AG report on Cuban Bulb Project paints damning picture

[Lazie]

So even the Ministry of Finance with the World Class Minister is guilty of this?

A wonder a who fa fault now Dr. Paulwell?

Mi never see one man who waste so much of government money and them continue to give him bigger kitty.

Why yuh surprised? PJ was PM for 14 years. The incompetent PNP gov't was in office for almost 19 years ... and there were those that wanted them to win the last election.

[Gamma]

shell waiver....

[Karl]

Breaches in the management of Petro-Caribe Fund Wednesday, 16 January 2008 breaches have been cited by the latest report of the Auditor-General, in the management of the Petro-Caribe. According to the report which was tabled in Tuesday's sitting of Parliament, agreements were absent for several disbursed by the Fund.

Unaudited financial statements, which were presented, reflected that up to October last year, $23 billion in loans and advances were made to 13 entities.

However, written agreements indicating and repayment schedules were seen for loans totalling $9.4 billion.

The Auditor-General said there was no indication that appropriate budgetary provision was made to accommodate loans made to the Office of the Prime Minister, or the Ministries of Finance, and Works.

This is not even saying mismanagement of the funds!
What it speaks to is " not following guidelinesand regulations, etc."!

How you jump to corruption can only loosely mean 'corrupting, i.e. not conforming to, the stated practise'!

Cho man!..time fi cure yuh JLPites desease!

[Lazie]

This is not even saying mismanagement of the funds!
What it speaks to is " not following guideline and regulations, etc."!

How you jump to corruption can only loosely mean 'corrupting, i.e. not conforming to, the stated practise'!

Cho man!..time fi cure yuh JLPites desease!

You remind me of the story of this drunkard that walk in on his wife in action with another man .... then stated "That man is me!"

Gwaan duh yuh thing Karl ... we all know yuh drunk when it comes to defending the PNP.

[Karl]

You are aware that the PCJ will be conducting an internal fraud investigation? If y'all heard the interview with the PCJ's boss this morning unuh would say something different. As for the JCF's Fraud squad ... I was always in doubt they have the ability to figure out anything.

"will be conducting"?
So no criminal offense proven? Right?
Maybe...yup!...maybe...but as of now - NONE!

[Assasin]

how can you not mismanage a fund when you lend by not following the the guidelines? explain that to me Karl.

[Karl]

how can you not mismanage a fund when you lend by not following the the guidelines? explain that to me Karl.

No mismanagement if -
The result was optimum use of the funds for stated purpose!

The audit shall prove if that was done!
..but, in any case the important issue as far as Kern and Paulwell lives go; were there criminal offenses committed?

[Lazie]

PCJ in trouble over Cuban light bulb scandal

A major shake up is coming at the Petroleum Corporation of Jamaica, (PCJ), which has found itself at the centre of the deepening controversy, over the Cuban Light Bulb Project.

Fingers are now being pointed at the state-run entity for its reported failure to properly manage the project's financial affairs.

This follows the release of the Auditor-General's report on the bulb distribution programme during Tuesday's Parliamentary session.

The report revealed significant financial breaches and a breakdown in control mechanisms, resulting in several instances of over-payments amounting to millions of dollar.

Thousands of light bulbs valued at nearly $100 million have also disappeared.

Energy Minister, Clive Mullings, said it will not be business as usual at the PCJ.

Mr. Mullings said an internal investigation is to be carried out to identify the persons who were derelict in carrying out their duties.

In addition a special meeting of the Board is to be held to look at ways to overhaul the PCJ's internal management system.

Minister Mullings indicated that the police might be asked to determine if fraud was committed.

[Lazie]

"Minister Mullings indicated that the police might be asked to determine if fraud was committed"

Thats a focking waste of time!!! Send fi Scotland Yard!

[Assasin]

If they didn't follow the rules of managing the fund then it is MISMANAGEMENT plain and simple. Who you trying to fool? You need to look on the defination again.

How many times have you heard the AG charge people with fraud?

[Karl]

If they didn't follow the rules of managing the fund then it is MISMANAGEMENT plain and simple. Who you trying to fool? You need to look on the defination again.

How many times have you heard the AG charge people with fraud?

Bulb saga deepens
A-G says $92m worth of bulbs 'missing'
BY ALICIA DUNKLEY Observer staff reporter
dunkleya@jamaicaobserver.com
Wednesday, January 16, 2008


THE Auditor General's Department has presented a damning assessment of the Jamaica/Cuba Light Bulb Project which has widened the margin of blame, taking some of the heat off former junior minister Kern Spencer.

