OCG probing major fraud in the award of Govt contracts at the KSAC

The Office of the Contractor General (OCG) says it has uncovered evidence of what appears to be a major fraud in the award of contracts at the Kingston and St. Andrew Corporation (KSAC).

The fraud involves at least three of the KSAC's councillors.

The OCG says it uncovered fraud in the award of at least 114 contracts from the KSAC.

The contracts valued at more than $96 million, were mainly for gully and drain cleaning.

They were awarded by the KSAC between November 2006 and November 2010.

But the OCG said the contractor who received the contracts, admitted in sworn statements that she was a fake, and only acted as a front for three councillors and a staff member of the KSAC’s Roads and Works Division.   

The OCG said the fake contractor fraudulently secured registration with the National Contracts Commission (NCC) as a Government works contractor.

And in her application forms she listed three staff members.

However, two of the persons listed, said they neither knew of the contractor nor worked for her.

According to the OCG, the fake contractor cooperated with the investigation, and disclosed the extent of the alleged scam.

Meanwhile it says the matter will be formally referred to the police.     

Since last year, the OCG has made several requests to the Government, and the NCC, for the provision of additional staff to assist it in its zero tolerance scrutiny of works contractors’ application forms.

It said this is needed to minimize delays in the NCC contractor registration process.

However, the OCG said its requests have so far fallen on deaf ears.