By Kebba AF Touray
Finance Minister Seedy Keita on Monday responded to Parliament’s report on the $30 million petroleum scandal, acknowledging widespread governance failures but insisting that the most serious allegations of bribery, tax evasion, and money laundering could not be proven.
The inquiry, conducted by a joint committee of the Finance and Public Accounts Committee (FPAC) and the Public Enterprises Committee (PEC), scrutinized transactions involving Apogee FZC, Creed Energy Limited, and Ultimate Beigee Logistics in the sale of petroleum products valued at $30 million. The National Assembly debated and adopted the report earlier this year, forwarding its findings and recommendations to the government.
While lawmakers said they could not substantiate claims of bribery, money laundering, and tax evasion, the committees described “serious governance and regulatory failures, pervasive non-compliance with financial, tax and corporate laws, and a troubling disregard for due process.”
Minister Keita, in his reply, acknowledged the gravity of those concerns. “The observed discovery of regulatory breaches, collusion, omission or commission posed a significant risk to public interest and a dent to our reputable public finance governance environment,” he told lawmakers.
The joint report also cited tax arrears owed by Creed Energy and Ultimate Beigee Logistics, amounting to D8.5 million and D12.2 million respectively. Keita noted that the Gambia Revenue Authority (GRA) had issued “best of judgment assessments” after the companies failed to file tax returns. “GRA will use information available to generate a tax assessment, which may be disputed, and initiate recovery where possible,” he said.
One of the more pointed recommendations called for the immediate suspension of Gam Petroleum’s General Manager and for police to launch a criminal investigation into alleged conflicts of interest and breaches of fiduciary duty. Keita said the government accepted the recommendation. “The police will initiate investigations as recommended into any conflict of interest and breach of agreement and fiduciary duties against the General Manager,” he said.
The Central Bank of The Gambia (CBG) also came under scrutiny. The report recommended penalties for commercial banks found in breach of prudential risk guidelines and urged a special audit to ensure no similar arrangements were concealed within the banking system. “This recommendation is noted and we will ensure that the imposition of penalties as well as punitive sanctions will be maintained,” Keita said.
On the role of the Public Utilities Regulatory Authority (PURA), lawmakers questioned how exclusive ullage privileges were granted to Apogee FZC. Keita said PURA, as the competent downstream regulator, would be tasked with conducting a special inquiry.
