MPs bash parastatals for ‘corruption, fat-cat pay’

STATE-OWNED companies have come under fire in the National Assembly as Parliamentarians use the ongoing Budget debate to take aim at State-owned enterprises for alleged corruption and self-enrichment in their ranks.

On Tuesday, Justice Minister Albert Kawana joined in the public dressing-down of parastatals, adding his voice to that of Swapo MP Ponhele ya France, who last week accused State-owned companies of mismanagement, corruption and executive self-enrichment. Both Kawana and Ya France noted the influences of capitalism as they made their comments about what they said was a sad state of affairs at the country’s parastatals.”It is a pity to note that the evils of capitalism have infested some of our parastatals, as has been revealed by recently appointed commissions of enquiry,” Kawana said.”Capitalism through the private sector is corrupting our parastatals.”When he raised the same topic on Friday, Ya France said parastatals were instruments of state capitalism, and were to operate on purely capitalist business principles:generate profits or face being liquidated.But, he added:”What we have today are moribund small mushrooming kingdoms with the sole purpose of generating fat salaries and as breeding grounds for corruption, mismanagement and maladministration.”Further:”Nobody could convince me that we have done enough to make the parastatals serve the purpose and objectives they were created for.What we have done and are still doing, is to give the CEOs of these companies unchecked, uncontrolled and limitless powers of day robbery, mismanagement and corruption, paying themselves more than what they could not even dream of one day producing.”If “resolute and decisive action” was not taken with regard to parastatals, “this nation will be ruined through institutions we have created and by the people we have entrusted”, Ya France said.He added that one of the first priorities of a national agency on parastatals, which is being established, should be a total overhaul of the management style, conditions of service and salaries of the managements running these enterprises.Kawana remarked that it had been proven that corruption, which benefited only a very few people at the expense of the majority in any country, could easily eat away the public resources of a nation.”Corruption is the biggest enemy against peace, stability and economic development in any given country,” he stated.He suggested that instead of “blanket subsidies which mainly go to financing the lifestyle of management with fat salaries and other benefits”, Government subsidies should rather be aimed only at financing specific projects in State-owned companies.The Budget debate is scheduled to continue into May.Both Kawana and Ya France noted the influences of capitalism as they made their comments about what they said was a sad state of affairs at the country’s parastatals.”It is a pity to note that the evils of capitalism have infested some of our parastatals, as has been revealed by recently appointed commissions of enquiry,” Kawana said.”Capitalism through the private sector is corrupting our parastatals.”When he raised the same topic on Friday, Ya France said parastatals were instruments of state capitalism, and were to operate on purely capitalist business principles:generate profits or face being liquidated.But, he added:”What we have today are moribund small mushrooming kingdoms with the sole purpose of generating fat salaries and as breeding grounds for corruption, mismanagement and maladministration.”Further:”Nobody could convince me that we have done enough to make the parastatals serve the purpose and objectives they were created for.What we have done and are still doing, is to give the CEOs of these companies unchecked, uncontrolled and limitless powers of day robbery, mismanagement and corruption, paying themselves more than what they could not even dream of one day producing.”If “resolute and decisive action” was not taken with regard to parastatals, “this nation will be ruined through institutions we have created and by the people we have entrusted”, Ya France said.He added that one of the first priorities of a national agency on parastatals, which is being established, should be a total overhaul of the management style, conditions of service and salaries of the managements running these enterprises.Kawana remarked that it had been proven that corruption, which benefited only a very few people at the expense of the majority in any country, could easily eat away the public resources of a nation.”Corruption is the biggest enemy against peace, stability and economic development in any given country,” he stated.He suggested that instead of “blanket subsidies which mainly go to financing the lifestyle of management with fat salaries and other benefits”, Government subsidies should rather be aimed only at financing specific projects in State-owned companies.The Budget debate is scheduled to continue into May.