Businessman Erastus ‘Chicco’ Shapumba says he did not draft the lease agreement for his building, which the government allegedly rents for N$1.1 million per month without occupying it.
This comes as the Ministry of Works and Transport told The Namibian on Wednesday that it plans to cancel the lease agreement with Shapumba.
Earlier reporting by The Namibian says the lease agreement was signed in December 2023 and was expected to run for three years.
Shapumba has defended himself, saying he was not involved in drafting the contract.
“I was not there. I don’t draft contracts. You even know that I can’t read,” he says.
Shapumba told The Namibian on Tuesday that lawyers from both the government and his side were involved in the agreement.
“I don’t draft contracts, they are made by lawyers including Sisa Namandje. I just sign,” he said.
Shapumba said the government should release a list of all private buildings it is renting to allow for a fair comparison.
He said he charged the government N$99 per square metre, compared to other business owners who, according to him, charge N$300 per square metre.
“The money the government pays can’t even pay that building’s bank amount,” he said.
Namandje, whom Shapumba had mentioned as one of his representatives, said he has no authority to speak on behalf of Shapumba.
“I am also not involved in any dispute or issue he may have with the ministry. So speak to Shapumba himself,” Namandje says.
‘LET’S BLAME THE GOVT’
Independent Patriots for Change urban and rural development shadow minister Armas Amukoto blames the government for the continued renting of the building without occupation.
Amukoto told The Namibian on Tuesday that he is not opposed to investigations into the deal, but said the focus should be on government officials who approved or negotiated the agreement.
“If there is somebody who is getting a kickback, those must be dealt with,” he said.
Amukoto questioned why public anger appears to be directed mainly at Shapumba, saying the government must disclose all similar rental agreements involving private landlords.
“Why are they only focusing on Namibian people?” he said.
“There is a Chinese complex at Omuthiya, and the ministry of home affairs is allegedly renting a Chinese complex. How much are they paying?” he asked.
Amukoto said the public deserves to know who approved the ‘Chicco’ building lease, who negotiated it and whether proper procedures were followed before the agreement was signed.
He said accountability should not be selective.
Political analyst Ben Mulongeni told The Namibian that blame should be shifted to the government, not Shapumba.
“Those people in the government who are supposed to take care of public resources, they let somebody get away with it. So, let’s blame the government,” Mulongeni says.
Mulongeni says wrongdoing cannot be justified by pointing to other similar cases.
“If it’s wrong, whether it’s done by the angels or Jesus’ mother, it’s wrong,” he says.
Mulongeni adds that government officials have a duty to protect public resources and cannot shift blame to private individuals after approving such agreements.
“I don’t think Chicco is wrong. The government is the one who is corrupt, because they are custodians,” he says.
Mulongeni compares the matter to a shopkeeper allowing people to take goods without paying.
“Do you think we are going to look for them to pay back? Of course not. The person who was supposed to take care of your shop must pay,” he says.
In response to questions from The Namibian, works and transport executive director Jonas Sheelongo says the matter is still under consideration by the relevant authorities.
Sheelongo says the government’s position on the lease remains unchanged.
“The government has already made its intention to cancel the lease publicly known, and that position remains unchanged,” he says.
Sheelongo adds that the matter is still being reviewed, with legal advice from the attorney general’s office and ongoing discussions with the landlord.
“What I can confirm is that the ministry is committed to acting in the best interest of the public and within the bounds of the law,” Sheelongo says.
HISTORY REPEATING ITSELF
The Namibian previously reported that the Agro-Marketing and Trade Agency (Amta) paid Shapumba about N$57 million in two property-related transactions through his company, Erf Two Zero Nine CC.
One transaction involved a Windhoek northern industrial property, which Shapumba bought from Trustco for N$4 million in 2013 before selling it to Amta for about N$40 million in 2016.
Another involved about N$10.5 million for leasing a plot at Oshikango that had no title deed.
Two years ago, Popular Democratic Movement parliamentarian Maximalliant Katjimune slammed the decision by the then sport ministry to pay over N$10.8 million to Shapumba for rentals
Katjimune said the decision by the ministry was a demonstration that it had run out of ideas under an uninspired and tired leadership, saying that “is why the state of youth and sport affairs in this country are so dire”.
“This latest move is a flagrant waste of taxpayers money, especially when one considers that hundreds of millions of workers worldwide work remotely due to the advancement of technology, so there’s no need to accommodate all the staff at one building. This money should rather be prioritised for the renovation of our dilapidated youth centres and sport facilities,” he said.
