RCC forces Nelumbu on leave over N$17m fuel deal

Dasius Nelumbu

The Roads Contractor Company (RCC) has “forced” acting chief executive Dasius Nelumbu to take leave while it investigates his involvement in a N$17 million fuel deal involving undelivered fuel allegedly paid to entities linked to fugitive businessman Victor Malima.

The fuel transactions involve companies linked to individuals implicated in the ongoing Namibia National Petroleum Corporation corruption case, Simeon Handjene and Malima.

The RCC launched an investigation on 18 September after The Namibian reported that the company, under Nelumbu’s watch, had paid N$30 million for fuel, of which fuel worth N$17 million had not been delivered.

An email dated 28 September and seen by The Namibian, titled ‘Internal Circular Addressed to All Employees’, shows how RCC board chairperson Lea Namoloh informed employees that Nelumbu had been placed on leave until further notice.

“Please be advised that Mr Dasius Nelumbu will be on leave with effect from 28 September 2026 until further notice,” she says.

Sources close to the matter say Nelumbu was removed from his accounting officer powers before he was placed on leave.

According to Namoloh, Martin Shivute will act on his behalf and has been granted full executive authority by the board to perform and exercise all the duties, powers, and responsibilities associated with the position.

“Supervisors and managers at all sites are kindly requested to ensure that this communication is brought to the attention of employees who do not have access to email.

“Your cooperation and support are appreciated, and we trust that you will extend your full assistance to Mr Shivute as he discharges his responsibilities,” she says.

The source close to the matter describes the leave as “forced”, saying the board announced the acting chief executive’s leave, raising questions about whether the decision was linked to the ongoing investigation.

NOT AWARE

Namoloh told The Namibian last week that she was not aware of the leave, nor of Nelumbu’s link to the ongoing investigations.

“I am not aware of what you are saying or the leave, wherever you got that information, who gave you that information and where is it coming from,” she said.

The acting chief executive’s contract is understood to be ending later this year.

Sources say the board may be seeking to allow the contract to expire rather than renew it, effectively removing him from the position without formally terminating his employment.

According to the sources, the acting chief executive has been receiving the full salary attached to the executive officer position rather than an acting allowance, following a decision by the board.

The sources say this means he cannot simply return to the position once the investigation is concluded, as the position would have to be filled through a formal recruitment process and he would have to apply and be interviewed should he wish to return.

One source describes the arrangement as a “diplomatic” way of allowing his tenure to come to an end while he remains on the company’s payroll.

The scandal includes payments between September 2023 and July 2025, including transactions that were personally approved by Nelumbu.

Documents seen by The Namibian show that RCC paid N$27 million to Oshali Fuel Centre CC for fuel deliveries to various project sites.

The company’s sole member, Handjene, was arrested and charged in a separate fraud and corruption case this year.

Oshali Fuel Centre subsequently failed to deliver fuel worth N$14 million, according to a reconciliation by the RCC. Malima’s Eco Fuel Investment CC also failed to deliver N$3 million worth of fuel.

The roads company has since demanded that the outstanding fuel be delivered or that the money be refunded.

‘ARREST HIM’

Namibia Economic Freedom Fighters (NEFF) deputy president Kalimbo Iipumbu yesterday told The Namibian that the board has failed by putting Nelumbu on leave, instead of making an arrest.

“The issue of RCC, the mismanagement and money just being splashed on it did not start yesterday. From the onset we have been saying there must be investigations on Nelumbu. There is nothing wrong with sending him on leave, he must be arrested, just like any other people that are arrested,” he said.

Iipumbu accused the RCC board of double standards.

“Why are we playing double standards? Why would the board send the person on leave, arrest the person while investigations are ongoing, if the person is not guilty then he can be released,” he said.

Iipumbu, who has been vocal on the contractor company’s dealings since last year, said many Namibians are dying of hunger while their resources are being wasted.

“We put money in individuals linked to corruption and [they] are not being arrested. There is a lot of mismanagement going on at the RCC and as the NEFF, we are not going to tolerate this,” he said.

WARNINGS IGNORED

Landless People’s Movement member of parliament Utaara Mootu last year asked prime minister Elijah Ngurare to have Nelumbu investigated for tender corruption.

Mootu told parliament about the reckless mismanagement of funds by the RCC board and how Nelumbu has depleted institutional resources.

Yesterday Mootu told The Namibian that the decision to place Nelumbu on leave is necessary as due process must be taken due to the allegations.

However, she said the move cannot be treated as a conclusion to the matter, as the allegations still need to be properly investigated and administrative leave should not be misconstrued as accountability.

“Last year I raised serious concerns in parliament regarding procurement practices, financial transactions, governance failures and concentration of authority within the RCC.

“The latest allegations, therefore, cannot simply be treated in isolation as just fuel transactions. They raise broader questions about whether warning signs were ignored and whether adequate oversight was exercised over a prolonged period.

“With the N$17 million worth of fuel we are dealing with public money and an entity that has repeatedly required government support while struggling financially,” she said.

She said Namibians need to know who authorised the transactions, what procurement procedures were followed or bypassed and why those failures were not detected earlier.

Nelumbu could not be reached for comment by the time of going to print.


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