Auditors probe payment for unfinished health centre

May 07, 2018 News

The construction of a concrete health centre and living quarters at Wiruni, Berbice River has attracted the attention of state auditors following reports of major financial discrepancies.
Kaieteur News understands that Region Ten Regional Democratic Council (RDC) contracted JPM General Contracting Services to build the centre at a cost of $14.3M.
Reports are that the region paid the contractor $5.9M in 2016 then $3.27M in July 2017. The latter payment attracted the attention of auditors since the construction bond, which is usually utilized when contractors default, expired on June 11, 2017.

The unfinished health centre at Wiruni along the Berbice River.

The bond expired a month before the contractor received the $3.27M payment.
Regional engineer, Clive Peters, was recently questioned on the project by the Public Accounts Committee (PAC) of Parliament. The Committee had concerns about the region’s decision to offer a contract extension for three months in December 2016.
Peters related to the PAC that he did not approve the extension. He said that 70 percent of the work on the building was completed.
The Acting Regional Executive Officer at the time, Maylene Stephen, claimed to have written the contractor to offer the three-month extension without a written approval from the Region’s Public Works Department.
When regional officials learned that the bond had expired they moved to terminate the contract.
While there are concerns about the project, residents continue to await the opening of the much-needed health centre. The building should have been completed since December 2016.

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