The Ministry of Agriculture (MoA) has been asked to recoup more than $6M overpaid for drainage works undertaken to sections of the East Coast of Demerara following the 2005 floods.
The Ministry was grilled on the issue during its appearance before the Public Accounts Committee (PAC) on Monday. According to the 2007 Auditor General’s Report, “Physical verification exercises undertaken in 2005 revealed that there were overpayments totalling $6.973M in relation to the excavation /rehabilitation of drains between Strathspey to Foulis, Lima to Mahaica Market and in Golden Grove as well as at Nabaclis Middlewalk Town-ship. However the overpayments have not yet been recovered.” Works were carried out by the NDIA and the agency refuted that an overpayment was made in a written response to the findings of the Audit Office.
Auditor General Deodat Sharma stated on Monday that his office as well as the Finance Ministry “still hold” their position on the current status of the matter. AFC MP David Patterson queried the next stage in recovering the monies while Finance Secretary Nermal Rekha emphasised that the situation cannot be tolerated.
Permanent Secretary of the MoA Dindial Permaul, who was asked to state the agency’s position on the matter, noted that works undertaken during emergency relief efforts were carried out a by a task force, with assistance from the Department For International Develop-ment (DFID) as well as the Canadian International Deve-lopment Agency (CIDA). Permaul said that the task force was the sole entity responsible for the projects.
However, PPP/C MP Bibi Shadick stated that the 2007 report reflected that the work was undertaken by the MoA and she questioned the reason for the Audit Office having to revisit the area. According to the Audit Office, an audit team visited the area in the company of MoA and NDIA officials, to undertake a measurement of work. It was noted that the team physically measured the area to determine the quantity of materials utilised and it was discovered that “what was measured was beyond what was paid for.”
Permaul stated that all documentation regarding works undertaken was in possession of the Audit Office, and he reiterated that the works were carried out in conditions of flood. He said that the task force pronounced that the work was done and hence monies owed were paid. He said that the MoA was in a difficult position to provide further details on the issue as the committee called for the issue to be revisited by the Audit Office.
The committee stated that while overpayments occur, it is important that public funds overpaid on capital works be retrieved. The Audit Office plans to revisit the issue and its findings are expected to be presented to the PAC by
May 7.