By Patience Makwele

The Ministry of Finance has refused to clarify when or whether Namibia Post Limited (NamPost) will refund more than N$64.6 million in unaccounted State funds, citing the matter as sub judice amid an ongoing High Court battle.  This comes at a time when Nampost on Thursday started a trial run on their payment system, in places such as Okahandja, as they prepare to fully takeover the distribution of social grants.

Meanwhile, the missing millions trace back to a ministry reconciliation report dated  5 October 2020, now filed as evidence in the High Court case by Epupa Investment Technology. The report exposes deep lapses in accountability, record keeping, and financial oversight between the State and NamPost as a State-owned enterprise entrusted with distributing social grants across Namibia. When asked whether NamPost will pay back the money and if so, by when, ministry's spokesperson, Wilson Shikoto, responded in writing via a whatsapp message: “We can not respond on issue. The response should be that the issue is subjudice.”

Millions not refunded 
According to the 2020 reconciliation report, prepared by the then Ministry of Gender Equality, Poverty Eradication & Social Welfare, reveals that a total of N$64,629,840.00 in unclaimed or unrefunded social grant funds “was due to the State but had not been refunded” for cash payments made between April 2009 and March 2018.

“A total of N$64,629,840.00 which was due to be refunded to the fiscus for payments made between 2009 and 2018 had not been refunded,” read the document of the sworn affidavit by Epupa Investment Technology, who filed the document in the ongoing review application. The recon report filled also noted that there are two years missing (2013&2019) meaning this amount could translate to N$100 million.

No contract, no reports
The ministry’s report, marked as Annexure 1 in the court filing lays bare a decade-long breakdown in financial control, including the absence of a service agreement with NamPost. The report states that “There was no service level agreement signed with the ministry and Nampost Ltd.” Further adding that, “In the absence of enforced deliverables, no proper reports were available to support the reconciliation processes.”

It further notes that NamPost’s smaller-town branches allegedly “operated on a manual voucher system resulting in tedious reconciliation processes,” and that “individual beneficiary accounts were not updated, deceased accounts not suspended in time and unclaimed grant funds due to the State not accounted for.” The report adds that the ministry was “still waiting on information promised by Nampost” to validate refunds and that the parastatal “could not provide a detailed aged analysis report” to determine which funds were due to beneficiaries and to the State.

Billing without delivery
In another troubling revelation, the ministry confirmed that NamPost billed the government for “services rendered” even in months when no grant payments were facilitated. “NamPost Ltd billed the ministry service rendered for November and December although no grant payment was facilitated in December,” the report stated, citing that “NamPost’s response on the matter is still pending.”

Capacity questioned
The affidavit, uses the ministry’s own findings to question NamPost’s competency to manage State funds or tenders under the Public Procurement Act. “In a competitive bidding process the second respondent (NamPost) would not win any competitive tender award against the applicant (Epupa Investment Technology)  because it had no capacity and when it did the work it was incompetent,” Epupa asserted. The document added that the “shortcomings in NamPost’s ability to execute the tender” are not merely administrative lapses but signal systemic failure in financial accountability within a State-owned enterprise.

Public left in the dark
As the matter remains before the High Court, the ministry’s decision to withhold comment under the sub judice rule leaves key questions unanswered, including when, or if, the unaccounted N$64.6 million will ever be recovered for the State. "It reflects shortcomings in the ability of [NamPost] to execute the tender," the affidavit warns, calling the episode “procurement to procure more procurement.”

Responding to questions Anti Corruption Commision's (ACC) director general Paulus Nao said: "I am not aware of this matter and I do not think the ministry of finance itself has reported this issue to my office. I will wait for your publication and use that as a basis to seek answers. Somebody must definetly answer." Commenting on the unaccounted millions,  auditor general Junias Kandjeke said he is limited to discussing matters contained in his reports but would be interested in any information provided to him. Efforts to get comment from NamPost were not successful at the time of going to print.