LESOTHO HIGHLANDS WATER PROJECT

LESOTHO HIGHLANDS WATER PROJECT

Lesotho Firm Against Corruption

Maseru - 10 June, 2004

Background

During January 1995, the LHDA carried out a Management Audit with the aim of looking into the irregularities that were apparent in the award of contracts in the LHWP. The Management Audit report showed that there was a breach of the LHDA policies and procedures in the awards of contracts.

Further investigations by the firm of Auditors Ernst and Young revealed that some contractors and consultants bribed the former Chief Executive of LHDA Mr Sole so that they could be awarded contracts.

This lead to Mr Sole being dismissed from the LHDA towards the end of 1995.

The LHDA also issued summons against Mr Sole for the recovery of the funds he had misappropriated during the time he was Chief Executive of the LHDA.

The Government of Lesotho also prosecuted various contractors and consultants involved in the bribery of Mr Sole.

Herein below is the list of companies that have been prosecuted and the outcomes thereof.

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For more information please contact LHDA Public Relations at 4th floor Lesotho Bank Tower; Telephone No. 22 311 280 ext 2175; Cell Number, 58 857 202