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Ministry hunts Royal Palace cheats

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MASERU – THE government is scrambling to recover more than M50 million from building and consultant companies that allegedly inflated the cost of their services and materials in the construction of the palace.
thepost can reveal that for the past year officials from the Ministry of Public Works and its architectural department, the Building Design Services (BDS), have been scrutinising their records to claw back millions they allege were fraudulently or unfairly paid to the companies.

The officials believe that between 2015 and 2018 some companies submitted dubious invoices for work that was never done and materials that were not supplied.
The government suspects the companies did this by conniving to submit questionable invoices.
This, the ministry and the BDS allege, contributed to the budget racing from the initial M136 million in 2011 to M476 million now.

At the centre of the alleged sleaze is Makeka Design Lab, a Cape Town-based architectural firm owned by Mokena Makeka.
Makeka, a Mosotho architect originally hired as the interior designer of the palace, became the principal architect when Palace Architect was kicked out in 2013 after quarrelling with the BDS. Palace Architect designed the palace and supervised the construction in the first two years.
Makeka’s appointment in 2015 did not go through an open tender as required by the law.
He appears to have been handpicked on the basis that the project was way behind schedule and following open tender procedures would delay it further.

And indeed the project was already two years behind schedule. His other advantage, according to Public Works sources, was being an architect who was already involved in the project as the interior designer.
Makeka left the project in July 2018, citing a breakdown in his relationship with the Ministry of Public Works and BDS. The firm also complained about delayed payments and what it called questionable decisions by stakeholders.
But BDS officials claim the company was central to the chicanery that saw the cost of the Royal Palace increase by 250 percent.

The project, initially scheduled to finish in 2013, is now seven years behind schedule. Given the work yet to be completed, it is highly unlikely that the royal family will move in this year.
An investigation by thepost has revealed that although Makeka’s changes to the design constituted only one fifth of the building they led to a nearly 200 percent increase in the project’s cost.
Public Works officials say although some of those changes were crucial many were unnecessary and appear to have been part of Makeka’s plot to get more fees.
Makeka’s fees were based on the total cost of the project.

“So whatever wall he knocked down or extended translated into an increase in the cost of the project and translated into more fees into his pocket,” said a ministry official intricately involved in the project.
Questions are being asked why Makeka was paid nearly double what is stipulated in his contract.
The M5.3 million-contract was based on his own audit of the building before his appointment. It included charges for supervision of the remedial work, redesign as well as completion of the project.
It was Makeka who came up with the new work schedule and named his price, according the confidential documents.
Yet when he left three years later Makeka had been paid M9.5 million, a staggering M4.5 million more than the contract value.

Documents show that the budget for the architectural service for the whole project was M10.7 million. When Makeka was appointed the government had already paid M7.7 million to Palace Architect, the company he replaced. This means when he took over there was only M3 million left in the architect’s budget.
The BDS however agreed to push the amount to M5.3 million after Makeka claimed that he had redesigned some of the building and corrected his predecessor’s mistakes.

But Makeka appears to have continued to submit more invoices until he was paid almost double his fees. He left when the project was at only 40 percent but still collected M4.5 million above his contract.
Meanwhile, the project had overrun its architectural service budget by some 70 percent.
This has added to the project’s swelling costs.
To make matters worse Makeka is alleged to have failed to hand over some crucial design documents to the Ministry of Works.

“BDS has been chasing him for those documents,” said a Ministry of Public Works official. “Without those documents we don’t know if he did what he was paid for.
In 2016 LSP, the main contractor, said the project would cost M250 million.
So far LSP has been paid M317 million but has told the government it needs a total M411 million to finish the job.
The ministry and the BDS are said to have hotly contested that figure, insisting that the contractor cannot get more that M30 million for the remaining work.
BDS officials this week told thepost that although the project was already over-budget the situation worsened in 2014 when Makeka took over.

The trouble, said one, is that Makeka seemed to have used his proximity to the Royal Family to push new designs and change specifications.
“He seemed to have operated with a free rein for months as he claimed that some of the changes he was making were at the instructions of the Royal Family,” the official said.
“It was only later that we realised that he was not speaking for the Royal Family but was pushing his own agenda.”
Nothing illustrates this more than the sand bath tub now gathering dust among the building equipment and rubble in the Royal Palace’s yard. The tub was supposed to be in the main bathroom but was removed because it was not fit for purpose.