According to Adrian Strachan, who completed the report just before his retirement at the start of this month, about 176,380 of the four million bulbs, costing approximately $92 million, could not be accounted for, while there was an absence of an effective system of budgetary control resulting in the making of payments and the incurring of unpaid obligations of $185.3 million over the approved financial support of the Petroleum Corporation of Jamaica.


Kern Spencer (left), the junior minister in the Ministry of Industry, Technology, Energy and Commerce in the previous PNP Government, as well as his senior minister, Phillip Paulwell (top right), follow Energy Minister Clive Mullings' presentation in Parliament yesterday. At right is PNP parliamentarian Ian Hayles. (Photos: Joseph Wellington)

Strachan said there was needless expenditure of $1.4 million in relation to the sale of carbon credits. He also reported that the purchase of computer equipment costing $850,500 was still to be accounted for, as well as the apparent overpayment of $2.1 million for management fees and an outstanding advance of $2.3 million.

Spencer, who was the junior minister with responsibility for the light bulb project under Phillip Paulwell's Ministry of Industry, Technology, Energy and Commerce in the previous People's National Party Government, shouldered much of the blame for the discrepancies and alleged over expenditure of approximately $114 million for the bulbs, which were given as a gift from the Cuban Government.

The matter was first made public by the new energy minister, Clive Mullings, in October last year.


Energy Minister Clive Mullings tabling the auditor-general's report on the Cuban light bulb issue in the House of Representatives yesterday. (Photo: Joseph Wellington)

In a report tabled in the House of Representatives yesterday, Strachan called on the former energy ministry and the Petroleum Corporation of Jamaica to provide explanations regarding several aspects of the project.

Strachan said it was clear "that the project under which four million free light bulbs, courtesy of Cuba, were to be distributed to Jamaicans was not planned and implemented in a satisfactory manner".
"The basic rudiments of good public sector project management were absent," added Strachan. "There were wholesale breaches of the Government's procurement and disbursement rules."

He added that weak or absent documentation undermined the accountability process.
"In the circumstances, I am not convinced that this project was implemented in an efficient and cost-effective manner," he said.

Among the "major inadequacies" identified by the auditor-general were the non-presentation of any written agreement between the Jamaican and Cuban governments on the numbers of bulbs supplied and the number of Cuban volunteers, as well as whether expenses in relation to their stay would be met by either government.

Spencer, immediately reacting to the report yesterday, said he felt somewhat vindicated, saying he had been cleared of the blame placed on him by the initial disclosures related to the issue. He thanked Prime Minister Bruce Golding for commissioning the report and the Auditor-General's Department for carrying out the
task assigned.

"This report is completely different from the initial report which gave the impression that payments were made without any work being done or without consideration. It shows that there were board approvals of the expenditure," Spencer said.

According to the former junior minister, the "initial allegations were that the ministry was not integrally involved in the process" but Strachan's report showed that the ministry was not on the 'periphery' as then implied and showed that the PCJ was involved in the process".

"I am prepared to give my account to Jamaica and the PCJ must give an account as well, and the other officials should speak and explain that there was no wrongdoing but that there were some challenges," Spencer told the Observer.

He said he would be looking at the report in detail and would be responding under Section 18 of the Standing Orders of the House.

Regarding the 'missing bulbs', Spencer said the Cubans would better be able to say. "If bulbs are missing, ask the Cubans; they were the custodians, we could not move the bulbs without asking them."

Spencer, during a November meeting of Parliament, wept openly after Minister Mullings told the House that the Police Fraud Squad and the auditor-general would be asked to investigate the project.

[Assasin]

More to be told re Cuban Bulb scandal

Wednesday, 16 January 2008 Former Junior Minister in the Ministry of Industry, Technology, and Commerce in the previous People's National Party government, Kern Spencer, who had direct responsibility for the Cuban [Project, said there is more to be told on what happened with the programme.

Mr. Spencer told the RJRcentre that he is reviewing the Auditor-General's report and will issue a full statement giving his side of the story.

He said that in terms of responsibility over the handling of the project, there are more individuals which the country needs to be told about.

Mr. Spencer said the whole bulb programme and the discrepancies surrounding it could be explained.

He added that the relevant persons, who also had responsibilities with the project, should also come forward and explain what happened.

[Assasin]

No wonder him did a bawl. "He added that the relevant persons, who also had responsibilities with the project, should also come forward and explain what happened."