SOLOMON Islands Women in Business Association (SIWIBA) is among other businesses and organizations that missed out on the SBD309 Million Economic Stimulus Package (ESP).
The former Democratic Coalition for Government for Advancement (DCGA) led by Prime Minister Manasseh Sogavare developed the ESP to boost the economy to compensate for the expected economic downturn resulting from COVID-19 and the State of Public Emergency introduced to curtail the spread of the global pandemic.
The aim of the ESP was to enable businesses and households to continue to produce, trade, employ people, spend and boost aggregate demand in the economy.
However, the Office of the Auditor General conducted an audit for the period from March 2020 to December 2021 and raised concerns in its findings in the report.
OAG also made 13 recommendations for the Government to improve on its internal control system when dealing with such scheme in future.
An officer of SIWIBA who worked during the COVID-19 period, Jessica Warahiru said they applied to the Office of Prime Minister and Cabinet to get stimulus package for the rental of their office at the SINPF Plaza.
She said an officer of the ESP Implementation and Oversight Committee visited their office and they signed the agreement for payment.
Mrs Warahiru said after the signing, SIWIBA never received any stimulus package for rental until to date.
“We still have arrears with Solomon Islands National Provident Fund for not paying rental for about five to six months, ranging over $100,000.
“We told SINPF that the ESP Implementation and Oversight Committee would pay direct to them,” she said.
However, after the scheme ended, SINPF did not receive its rental payment after the Committee failed to honor the agreement.
A total of $6 million was paid as grants to businesses in the form of direct payments and rent relief.
Auditor General David Teika Dennis said some businesses were given a grant to cover their rent for a limited period, while the business was shut down or receiving reduced income.
This totalled to $4.2 million to 77 different businesses.
Mr Dennis said the OAG reviewed a sample of these and found that some businesses which were not registered received grants and one business owned by people closely associated with the Solomon Islands Government received a single payment which was 10 percent of the total paid out for rent relief.
“No evidence was found of undue influence being exerted in this case, but the perception of conflict of interest exists,” he said.
However, the ESP Implementation and Oversight Committee responded on the audit report that they welcomed the recommendation to further strengthen for any future policy response of a similar nature.
The Committee however, confirmed that under the reference policy, the conflicts of interest or potential conflicts of interest have been properly managed through the establishment of an oversight committee where all recommendations were made.
“During the Committee meetings, Conflict of Interest by Committee Members are declared as well,” the Committee said.
By EDDIE OSIFELO
Solomon Star, Honiara