Senior Ministry of Public Works officials are now debating whether to return it to the supplier for a refund or auction it.
But whatever they decide it’s unlikely that the government will recoup the M350 000 it paid for the tub because it has deteriorated over the years.
How did the government get to buy such an expensive bath tub?

The answer is said to have come out when their Majesties were taken on a tour of the palace. A story told by an official who was part of the entourage is that upon seeing the tub the King asked what it was for. An official from the ministry said it was the bath tub that Makeka said they requested.
“His Majesty looked puzzled and it was obvious that they had not requested such a thing, least of all one that costs so much,” the official said.
“At that moment we realised that Makeka had been playing us all along.”
Makeka’s design also shows that he ripped out the wooden trusses fitted for rheinzink, a special roof imported from Europe at a huge cost.

The rheinzink, which had been ordered when Makeka changed the design, has been replaced with a special glass that sits on flat metal trusses.
Now that glass has started cracking even before the building is finished, with a consultant telling the government that the structure’s design was flawed from the start.
If the design is not changed the structure might curve into the building’s hallway.

Makeka also ordered the demolition of a porte-cochere, a structure protruding in front of the main entrance of the building. As per the request from the BDS and the ministry the arc-shaped porte-cochere was on a terrace. The idea was that Their Majesties would address people from the palace. Makeka ordered the contractor to replace it with an elongated porte-cochere that will have grass on top and can accommodate several cars.

Some terraces were modified by replacing the steel with concrete. Makeka ordered the builder to remove the steel structure on top of the mokorothlo-like structure on the main entrance. That structure was custom-made and is unlikely to find any buyers. Its likely destination might be a scrap metal at the dealer’s yard.
It also appears that some corridors and several bedrooms have been extended.
“Soon we realised we were dealing with an ambitious young architect who saw the palace as his ultimate project.”

Most of the BDS and Ministry officials who spoke to thepost however say it would be unfair to lay all the blame on Makeka.
They say the LSP also botched some aspects of the building, hence the remedial works that dragged on for months and increased the costs.

They also say there are suspicions that the LSP was trying to cut corners to maximise profits.
“Without close supervision it was a free for all. Only now are we getting to grips with the level of losses we incurred as a government,” said another ministry official.
“The plan now is to verify every certificate that was paid. We believe we can recover about M50 million from the companies involved.”

thepost has seen emails that show that the BDS was getting frustrated by the Makeka’s work barely a year after he was hired. The emails show that the NDS was worried that it was not getting information on the cost of the project from Makeka.
This week Makeka said he had “no comment” to thepost’s eight detailed questions about the allegations.
His also copied the email to his lawyer.

Leading the efforts to recover the money is Nyolohelo Mohale, the project’s Clerk of Works. Mohale refused to give specific details but confirms the efforts.
“We have already started recouping some of that money,” Mohale says.
He admits that a “lot of mistakes were made on the project”.
“The government has to learn from those mistakes. There was no strong supervision. A lot of things were not done right. Greed played a part.”

“Corporates were trying to get the most out of a project. The red tape in the government made things worse because payments were delayed. That is all I can say.”
Mohale is coy to make promises on when the project will be completed.
“There is still some work yet to be done but we have made tremendous progress. Relations between the stakeholders have improved a lot and we are working well together.”
He said the interior design and landscaping will start within days but that doesn’t mean Their Majesties will immediately move in soon.

“Once the interior is done Mohale will have to train the team that will maintain the building. That training is intensive and cannot happen when Their Majesties are living there.”
For the Royal Family the wait continues.

Senior Ministry of Public Works officials are now debating whether to return it to the supplier for a refund or auction it.
But whatever they decide it’s unlikely that the government will recoup the M350 000 it paid for the tub because it has deteriorated over the years.
How did the government get to buy such an expensive bath tub?

The answer is said to have come out when their Majesties were taken on a tour of the palace. A story told by an official who was part of the entourage is that upon seeing the tub the King asked what it was for. An official from the ministry said it was the bath tub that Makeka said they requested.
“His Majesty looked puzzled and it was obvious that they had not requested such a thing, least of all one that costs so much,” the official said.

