N.dollars 1.1 billion recovered from ‘vanished’ N.dollars 661 million GIPF investment

Government Institutions Pension Fund (GIPF) recovered about N.dollars 1.1 billion from the N.dollars 661 million which the Prosecutor General (PG) Martha Imalwa said vanished without a trace.

Speaking at a media conference here on Monday, GIPF Chief Executive Officer David Nuyoma said the fund collected N.dollars 1 119 315 from 18 of the 21 companies through the Development Capital Portfolio (DCP) programme.

DCP which commenced in 1995 was established to promote economic growth and to develop domestic industrial capacity.

To date, most of the portfolio investment have been disposed of or written off, except Etosha fisheries, First National Bank Namibia Holdings and Bank Windhoek, Nuyoma said.

From these three companies, GIFP to date, received N.dollars 741 252 900.

Meanwhile, from six, that paid back their loans and equity with interests and exited the agreement, GIPF collected amounts to N.dollars 236 034 378.

These companies include National Housing Enterprise (NHE), Windhoek Country Club, Preferred Management Services (PMS), Swakopmund Station Hotel, Multiline Investments and Tutunge Investments.

The fund also recovered N.dollars 137 409 991 from six companies that could not perform and were sold off.

These companies include Ongopolo Mining, Namibia Pig Farm, Namibia Grape Company, Ostrich Production Namibia (Karas Abattoir and Tannery), Omaheke Tannery and Ostriches.

GIPF further collected N.dollars 4 618 288 from only three who were liquidated and written off while it was unable to collect any money from the other three companies.

The three companies who were liquidated are Black Square Auto Engineering, Namibia Chicken Investments as well as Namibia Plastics and Liquids, while the companies were no money was collected from are Tsogang Investments/Uri!Khubua Abattoir, Omina Investments and Sepiolite Production.

Nuyoma said GIPF invested into 21 companies through equity and loans of which some experienced either poor management, poor governance or negative changes in the business environment.

He further explained that GIPF saw it fit to lay a criminal case with the Namibian Police Force in 2009 for proper investigation on whether there were any theft, fraud, reckless trading or other criminal offences.

The fund was open and forthcoming with information and documents the investigators required, Nuyoma said.

This comes after the PG explained that documentary evidence could not be retrieved and those who gave out the loans have no independent recollection of what transpired in the absence of documents and that some key people are diseased.

Source: Namibia Press Agency