Dear Editor,
I deem it important that the people of West Honiara Constituency to read this summary of events that led to the termination of Mr Wilson Mamae, one of the three candidates for the West Honiara Constituency Seat.
Mr Mamae understandably is running under the banner of the Solomon Islands Democratic Party led by Matthew Wale. Mr Wale and Mr Mamae during a campaign in West Honiara accused the former MP Namson Tran of being corrupt without any proof.
The fact of the matter is that Mr Tran is the only MP who has provided a breakdown of Constituency Funds paid to him as the MP for West Honiara during his past three terms and how the funds were utilized.
Here is the summary of events:
Wilson Mamae served as the Lord Mayor of Honiara City Council from June 3, 2019, until his removal on March 29, 2021. His tenure was marred by several controversial issues leading to his eventual ousting. This summary outlines the key events and findings that culminated in his termination.
- – Special Audit Report June to September 2020
Maladministration & widespread financial mismanagement
- – Sale of HCC Land October 2020 to January 2021
Serious fraud against Excellent Resources Management Limited & Commissioner of Lands
- – Motion of No-Confidence March 2021
Very Weak Leadership & Misconduct and Misappropriation of HCC funds
Conclusion:
Wilson Mamae’s removal as Lord Mayor of Honiara City Council was due to significant governance issues, financial mismanagement, and corruption, all documented by audits and investigations. The audit highlighted serious administrative failures and financial mismanagement. Further investigations into land sales showed fraud involving high-ranking officials, including the mayor, violating ethical and legal standards. The no-confidence motion, supported by most council members, was a key response to calls for better governance and accountability.
- – Special Audit Report June to September 2020
Maladministration & widespread financial mismanagement
| 1. | The office of the Auditor General conducted a Special Investigation Audit on the directive of the Minister of Home Affairs Hon. Chris Laore. The audit was carried out following allegations of widespread financial mismanagement and illegal borrowings. There was also wide public call for the mayor Wilson Mamae to step down over numerous allegations. |
- – Sale of HCC Land October 2020 to January 2021
Serious fraud against Excellent Resources Management Limited & Commissioner of Lands
An inquest was conducted regarding the sale of HCC land.
Information obtained from a reliable source has confirmed the veracity of allegations surrounding the fraudulent sale of land owned by the City Council. City Clerk Rence Sore, City Mayor Wilson Mamae, along with the former treasurer and other officials, are implicated in the scheme. They collaborated to fabricate documents and deceive both a Malaysian company and the Commissioner of Lands, leading to the unauthorized sale of the land. Upon discovering these actions, the Commissioner of Lands promptly issued a one-month notice of resumption for the land.
THE FACTS OF THE CASE
Circumstances of Events of the Issue (as established by the Inquest):
| 2. | The City Council owns a plot of land registered as parcel number 192-010-0033. It is situated at Ranadi Industrial area next to the Excellent Resource Management Limited, a Malaysian Logging Company, (ERML). (Commissioner of Lands granted the FTE title to the City Council on September 26, 1986). |
| 3. | The Bio-Security Division of the Ministry of Agriculture occupied the land at the time. It is mandated to manage the bio-security risks associated with the movement of gods (trade) and people into and out of the Solomon Islands. |
| 4. | The General Manager of ERML asked the former mayor for access road through the land. Instead, the former mayor and former city clerk negotiated to sell the full land to the Malaysian and get him to agree to their offer. |
| 5. | They offered the property at $800,000 plus to clear off outstanding payments of the land. They assured the Malaysian that the transfer of the FTE will be facilitated as soon as the payment was completed. |
| 6. | Wilson and Rence saw it as an opportunity to gain financial advantage and having agreed on how they will conduct their deceptive acts they influenced the then Treasurer Tony Lenson who was the co-signatory to the city councils accounts and therefore useful to the undertaking. |
| 7. | On 5th of October 2010 the company cleared the outstanding rental payment of $124,273.00. (receipt available). |
| 8. | Rence then provided all valid documents including a Minute confirming the full council had sanctioned the sale on October 29, 2020. Besides, its records in the Lands Office were clear – certificate of FTE, consent fee paid, and was clear from the Lands blacklist of properties. |
| 9. | This prompted the Commissioner of Lands Allen McNeil to consent the sale of the land. |