“At that moment we realised that Makeka had been playing us all along.”
Makeka’s design also shows that he ripped out the wooden trusses fitted for rheinzink, a special roof imported from Europe at a huge cost.
The rheinzink, which had been ordered when Makeka changed the design, has been replaced with a special glass that sits on flat metal trusses.

Now that glass has started cracking even before the building is finished, with a consultant telling the government that the structure’s design was flawed from the start.
If the design is not changed the structure might curve into the building’s hallway.
Makeka also ordered the demolition of a porte-cochere, a structure protruding in front of the main entrance of the building. As per the request from the BDS and the ministry the arc-shaped porte-cochere was on a terrace. The idea was that Their Majesties would address people from the palace. Makeka ordered the contractor to replace it with an elongated porte-cochere that will have grass on top and can accommodate several cars.

Some terraces were modified by replacing the steel with concrete. Makeka ordered the builder to remove the steel structure on top of the mokorothlo-shaped structure on the main entrance. That structure was custom-made and is unlikely to find any buyers. Its likely destination might be a scrap metal at the dealer’s yard.
It also appears that some corridors and several bedrooms have been extended.
“Soon we realised we were dealing with an ambitious young architect who saw the palace as his ultimate project.”
Most of the BDS and Ministry officials who spoke to thepost however say it would be unfair to lay all the blame on Makeka.

They say the LSP also botched some aspects of the building, hence the remedial works that dragged on for months and increased the costs.
They also say there are suspicions that the LSP was trying to cut corners to maximise profits.
“Without close supervision it was a free for all. Only now are we getting to grips with the level of losses we incurred as a government,” said another ministry official.
“The plan now is to verify every certificate that was paid. We believe we can recover about M50 million from the companies involved.”

thepost has seen emails that show that the BDS was getting frustrated by Makeka’s work barely a year after he was hired. The emails show that the NDS was worried that it was not getting information on the cost of the project from Makeka.
This week Makeka said he had “no comment” to thepost’s eight detailed questions about the allegations.
His also copied the email to his lawyer.
Leading the efforts to recover the money is Nyolohelo Mohale, the project’s Clerk of Works. Mohale refused to give specific details but confirms the efforts.

“We have already started recouping some of that money,” Mohale says.
He admits that a “lot of mistakes were made on the project”.
“The government has to learn from those mistakes. There was no strong supervision. A lot of things were not done right. Greed played a part.”
“Corporates were trying to get the most out of a project. The red tape in the government made things worse because payments were delayed. That is all I can say.”
Mohale is coy to make promises on when the project will be completed.

“There is still some work yet to be done but we have made tremendous progress. Relations between the stakeholders have improved a lot and we are working well together.”
He said the interior design and landscaping will start within days but that doesn’t mean Their Majesties will immediately move in soon.
“Once the interior is done Mohale will have to train the team that will maintain the building. That training is intensive and cannot happen when Their Majesties are living there.”
For the Royal Family the wait continues.

Shakeman Mugari

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City Council bosses up for fraud

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THREE senior Maseru City Council (MCC) bosses face charges of fraud, theft, corruption and money laundering.

Town clerk Molete Selete and consultant Molefe Nthabane appeared in the Maseru Magistrate’s Court yesterday.

City engineer Matsoso Tikoe did not appear as he was said to be out of the country. He will be arraigned when he returns.

They are charged together with Kenneth Leong, the project manager of SCIG-SMCG-TIM Joint Venture, the company that lost the M379 million Mpilo Boulevard contract in January.

The joint venture made up of two Chinese companies, Shanxi Construction Investment Group (SCIG) and Shanxi Mechanization Construction Group (SMCG), and local partner Tim Plant Hire (TIM), has also been charged.

Selete and Nthabane were released on bail of M5 000 and surety of M200 000 each. Leong was granted bail of M10 000 and surety of M400 000 or property of the same value.

The charges are a culmination of the Directorate on Corruption and Economic Offences (DCEO) investigation that has been going on for the past months or so.

