Region Four Regional Executive Officer (REO) Shafdar Ali is being sought by police for questioning in relation to a multi-million dollar fraud committed on the state.
Police issued a wanted bulletin for the REO last evening. Ali’s last known address, they said, is Lot 83 Better Hope North, East Coast Demerara. Anyone with information that will lead to Ali’s arrest is urged to contact police on telephone numbers 225-6411, 225-2700, 226-9941, 225-2227, 226-1326, 225-8196, 225-3650, 911 or the nearest police station. All information, police assured, will be treated with strict confidence.
Stabroek News had contacted Ali following a January 29, 2010 Kaieteur News article which had reported that the REO was being investigated and had been sent on leave pending a probe in connection with his alleged misuse of millions of dollars and arbitrary awarding of contracts to select contractors. Ali had told Stabroek News he was not aware of any investigation conducted by the Auditor General’s Office.
He had refuted claims that he’d been sent on leave and at the time had explained that he was on his annual leave, which ends today. “I have letters to prove that I am on my annual leave,” Ali had said. He stated that he was due some 104 days of annual leave, since he had not taken a vacation since 2007. “I am not aware of any probe going on,” Ali had stressed.
When asked whether he checked with the Auditor General’s office to ascertain if a probe is indeed being conducted, Ali said: “I am an accounting officer by law appointed by the Minister of Finance and if indeed such a probe is taking place then protocol demands that I be notified.”
Despite the REO’s denial a Government Information Agency (GINA) release on Thursday stated that Ali has been sent on leave following a preliminary report issued by the Auditor General’s Office into alleged financial irregularities at the RDC. Minister of Local Government and Regional Development Kellawan Lall, the GINA release had said disclosed that the preliminary report issued by the Auditor General’s office has led to the intervention of the police to assess the situation for any trace of criminal violations. Ali and the RDC Expediter, Bharrat Persaud have since been sent on leave.
For years Ali and Chairman of the Region Four RDC Clement Corlette have had a bitter feud in which both men have accused each other of “dictatorial behaviour” and abuse of power.
Corlette, on February 24, 2009, had said Ali spent about $1.1M for a staff party in December 2008 and had declared that the RDC would take disciplinary action against him. Ali, the RDC Chairman had said, never submitted a budget for the party’s financing.
Later, during September 2009 Corlette and Ali were again at each other’s throats this time disputing the percentage of the region’s work programme completed so far for that year. Corlette had insisted that they’d completed 46%. However, Ali subsequently issued a statement saying that the regional administration had completed 70% of its physical capital works and 80% of the scheduled works in its 2009 work programme. The region, Ali said in late September that year, had expended approximately 68% of its capital appropriation.
Stabroek News has been reliably informed that Corlette was “forced” to call in the auditor general to conduct a probe after certain difficulties arose. The RDC Chairman has since refused to comment on the issue and several efforts made to contact him last night were futile.
The amount of money the state has allegedly been defrauded of and over what period of time this occurred has not yet been announced.
A councillor on the Region Four RDC speaking with Stabroek News last night on the condition of anonymity – said that Ali held four key positions.
In addition to being the REO, the councillor explained, Ali also held the positions of the Chief Accounting Officer, Chairman of the Tender Board and Clerk of the RDC. The REO should not have held all these positions, the councillor insisted.
“Especially after the Fiscal Management and Accountability Act was passed Ali should not have been allowed to wear these four caps…this power should have been given to the RDC as a collective body,” the councillor opined. “The government itself is at fault for what has happened here today.”
Just over a year ago, the councillor recalled, a motion to strip Ali of his authority had been presented by an AFC member. However, the PNCR-1G members had abstained from voting so the motion was never acted upon. It was later after certain difficulties arose, the councillor said, that Corlette was forced to call in the Auditor General.
“When the RDC approves, the REO removes,” the councillor stated. Over the last three years or so it had come to the attention of the council that three main contractors had been utilized.
One of these was the contractor who was responsible for the $1.1M flimsy bridge at Bobby White Street, Bee Hive North last year. The bridge was built in the late December 2008 and residents raised their concerns during early 2009.