| 10. | On 11 November 2020 he deposited $400,000 into the City Councils account with Bank South Pacific Limited. |
| 11. | On 26 November 2020 he made another deposit of $120,000 into the same account. (This is payment of Stamp Duty). |
| 12. | On 17 December 2020 he deposited $255,727. |
| 13. | The monies paid up to December now totaled $900.000. |
| 14. | On 7 January 2021 the City Council transferred the FTE title to Excellent Resources Management Limited, the Malaysian Logging Company. |
| 15. | A few councillors and officials became aware of the sale and started enquiring about it. Their enquiry reached the office of the Commissioner of Lands as well. |
| 16. | Thus, on 11 January 2021 Commissioner of Lands issued a one-month Notice for the of the resumption of the land. |
The Fraud
| 17. | All the monies that were transacted for the payment of land parcel number 191-0100033 never went through HCC administration and accounts procurement processes. Thus there are no records of those payments in the HCC registry. |
| 18. | The cash payment of $124,273 on 05/10/20 as payment to clear off outstanding fees, rentals etc.. |
| 19. | The deposit of $400,000 on 11/11/20 into Honiara Municipal Account number 9005570402 by the Malaysian. Later that same day 2 withdrawals of $29,211.11 CHQ No. 0103131 and 21,980.12 CHQ No. 0103132 were made. The following day a withdrawal of $339,415.37 CHQ No. 0103130. A total of $390,606.60 was withdrawn and shared by Wilson, Rence and Tony. |
| 20. | The deposit of $120,000 being payment of stamp duty on 26/11/20 into the same account by the Malaysian. Later that same day 2 withdrawals of $21,980.12 CHQ No. 0103174 and $29,222.92 CHQ No. 0103172 were made. The following day a withdrawal of $60,000 CHQ No. 0103177. A total of $111,203.04 was withdrawn and shared by Wilson, Rence and Tony. |
| 21. | The deposit of $255,727 on 11/11/20 in the same account by the Malaysian. Later that same day 3 withdrawals of $148,000 CHQ No. 0103235, $80,000 CHQ No. 1900003 and $16,020 were made. A total of $244,020 was withdrawn and shared by Wilson, Rence and Tony. |
| 22. | So from the total payment from ERML of $900,000, only about $29,897.36 was ever left in the HCC account |
| 23. | The sale of the council land did not go through normal administration process of the HCC |
| 24. | Payments were not recorded through the normal accounting process also |
| 25. | So ERML paid for land but there are no records of payments it did because payments were not recorded |
1 – METRO TEAM Petty Cash Receipt
This is the receipt acknowledging cash payment to clear of outstanding fees against and on parcel number 191-010-0033
$124,273.00
EXH 2
On 11 November 2020 ERML deposited $400,000 into the City Councils account with Bank South Pacific Limited.
3
On 26 November 2020 ERML deposited $120,000 into the City Councils account with Bank South Pacific Limited.
4:
On 17 December 2020 ERML deposited $255,727 into the City Councils account with Bank South Pacific Limited.
5:
Honiara Municipal Authority Bank Account
Account Number 9005570402
Bank Statements showing the DEPOSITS and WITHDRAWALS for the transactions in issue.
C – Motion of No-Confidence March 2021
Very Weak Leadership & Misconduct and Misappropriation of HCC funds
| 26. | Cr. Vavaya Ward, late Billy Abae started building a comprehensive case against Wilson Mamae, depicting a pattern of leadership failure, financial mismanagement, and potential corruption. The detailed evidence, supported by external audits, strongly suggests that these factors were adequate to file a motion of no-confidence and have Wilson Mamae removed. Over the next several weeks the said councillor worked very hard with the support of other close councillors and HCC officials. |
| 27. | Thus on 29/03/21 the motion of no-confidence was tabled against Wilson Mamae and was defeated by an overwhelming majority of votes; 8-4. |
| 28. | Grounds for the motion were: WEAK LEADERSHIP – that City Clerk allowed to act outside executive decisions for all matters of the council and for his personal gains. Evidence include: the appointment of the clerk,2019 staff recruitment,continuous public calls for the mayor to resign,and the clerk’s control over the executive being the head of administration.MISCONDUCT AND MISAPPROPRIATION OF HCC FUNDS – the misconduct and misappropriation of funds include the:misuse of petty cash, budget overspending,conflict of interest within HCC,regularity of errors in journal entries,unrecorded and missing PVs,accumulation of workers SINPF contributions, Mayor and Clerks rental entitlements, andothers.OTHER – evidence comprise:the illegal sale of HCC lands,poor financial management which gave rise to debt servicing in the 2021 budget,suspicious awarding of contracts, and many more. Most allegations also featured in the Special Investigation Audit Report on the Accounts and Records of HCC and Public Accounts Committee report. |
Concerned West Honiara resident