The prosecution says Selete, Nthabane, Tikoe, and Leong acted in concert as they intentionally and unlawfully abused the functions of their offices by authorising an advance payment of M14 million to a joint-venture building the Mpilo Boulevard.

An advance payment guarantee is a commitment issued by a bank to pay a specified amount to one party of a contract on-demand as protection against the risk of the other party’s non-performance.

The prosecution says the payment was processed after the company had provided a dubious advance payment guarantee. It says the officials knew that the guarantee was fake and therefore unenforceable.

As revealed by thepost three weeks ago, SCIG and SMCG were responsible for providing the payment guarantee as lead partners in the joint venture.

The prosecution says the MCC was required by law to make advance payment after SCIG-SMCG-TIM Joint Venture submitted a guarantee as per the international standards on construction contracts.

It alleges that the MCC has now lost the M14 million paid to SCIG-SMCG-TIM Joint Venture because of the fake advanced guarantee.

thepost has seen minutes of meetings in which officials from the joint venture admitted to MCC officers that the advance payment guarantee was dubious.

SCIG-SMCG-TIM kept promising to provide a genuine guarantee but never did. Yet the MCC officials did not report the suspected fraud to the police or take any action against the company.

It was only in January this year that the MCC cancelled the contract on the basis that the company had failed to provide a genuine guarantee.

Despite receiving the advance payment SCIG and SMCG refused to pay TIM Joint Venture for the initial work.

SCIG and SMCG, the lead partners in the joint venture, are reportedly suing the MCC to restore the contract. Officials from TIM Plant Hire however say they are not aware of their partners’ lawsuit against the MCC.

Staff Reporter

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Scott fights for free lawyer

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DOUBLE-MURDER convict Lehlohonolo Scott is fighting the government to pay a lawyer to represent him in his appeal.
Scott, serving two life sentences for murdering Kamohelo Mohata and Moholobela Seetsa in 2012, says his efforts to get a state-sponsored lawyer have been repeatedly frustrated by the Registrar of the High Court, Advocate ’Mathato Sekoai.
He wants to appeal both conviction and sentence.
He has now filed an application in the High Court seeking an order to compel Advocate Sekoai to appoint a lawyer to represent him.
He tells the court that he is representing himself in that application because the Registrar has rejected his request to pay his legal fees or appoint a lawyer for him.
People who cannot fund their own legal costs can apply to the Registrar for what is called pro deo, legal representation paid for by the state.
Scott says Sekoai has told him to approach Legal Aid for assistance.
The Legal Aid office took a year to respond to him, verbally through correctional officers, saying it does not communicate directly with inmates.
The Legal Aid also said he doesn’t qualify to be their client.
“I was informed that one Mrs Papali, if I recall the name well, who is the Chief Legal Aid counsel, had said that Legal Aid does not communicate with inmates so she could not write back to me,” Scott says.
“Secondly, they represent people in minor cases. Thirdly, they represent indigent people of which she suggested I am not one of them.”
“Fourthly, there are no prospects of success in my case hence they won’t assist me.”
He says the Legal Aid’s fifth reason was that he has been in jail for a long time.
Scott is asking the High Court to set aside Sekoai’s decision and order her to facilitate pro deo services for him, saying her decision was “irregular, irrational, and unlawful”.
He argues that the Registrar’s role was to finance his case to finality, meaning up to the Court of Appeal.
The Registrar insists that the arrangement was to provide him a lawyer until his High Court trial ended.
Scott says his lawyer, Advocate Thulo Hoeane, who was paid by the state, had promised to file an appeal a day after his sentencing but he did not.
He argues that the Registrar did not hear him but arbitrarily decided to end pro deo.
Scott says he wrote to Acting Chief Justice ’Maseforo Mahase in 2018 soon after his conviction and sentencing seeking assistance but he never received any response.
Later, he wrote to Chief Justice Sakoane Sakoane in November 2020 and he received a response through Sekoai who rejected his request.
Scott tells the High Court that he managed to apply to the Court of Appeal on his own but the Registrar later told him, through correctional officers, that “the Court of Appeal does not permit ordinary people to approach it”.
He argues that “where justice or other public interest considerations demand, the courts have always departed from the rules without any problem”.
Staff Reporter

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Army ordered to pay up

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THE Ombudsman has asked parliament to intervene to force the Lesotho Defence Force (LDF) to compensate families of people killed by soldiers.
Advocate Tlotliso Polaki told parliament, in two damning reports on Monday, that the LDF is refusing to compensate the family of Lisebo Tang who was shot dead by soldiers near the former commander, Lieutenant General Tlali Kamoli’s home in 2014.

