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ESCROW ACCOUNT SAGA: FOUR FACE AXE


The National Assembly yesterday unanimously came up with eight resolutions on the hot debate involving the withdrawal of Sh 320 billion from Tegeta Escrow account that was being administered by the Bank of Tanzania.


Among the resolutions, the legislature agreed that key government officials who facilitated the withdrawal of the monies from the account be removed from their respective positions.

The removal of key officials should include those who received the monies under dubious circumstances, MPs resolved, urging the appointing authority, the President of the United Republic, that he should remove the Minister for Energy and Minerals Prof Sospeter Muhongo and Permanent Secretary Eliachim Maswi, Attorney General Frederick Werema and the Minister for Lands and Human Settlements Development Prof Anna Tibaijuka.

Also in the resolutions, the legislature wants the government to dissolve the board of directors of the Tanzania Electric Supply Company (Tanesco).

Reading the resolutions amid applause from all quarters in the House, Public Accounts Committee (PAC) chairman Zitto Kabwe said the government should also nationalize the plant owned by Independent Power Tanzania Limited.

The resolutions demanded that the government should avail to the House all power supply contracts for review, as well as establishing a probe institution collaborating with the Prevention and Combating of Corruption Bureau (PCCB).

Stanbic Bank that received money from the Escrow account was also mentioned as a money laundering concern in the resolutions.

A sensitive provision in the resolution demanded that all judges and other individuals, including religious leaders and some MPs mentioned in the report as beneficiaries of the Escrow money should be investigated and taken to court.

Speaker Anne Makinda warned the MPs to refrain from backing corrupt leaders on the basis of party affinities and collegiality.

“There are no parliamentary immunities and privileges on matters related to criminal cases. If you are connected to it the same legal actions well be taken upon you,” the Speaker declared.

In remarks before Prime Minister Mizengo Pinda closed the session yesterday, the Minister of State in the President’s Office (Civil Society Relations and Coordination) said the resolutions were deliberated by the reconciliation committee in good faith to ensure the positive conclusion of the matter and maintain the unity of Parliament and public cohesion.

  For a while resignations were expected from Energy and Minerals Minister Prof. Sospeter Muhongo  and Attorney General Frederick Werema, but nothing of the sort happened, implying it is the president who shall have to do give them the signal to do so, along with Permanent Secretary Eliakim Maswi.

The three were crucial to the withdrawal operation following the validation by courts of ownership of the Tegeta 100MW plant by regional investor Harbinder Singh Sethi and advice by the Attorney General and consensus with top ministerial authorities that the funds be handed to the Pan-African Power Solutions.

On that account one third of the funds were handed to erstwhile 30 per cent shareholder James Rugemalira, who then dished out the funds to numerous individuals, including his MP Anna Tibaijuka who was billed 1.6billion shillings, and his Roman Catholic bishop, Auxiliary Bishop Method Kilaini, at 80million shillings.

All this has been classified as grand corruption by the Public Accounts Committee (PAC) whose report, picking up from investigations by the Prevention and Combating of Corruption Bureau (PCCB) and the Controller and Auditor General (CAG).

The controversial Tegeta Escrow account raged on from Wednesday to Saturday, with the House adjourned prematurely four times as the legislators differed on the matter.

A bitter exchange of words was at a climax on Friday evening when the House was passing resolutions on how to deal with those implicated in the PAC report.
The MPs failed to agree on stern actions to take against public officials implicated in the Tegeta escrow account saga.

The Speaker, Anne Makinda, was quite cautious on the language to be used in their recommendations, arguing that she did not want to appear like giving orders to the executive branch.

A lot of theatrics followed as opposition MPs shouted whenever members from the ruling party tried to speak. Just a few minutes to 11:00pm the chaos was nearly complete, and the Speaker was forced to adjourn the session.

 Earlier, Speaker Makinda had extended the session, saying she would not suspend it until all 12 resolutions by the PAC were debated and agreed upon.

But when the House reached the point of making decisions on key government officials cited by the PAC, the CAG and PCCB, most MPs from the ruling party were overly resistant on any decision directly holding those officials accountable.

This forced the leader of the official opposition, Freeman Mbowe to rally his MPs into rejecting this stance, standing and shouting for close to 15 minutes, bringing the Speaker to adjourn the session.
 
SOURCE: GUARDIAN ON SUNDAY

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