The Government Transition Team (GTT) report said, “Many of the buses have already been disabled because they are of poor quality and lack replacement spares.”
According to the Report, former Minister of Transport and Aviation, Leonard Balogun Koroma, “… signed a contract with Liu Jianmin, Vice President of Poly Technologies, agreeing to the purchase and shipment of 100 new buses from Poly Technologies to Sierra Leone.”
“The Beijing-based Poly Technologies is a Chinese state-owned company. The contract covered, in addition to the 100 new buses, the supply of equipment, spare parts and associated training.”
The value of the contract was $12,291,920 USD or Le.61.5billion. The schedule of payment, according to the contract, began with a $2.4 million USD deposit on 30 May 2014 to end with the final payment on 31st May 2016”. These buses arrived in Sierra Leone in July 2015 which included 50 city buses having 19 seats each; 30 city buses 30 seats each, and 20 provincial buses 48 seats each.
The GTT report stated, “Sierra Leone Roads Transport Corporation (SLRTC), which was marginalised by Minister Balogun Koroma during the negotiations leading to the contract, had earlier submitted a business proposal for the procurement of 100 buses, prepared in February 2014, stating that it would need a total of Le26.5 billion to procure 100 new buses.”
Stating further that there was “previous experience purchasing strong and durable ASHOK Leyland buses from India. Le.26.5 billion, is a fraction of the Le.61.5 billion that Balogun Koroma paid for the Chinese buses, which turned out to be far less strong and durable than the ASHOK Leyland buses”.
“However, though the Ministry of Finance paid the $12.2 million USD for the buses, it was considered a loan to SLRTC, which was to manage the buses, but whose own proposal for the purchase of the buses Minister Balogun Koroma had summarily rejected”.
“The corporation preferred buses that are also low on fuel consumption as rising fuel prices has a direct impact on the entire operational life of the Corporation.”
In a communication to the GTT which was reproduced as Annex VI, the Technical Committee of SLRTC noted the following, “The Committee holds the view that the cost of the buses purchased from China and the social fare structure coupled by the inconsistent fuel support from the Government of Sierra Leone greatly hindered the operations of the Corporation.”
The communication also noted: “The committee holds the view that the $12 million USD spent on the procurement of the one hundred buses from China could have been wisely spent to procure at least two hundred buses.”
In the recommendation, “The GTT strongly recommends that the former Minister of Transport, Leonard Balogun Koroma, be investigated for negotiating this extortionate contract, which suggests that corruption was his key strong motivation”. BM/21/7/18
By Betty Milton
Tuesday July 24, 2018.
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