TAXPAYERS pumped more than N$240 million into the sinking Development Brigade Corporation (DBC) – not N$120 million as disclosed a month ago on the first day of the public hearing of the inquiry into two failed parastatals.
The two-fold increase in losses excludes the millions and millions of dollars Government paid to four subsidiaries of the DBC, which was set up to integrate former combatants into society by training them in employable skills. Commissioners of the Presidential inquiry into the defunct DBC and Amalgamated Commercial Holdings (Amcom) provided the re-adjusted figures to refresh the memory of the forgetful Simon Shikangalah, former General Manager of DBC.As one of the biggest failures of Government businesses unfolds, the gist of the story remains unchanged, but with the scale of mismanagement becoming more incredible and the losses getting bigger.Even Shikangalah, who was in theory in charge of the companies, refused to believe that Government had had to pay so much to bail out the DBC.”Why is it that I didn’t know about this?” said Shikangalah as if talking to himself.”Ask yourself,” replied the Chairman of the Commission of Inquiry, Petrus Unengu, “you were the General Manager.””It’s strange that I don’t know about this money you are mentioning,” said Shikangalah, who initially said he was only aware of bank overdrafts, but acknowledged the debt with painstaking explanations.The commissioners, taking turns to hurl questions and reminders at Shikangalah, said that between 1994 and 2003 Government paid about N$244 million to the DBC.Another N$25 million went into subsidiaries, which were supposed to operate as profitable businesses.”I’m touched by the revelation you have, which I did not have, and which also had gone out of my mind.I was going to dispute [it] because according to me, it never happened,” said Shikangalah, referring to Government’s constant bailouts.He admitted to failing to control or closely monitor the subsidiaries as expected.However, he claimed his failure should in part be blamed on former Foreign Affairs Minister Hidipo Hamutenya, who created and nurtured the DBC.The former DBC boss accused Hamutenya of appointing managers without consulting him.”The man responsible for bringing the DBC to life was the same man who brought it down,” he claimed, adding that Hamutenya set up the subsidiaries, which Shikangalah sees as the main cause of the DBC’s collapse.Hamutenya yesterday said he was not involved in the creation of business units as part of DBC companies, and that it had been Minister of Higher Education Nahas Angula.Angula confirmed that on Cabinet instruction he led the restructuring of the DBC into “business units” following numerous protests from former soldiers that they were not getting jobs after training by the DBC.”I think things started going wrong when managers were appointed …but I was not responsible for appointing managers,” said Angula.Hamutenya also dismissed Shikangalah’s testimony that he appointed managers, including Shikangalah himself, giving the board of directors and the DBC General Manager a fait accompli.”I did not appoint him.He was appointed by a decision of the Cabinet,” said Hamutenya in a telephone interview yesterday.”I only communicated the decision of the Cabinet to the chairman of the [DBC] steering committee.”He needs to be reminded to remember,” said Hamutenya, confirming that Shikangalah is indeed forgetful.”Again, if anyone wants to question this [decision] we can go to the minutes of the Cabinet.They are there and they will tell the story,” Hamutenya said.The axed minister also disputed testimony that the DBC built his house in the North, saying a private company built it with the parastatal only putting in the drainage system.”Again, receipts are here if anyone will care to look at them, they can look at them.”Commissioners of the Presidential inquiry into the defunct DBC and Amalgamated Commercial Holdings (Amcom) provided the re-adjusted figures to refresh the memory of the forgetful Simon Shikangalah, former General Manager of DBC.As one of the biggest failures of Government businesses unfolds, the gist of the story remains unchanged, but with the scale of mismanagement becoming more incredible and the losses getting bigger.Even Shikangalah, who was in theory in charge of the companies, refused to believe that Government had had to pay so much to bail out the DBC.”Why is it that I didn’t know about this?” said Shikangalah as if talking to himself.”Ask yourself,” replied the Chairman of the Commission of Inquiry, Petrus Unengu, “you were the General Manager.””It’s strange that I don’t know about this money you are mentioning,” said Shikangalah, who initially said he was only aware of bank overdrafts, but acknowledged the debt with painstaking explanations.The commissioners, taking turns to hurl questions and reminders at Shikangalah, said that between 1994 and 2003 Government paid about N$244 million to the DBC.Another N$25 million went into subsidiaries, which were supposed to operate as profitable businesses.”I’m touched by the revelation you have, which I did not have, and which also had gone out of my mind.I was going to dispute [it] because according to me, it never happened,” said Shikangalah, referring to Government’s constant bailouts.He admitted to failing to control or closely monitor the subsidiaries as expected.However, he claimed his failure should in part be blamed on former Foreign Affairs Minister Hidipo Hamutenya, who created and nurtured the DBC.The former DBC boss accused Hamutenya of appointing managers without consulting him.”The man responsible for bringing the DBC to life was the same man who brought it down,” he claimed, adding that Hamutenya set up the subsidiaries, which Shikangalah sees as the main cause of the DBC’s collapse.Hamutenya yesterday said he was not involved in the creation of business units as part of DBC companies, and that it had been Minister of Higher Education Nahas Angula.Angula confirmed that on Cabinet instruction he led the restructuring of the DBC into “business units” following numerous protests from former soldiers that they were not getting jobs after training by the DBC.”I think things started going wrong when managers were appointed …but I was not responsible for appointing managers,” said Angula.Hamutenya also dismissed Shikangalah’s testimony that he appointed managers, including Shikangalah himself, giving the board of directors and the DBC General Manager a fait accompli.”I did not appoint him.He was appointed by a decision of the Cabinet,” said Hamutenya in a telephone interview yesterday.”I only communicated the decision of the Cabinet to the chairman of the [DBC] steering committee.”He needs to be reminded to remember,” said Hamutenya, confirming that Shikangalah is indeed forgetful.”Again, if anyone wants to question this [decision] we can go to the minutes of the Cabinet.They are there and they will tell the story,” Hamutenya said.The axed minister also disputed testimony that the DBC built his house in the North, saying a private company built it with the parastatal only putting in the drainage system.”Again, receipts are here if anyone will care to look at them, they can look at them.”
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