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CONFLICT OF INTEREST? National Farmers Union general secretary and FLP leader Chaudhry wants RBF Governor to resign from FSC Board

26/11/2017

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"Also, why no action had been taken against FSC’s former executive chairman, Abdul Khan, who was forced to resign last year after the National Farmers Union revealed his exorbitantly high director’s fees and other malpractices running into millions of dollars. This matter has been pending for well over a year now. We were assured at last year’s annual meeting that Khan was being investigated. The Corporation has been defrauded of millions of dollars by this man. How can FSC sit back and allow him to get away with it? Such malpractices must be nipped in the bud. By not taking action against Abdul Khan both government and FSC were giving the signal that they condone such fraudulent behavior. It seems some people in our society can defraud with impunity. Another case is that of the FF parliamentarian and deputy chairman of the Public Accounts Committee, Mohammed Dean who faced an internal investigation on allegations for fraud by the Education Department in 2015. The inquiry was shelved on orders from high” - Chaudhry

Fijileaks:
We have established Abdul Khan was on $800,000 salary


*In his statement Chaudhry also repeats the NFP's proposal for a minimum guarantee price of $100 per tonne:

"Cane growers have been demanding a guaranteed minimum price of $100 per tonne but neither government nor FSC has responded to this."

Chaudhry wants RBF Governor to resign from FSC Board

National Farmers Union general secretary Mahendra Chaudhry has questioned the appointment of Reserve Bank Governor Ariff Ali to the Fiji Sugar Corporation Board.

Mr Chaudhry raised the matter at the Corporation’s annual general meeting yesterday (Thursday), pointing out that Mr Ali’s appointment to the FSC Board involved conflict of interest and was “highly unethical”.

He also questioned Mr Ali’s appointment to the Sugar Cane Growers Fund which is a financial institution.

"Mr Ali must resign from the two boards to maintain the integrity of the Reserve Bank, even if he was appointed by the Minister.

“He should not have accepted. The RBF has an oversight and supervisory role. It must not get itself directly involved in the affairs of corporate entities or financial organisations. It is just not ethical,” Mr Chaudhry said.

“The Corporation borrowed money from the Reserve Bank. How can the Governor then be appointed a director to the Corporation? There is a definite conflict of interest involved. The Growers Fund is a financial institution.”

In an unprecedented move, the Governor Reserve Bank was recently appointed to the Board of FSC as well as the Sugar Cane Growers Fund.

On FSC’s plans to boost cane production under its new strategic plan for 2018, Mr Chaudhry said no such plan would work unless growers were given a fair cane price.

“Cane farming is no longer financially viable on the current low cane price. Costs of production are too high. Unless growers are guaranteed a fair price for their cane, they will not want to cultivate cane.

“As it is FSC has been struggling to reach the 2million tonne cane production mark for years now,” Mr Chaudhry said.

Cane growers have been demanding a guaranteed minimum price of $100 per tonne but neither government nor FSC has responded to this. To restore farmers’ confidence in the industry, Mr Chaudhry said FSC must engage with growers’ representatives and ensure that Growers Council elections were held.

Mr Chaudhry questioned why no action had been taken against FSC’s former executive chairman, Abdul Khan, who was forced to resign last year after the National Farmers Union revealed his exorbitantly high director’s fees and other malpractices running into millions of dollars.

“This matter has been pending for well over a year now. We were assured at last year’s annual meeting that Khan was being investigated.

“The Corporation has been defrauded of millions of dollars by this man. How can FSC sit back and allow him to get away with it? Such malpractices must be nipped in the bud. By not taking action against Abdul Khan both government and FSC were giving the signal that they condone such fraudulent behavior.

“It seems some people in our society can defraud with impunity. Another case is that of the FF parliamentarian and deputy chairman of the Public Accounts Committee, Mohammed Dean who faced an internal investigation on allegations for fraud by the Education Department in 2015. The inquiry was shelved on orders from high,” Mr Chaudhry said.

YOU SEE ME HERE, YOU SEE ME THERE, YOU SEE ME EVERYWHERE

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From Fijileaks Archive, 14 October 2015:

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Dean's contract was extended for another year til 23 August 2015; the next day, 24 August, Education Minister Reddy ORDERED Education Ministry to transfer Dean to Dr Saukhat Ali Sahib Campus in Nadi

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Teacher to Politician?: On 15 August 2015 Dean resigned without giving any reasons for his resignation to MOE; in fact, he was planning to contest election on FFP ticket!

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