Tjihumino suspension ‘not over GIPF losses’

THE Accountant General of the Ministry of Finance and Chairman of the GIPF Board, ZM (‘Maru’) Tjihumino, was not suspended because of massive losses reported at the State pension body, Permanent Secretary of Finance Calle Schlettwein said yesterday.

Schlettwein was clarifying earlier reports, which linked Tjihumino’s suspension directly to reported losses of nearly N$640 million at the GIPF, mostly in its Development Capital Portfolio (DCP). “There has been some misunderstanding …(Tjihumino’s) suspension …is related to transgressions under certain aspects of the Public Servants Act,” he said.Schlettwein declined to elaborate on these charges, as they would form the basis of a disciplinary hearing.But he said the state of affairs at the GIPF “also has some bearing” on Tjihumino’s suspension from his key position as Director of Budgetary Control.Tjihumino has signalled that he intends fighting his suspension, claiming that allegations that his suspension was linked to the GIPF losses amounted to character assassination.Meanwhile, Namibia Asset Management, which is 47,14 per cent owned by South African-based Coronation Investment Trust, has said it was never responsible for any of GIPF’s DCP loans.Most of these oans, it has been established, were handled by Sanlam Investment Management (Pty) Ltd, who obtained this contract in 2000 when the GIPF Board of Trustees were headed by Steve Katjiuanjo, formerly of the Office of the Prime Minister.Sackey Aipinge of Nam-Mic, which owns 33,3 per cent of sepiolite mining outfit Afhold (Pty) Ltd, also objected to an earlier report that stated he “controlled” Sepiolite Production.”We borrowed N$10 million from the GIPF to buy 33,3 per cent of the shares (in Afhold),” Aipinge said yesterday.A company filing in this regard with the Trade Ministry – which lists him as MD of Sepiolite – was therefore misleading.The shares in Afhold were then ceded to GIPF as security against the loan, he said, and comprised at least N$25 million in fixed assets.As to why the GIPF auditors and trustees wrote the loan down to zero, he said this ought best be explained by the GIPF itself.David Imbili, who is listed as a director in NamGrape and Sepiolite, objected to what he termed tendentious reporting that created an impression that all BEE firms were “Avid-type outfits”.He said NamGrape, which borrowed N$120 million from the GIPF, was faced with a punitive interest rate of 18 per cent.”This is where most of the N$187 million comes from …it is interest, but it takes at least three to five years for grapes to come into production,” he said when asked why the N$187 million loan was written down to N$90 million.Most loans in the DCP portfolio – NamGrape and Sepiolite’s included – were being restructured into equity, he said.As to why such massive write-downs were implemented, the answers should come from GIPF.”We are just ordinary businessmen, doing honest business – there is nothing crooked going on here,” he said.* John Grobler is a freelance journalist; 081 240 1587″There has been some misunderstanding …(Tjihumino’s) suspension …is related to transgressions under certain aspects of the Public Servants Act,” he said.Schlettwein declined to elaborate on these charges, as they would form the basis of a disciplinary hearing.But he said the state of affairs at the GIPF “also has some bearing” on Tjihumino’s suspension from his key position as Director of Budgetary Control.Tjihumino has signalled that he intends fighting his suspension, claiming that allegations that his suspension was linked to the GIPF losses amounted to character assassination.Meanwhile, Namibia Asset Management, which is 47,14 per cent owned by South African-based Coronation Investment Trust, has said it was never responsible for any of GIPF’s DCP loans.Most of these oans, it has been established, were handled by Sanlam Investment Management (Pty) Ltd, who obtained this contract in 2000 when the GIPF Board of Trustees were headed by Steve Katjiuanjo, formerly of the Office of the Prime Minister.Sackey Aipinge of Nam-Mic, which owns 33,3 per cent of sepiolite mining outfit Afhold (Pty) Ltd, also objected to an earlier report that stated he “controlled” Sepiolite Production.”We borrowed N$10 million from the GIPF to buy 33,3 per cent of the shares (in Afhold),” Aipinge said yesterday.A company filing in this regard with the Trade Ministry – which lists him as MD of Sepiolite – was therefore misleading.The shares in Afhold were then ceded to GIPF as security against the loan, he said, and comprised at least N$25 million in fixed assets.As to why the GIPF auditors and trustees wrote the loan down to zero, he said this ought best be explained by the GIPF itself.David Imbili, who is listed as a director in NamGrape and Sepiolite, objected to what he termed tendentious reporting that created an impression that all BEE firms were “Avid-type outfits”.He said NamGrape, which borrowed N$120 million from the GIPF, was faced with a punitive interest rate of 18 per cent.”This is where most of the N$187 million comes from …it is interest, but it takes at least three to five years for grapes to come into production,” he said when asked why the N$187 million loan was written down to N$90 million.Most loans in the DCP portfolio – NamGrape and Sepiolite’s included – were being restructured into equity, he said.As to why such massive write-downs were implemented, the answers should come from GIPF.”We are just ordinary businessmen, doing honest business – there is nothing crooked going on here,” he said.* John Grobler is a freelance journalist; 081 240 1587