The LDF, she said, is also refusing to compensate the family of Molapo Molapo who was killed by a group of soldiers at his home in Peka, Ha-Leburu in 2022.

Advocate Polaki wrote the LDF in January last year saying it should pay Tang’s mother, Makhola Tang, M300 000 “as a reasonable and justifiable redress for loss of support”.

The Tang family claim investigation started in February 2022 and the LDF responded that it “had undertaken the responsibility for funeral expenses and other related costs”.

Advocate Polaki investigated whether the LDF could be held accountable for Tang’s death and whether his family should be compensated while the criminal case is pending.

She found that the soldiers were “acting within the scope of their employment to protect the army commander and his family” when they killed Tang.

Soldiers killed Tang in Lithabaneng while she was in a parked car with her boyfriend at what the army termed “a compromising spot” near the commander’s residence.

The three soldiers peppered the vehicle with a volley of shots, killing Tang and wounding the boyfriend.

Advocate Polaki found that the army arranged to pay for the funeral costs and to continue buying groceries and school needs for Tang’s daughter.

The LDF, however, kept this for only four years but abruptly stopped.

When asked why it stopped, the army said “there is a criminal case pending in court”.

The army also said it felt that it would be admitting guilt if it compensated the Tang’s family.

The Ombudsman said “a civil claim for pecuniary compensation lodged is not dependent on the criminal proceedings running at the same time”.

“The LDF created a legitimate but unreasonable expectation and commitments between themselves and the complainant which had no duration attached thereto and which showed a willingness to cooperate and work harmoniously together,” Advocate Polaki found.

“The LDF was correct in withdrawing such benefit in the absence of a clear policy guideline or order to continue to offer such benefit or advantage,” she said.

“However, she should have been consulted first as the decision was prejudicial to her interest.”

She said the army’s undertaking “fell short of a critical element of duration and reasonability”.

Tang was a breadwinner working at Pick ’n Pay Supermarket as a cleaner earning M2 000 a month.

Her daughter, the Ombudsman said, is now in grade six and her school fees alone had escalated to M3 200 per year.

She said an appropriate redress should be premised on her family’s loss of income and future loss of support based on her salary and the prejudice suffered by her mother and daughter.

She said M300 000 is “a reasonable and justifiable redress for loss of support”.

In Molapo’s case, Advocate Polaki told parliament that the LDF refused to implement her recommendations to compensate his two daughters.

The complainant is his father, Thabo Joel Molapo.

The Ombudsman told the army in August last year that it should pay the girls M423 805 “for the negligent death of their father”.

Advocate Polaki said despite that the criminal matter is before the court, “it is established that the Ombudsman can assert her jurisdiction and make determinations on the complaint”.

Molapo, 32, was brutally murdered by a soldier in Peka in December 2020.

Molapo had earlier fought with the soldier and disarmed him.

The soldier, the Ombudsman found, rushed to Mokota-koti army post to request backup to recover his rifle. When he returned with his colleagues, they found him hiding in his house. The soldier then shot Molapo.

The LDF, the Ombudsman said, conceded that the soldier killed Molapo while on duty and that he had been subjected to internal disciplinary processes.

“The LDF is bound by the consequences of the officer’s actions who was negligent and caused Molapo’s death,” she said.

She found that after Molapo was killed, army officers and the Minister of Defence visited his family and pledged to pay his children’s school fees. They also promised to hire one of his relatives who would “cater for the needs of the deceased’s children going forward”.

The LDF, she said, has now reneged on its promises saying its “recruitment policy and legal considerations did not allow for such decision to be implemented”.

Molapo’s father told the Ombudsman that the LDF said “the undertakings were not implementable and were made by the minister at the time just to console the family”.

All the payments in the two cases, the Ombudsman has asked parliament, should be made within three months.

Staff Reporter

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