The $15K party, who is telling the truth?

By The Editorial Board 06 January 2024, 10:00AM

Confusing. That is what the explanations for the money used to finance the end-of-year events at the Land Transport Authority seem like. Not slightly confusing but very confusing, with more twists and turns than a Hercule Poirot novel.

LTA had a party, where staff and families were taken to the Piula Caves for a picnic. The cost of which was borne by we don’t know who and the board of directors was given hampers and had a dinner event as well. The bill for all this was $15,000.

Furthermore, a proposed $10,000 as a gift for the outgoing Chief Executive Officer was shelved. Who financed this? A very valid question since the public wants to know if their money is being well spent. The forthcoming answers do not match and if this was an audit report, it would be marked as a discrepancy.

On one side, the Minister of Works Transport and Infrastructure, Olo Fiti Vaai, the minister to whom LTA reports, says the SAT$15,000 spent by the Land Transport Authority for its end-of-year activities was not public funds.

The comments from the Minister contradict the position of the L.T.A. Chairman, Lilomaiava Punivalu who earlier confirmed that the Board of Directors approved the $15,000 expenditure for the end of the year.

The Minister of Works is adamant that the spending from L.T.A. for its end-of-year party was not public funds.

“I did not give approval for that and I did ask when it came out in the Samoa Observer,” Olo said in an interview with the Samoa Observer.

“The money came from Galumalemana [outgoing L.T.A. C.E.O.] and her family, it wasn’t money from L.T.A. If it was money from L.T.A. I would have been informed.”

If this was the case, the outgoing CEO seems to be a very generous person with a very big purse.   

However, in a recent interview on 26 December 2022, the L.T.A. Chairman confirmed the $15,000 expenditure was approved by the Board of Directors and done in the past.

Lilomaiava was asked about the authority spending $15,000 for its end-of-year functions given that Government Ministries are barred from using state funds for such events except for soft drinks and food.

In response, the Chairman said it was normal and was done before on condition that no alcohol is bought from the money.

He explained the $15,000 was used to buy food and sponsor a family day at the Piula Cave for staff and also covered for Board members' Christmas hamper and dinner.

The policy on this situation is best explained by the Minister of Public Enterprises, Leatinuu Wayne So'oialo. He was also asked by the Samoa Observer about giving a monetary gift to an executive official funded by the Government as well as funds for the office party.

Leatinuu said the Cabinet had already issued an FK (Cabinet Directive) ceasing any funds for staff benefits, loan schemes, and other benefits.

He added a review was underway on the spending noting that a lot of money has been used to "take care of themselves".

What happens now? Will a board paper for the meeting where the money was approved be produced to verify the answers by the Chairman? If it does, then it puts the minister in the wrong.

Or, will the outgoing CEO come out and say she gave the money? If this is the case, then the Chairman made false comments. But then again, if the former boss denies giving any money, you know who was telling the truth.

Whatever the case, can someone explain where the money was from?

One of the most critical aspects of civil servants' work is managing public money effectively. Public money refers to the funds that the government collects from taxpayers and other sources, such as borrowing. These funds are used to finance public services, infrastructure, and other government initiatives.

As custodians of public money, civil servants must ensure that it is spent wisely, efficiently, and effectively. Failure to do so can have serious consequences for the government, taxpayers, and the wider economy.

Managing public money is important for several reasons. First, it helps to ensure that taxpayers' money is used for its intended purpose and that it is not wasted or misused, for example, by hosting a party. This is especially important in times of economic uncertainty, when every penny counts, and the government is under pressure to reduce its spending.

Second, effective management of public money helps to improve public services and infrastructure. When public money is spent wisely, it can lead to better outcomes for citizens, such as improved healthcare, education, and transport services.

Third, managing public money effectively can help to promote trust and confidence in government. When citizens see that their taxes are being used responsibly, they are more likely to support the government and its policies.

By The Editorial Board 06 January 2024, 10:00AM
Samoa Observer

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