoisan]

Msaada ukikatwa nafikiri ndipo JK na sindicate yake wataanza kupata akili.

 

[Rwabugiri]

Msaada ukikatwa nafikiri ndipo JK na sindicate yake wataanza kupata akili.

Ofcourse hii itasaidia sana, na katika hili namsapoti hata Wangwe alipo watolea uvivu na kuwapa live japo waliishia kumuita mchafuzi wa hali ya hewa, but the message was sent.

 

[Gagnija]

Tatizo ni kuwa hawa wakubwa wanachagua nani akatiwe misaada. Kwa uswahiba wao na viongozi wetu, na jinsi walivyoachiwa maliasili zetu, sioni kama watathubutu kukata hiyo misaada. Just try to remember the way Bush labeled Kikwete his great friend and the greatest african leader !

 

[Limbani]

Tatizo ni kuwa hawa wakubwa wanachagua nani akatiwe misaada. Kwa uswahiba wao na viongozi wetu, na jinsi walivyoachiwa maliasili zetu, sioni kama watathubutu kukata hiyo misaada. Just try to remember the way Bush labeled Kikwete his great friend and the greatest african leader !

Wanatoa misaada si kwa bure, kwa nyuma ndio wanapewa migodi ya dhahabu na mambo mingine