REHOBOTH mayor George Dax yesterday spoke out against media reports on alleged corruption and tender irregularities within the town council.
The council has been in the spotlight over two agreements it has signed with electricity consulting firm Jacobs Electricity Consulting (JEC) and with refuse collection company Alstemo Management Services, a company that belongs to Dax’s brother.JEC’s agreement has been questioned because the company is being paid a fixed retainer of N$100 000 a month, regardless of work performed, and because no tender was invited for the services it provides the council.Both agreements have been scrutinised by the Anti-Corruption Commission (ACC), which called on the Minister of Regional and Local Government to step in at the town.In the case of Alstemo, Dax told reporters yesterday that Alstemo was among four companies that tendered in 2006 and won the contract.The tender was advertised again in July last year, Dax said, with Alstemo being the only company to tender then.’Council follows standard practices of governance. Each member of council therefore follows a process of declaration of interest as and when applicable, and excuses him or herself from participating in a decision should such a member have direct or indirect interest,’ Dax said.On the JEC agreement, the mayor said the company was first employed in 2006 on a consultancy basis to assist the council in getting out of an unfavourable electricity supply deal.’It was not council’s presumed or express intention to continue with the services of JEC after the handover of assets from Reho-Electricity to ourselves. It was supposed to be only until the Electricity Division would have been incorporated into the new Southern Red. However, the ECB made it clear and impressed on us that, due to past experience and problems with electricity supply and distribution, the Rehoboth Town council had to prove or ensure that we had or had secured the services of an engineering firm with electrical engineering expertise, as precondition for the award of the supply and distribution licences,’ he said.As council was happy with JEC’s services, he said, they decided to stick with them.’As a result, all parties were satisfied and the required real progress was achieved,’ he said.Dax blamed the current unrest on disgruntled leaders within the council, whom he accused of wanting to destabilise the Swapo Party at the town.’It is a known fact that certain political leadership in council and other political structures are well acquainted with reporters with certain newspapers,’ he said.
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