DAR ES SALAAM Regional Commissioner Paul Makonda has unearthed massive cheating in contracts entered between the Dar es Salaam City Council (DCC) and different agents, costing the government millions of shillings in revenue.
As a result of the massive cheating, the Dar es salaam RC has directed Prevention and Combating of Corruption Bureau (PCCB) officials to start investigations into the matter today and relevant authorities to take disciplinary actions against every official involved.
Contracts under discussions include the Ubungo Bus Terminal (UBT) contract entered between the Dar es Salaam City and an Agent to collect fees and the National Parking System (NPS) contract entered between the City and an Agent to collect parking fees in the central city.
Apparently the DCC director also gave more time to the Agent contracted to collect parking fee, whose contract had expired, to continue collecting the parking fee while the DCC prepares modality to get a new Agent, which included announcing tenders.
Mr Makonda told reporters in Dar es Salaam that he cannot work with such officials who are not keen on assisting the government and were instead against it and all out to fulfil their own interests.
"I cannot work with such people... they must go (referring to the DCC director)... I need people who will be in the frontline to assist President John Magufuli and his government to increase revenue to address challenges facing the public," he explained.
The RC said a team he appointed to look into the issue found out, among other issues, that there are two UBT contracts signed on different dates using two different laws.
"The Agent who collects fees at the UBT uses a contract under the 2004 laws to pay government revenue while the actual law which is in use right now is that of 2009, which was amended from the 2004 law," he noted.
Mr Makonda said according to the 2009 legislation, the collection should not be less than 84m/- per month, while the 2004 legislation pegs the collection at 42m/- per month.
"...this means the government is losing 42m/- every month, which is more than 500m/- per year, which is a total of 3bn/- lost since 2009. How can the agent and the DCC have two different contracts signed only in one day," wondered the RC.
According to Mr Makonda, the contract under the 2009 legislation was signed on 30/1/2005, while the contract under the 2004 law was signed on 31/1/2005 by the same people. "At the DCC, the contract recognised is the one under the 2004 laws, while the Agent has the one under 2009 law, which means that the Agent is paying the right amount.
But since the DCC uses the 2004 laws, it means, that there is a possibility that the 3bn/- ended up in some people's pockets," he reasoned. On the NPS, Mr Makonda said the team also found out that DCC authorities gave ten more months to the Agent whose contract had expired, contrary to the law and contract regulations.
He said in August last year, the DCC director wrote to the Agent allowing him six more months, while the City Council sought for another Agent through tendering process. Just when the six months were about to expire, the Acting DCC director, gave the Agent four additional months through an official letter to continue collecting parking fees as the DCC continues with the process to get another agent.
"Both letters have signatures of the two officials... this move is contrary to the country's laws and regulations," Mr Makonda noted.
Meanwhile, the RC has noted that investigations by his team of experts also found out that Tambaza Company, which was contracted to oversee and apprehend motorcyles and vehicles parked in wrong places, has been demanding more money in fines contrary to the required amount.
He said motorcycles, which are supposed to pay 20,000/-, have been paying Tambaza 80,000/-. “In addition to that, the company’s workers are rude and use abusive language contrary to the requirements of the contract’’, he reported.
