– Strongest penalties to be applied, says Dr. Singh
MINISTER of Finance Dr. Ashni Singh said that the administration will spare no effort in ensuring that the perpetrators of the recent pension fraud and their accomplices face the full extent of the applicable laws and that the strongest available penalties are brought to bear against them, including forfeiture of assets.

Speaking at a press conference held at his ministry’s boardroom yesterday, Dr. Singh gave an update on the status of the investigation into the $196M fraud uncovered in the Accountant General’s Department,  which saw the committal of 75 fraudulent transactions of payments of superannuation benefits to fictitious beneficiaries over the period March 2009 to February 2011 when it was discovered.

“[It was found] that 75 cheques were issued to as many as 54 separate beneficiaries of which at least 14 had repeat transactions,” the Minister reported. He said too, that the investigation led to the identification of all the beneficiaries who cashed in on the cheques.

“Many of the beneficiaries are currently assisting the Guyana Police Force with the investigation,” he said, adding that some of the beneficiaries have been arrested and charged. This is also the reality for one staff member of the Accountant General’s Department.
“So far, three people have been charged,” Dr. Singh said.

He added that not all of the people for whom Police Wanted Bulletins were sent out have presented themselves for questioning. But he said that it is the administration’s intention to interview all of the persons suspected of being involved. “Police efforts to find them are continuing,” said the minister.
“The administration has given the Audit Office and the Guyana Police Force all the support needed to pursue the fraud investigation to its end including in relation to the use of the fraudulently obtained funds to acquire personal assets,” Dr. Singh posited.
The minister also stated that the administration has identified certain breaches in procedures that were committed in perpetrating the fraud and has moved to correct them, “including but not limited to steps to revise procedures, ensure compliance and recruitment of staff.”
The minister noted that while there were controls in place, these were breached. He said that the controls were meant not only to prevent fraudulent activity, but were also designed to help detect any violation after the fact, and this is what happened.
“I am hopeful that the steps taken are reasonable and will minimize occurrence,” he said. He, however, pointed out that due to the “human element”, no system can be entirely foolproof.