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Monday, September 26, 2005 - Web posted at 7:31:31 GMT

NamPower chief off the hook

*TANGENI AMUPADHI

NAMPOWER Managing Director Leake Hangala has been found not guilty of exceeding his signing authority in a N$65-million power-line contract despite sidestepping the company's N$20 million limit regulations.

After the outcome of a disciplinary hearing, Hangala hit back on Friday, accusing the company's board of directors of fabricating misconduct charges against him.

Speaking through his lawyer, Charles Visser of Lorentz & Bone, Hangala said in a statement that the Chairman of the disciplinary hearing, Andrew Corbett, found him "not guilty on all charges".

"The charges were indeed trumped up," Visser said without listing what the charges were.

He did not deny that Hangala had indeed exceeded his signing powers, which limit the MD's signing authority to contracts under N$20 million.

Hangala was charged with single-handedly signing off the N$65-million tender to a company involving Swapo comrades.

He appeared at a disciplinary hearing two weeks ago in connection with awarding the electricity contract to Powerline 2000.

The company belongs to Tsumeb businessman Karl Richard Himmel, Grootfontein Swapo leader Rapama Kamehozu, Tshoombe Justice Ndadi, who runs the Swapo company Aim Publications, and businessman Mwahafar Ndilula of Sovereign Investments and Mediva Investments.

Visser said of Hangala's acquittal: "Unfortunately it turned out during the disciplinary hearing that most board members (notably the board chairman) who were in favour of levelling the charges against Dr Hangala were uninformed."

He said the board of directors, which pushed for the charges, met for the first time in February.

By then Hangala was reported to have signed the contract, leaving the board with no choice but to rubberstamp it.

Visser said Hangala's defence was that the previous board of directors, whose term expired towards the end of last year, "authorised the expenditure, that the contract was awarded to the preferred bidder as selected by NamPower's Tender Board, and that Dr Hangala acted in a professional and transparent manner, guided by what's in the best interest of NamPower".

Before faxing the statement to The Namibian, Visser declined to elaborate, saying further queries should be addressed to Hangala in the presence of his lawyers.

It is understood that Hangala was charged with exceeding his signing powers, approving the tender without board authorisation and for failing to follow tender procedures.

Sources close to the disciplinary hearing said Hangala and another NamPower official gave evidence and that none of the previous directors were called as witnesses.

Hangala has indicated that he will take action against the current board members for pressing charges against him.

According to Visser: "In fact, it appeared during the hearing that the so-called board resolution which authorised the disciplinary charges was not taken in a transparent manner or in accordance with the principle of good governance."

The Chairman of the board, Andries Hungamo, who is a director in the Office of the President, declined to comment on the outcome of the hearing, which was made known on Friday.

Hungamo said he had only returned to Namibia last week and had not been briefed on the hearing.

Hungamo, whom Hangala suggested had led the allegedly "trumped-up charges", also refused to comment about the alleged fabrication of the charges.

* Tangeni Amupadhi is a freelance journalist

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