STEALING, NEPOTISM RIFE AT YOUTH DEVELOPMENT AUTHORITY
The National Youth Development Authority –Director-General Mr. Joe Itaki and his syndicate Ms Winnie Milam must be arrested for the Misappropriation of K8 million belonging to the National Youth Development Authority appropriated by the Department of National Planning for the PIP Project –Youth Development Programs –REGIONAL YOUTH HUBS. This report is a comprehensive one with all evidence attached including expenditure vote summary, copies of contracts, copies of invoices, copies of cheques and other related materials substantiating all allegations made in that complaint.
It was a Formal Complaint laid against the Director-General and his crime syndicate for Conspiracy, Abuse of Office and Misappropriation of National Youth Development Authority funds. The Crime Syndicate consists of the following:
1. Mr Joe Itaki (Current Director-General -NYDA)
2. Hon. Wake Goe ( Current Minister for Community Development, Youth & Religion)
3. Ms Winnie Milam - (Accountant-NYDA)
Mr Joe Itaki Was appointed acting Director-General of National Youth Development Authority in April 2019. After Acting for a year he was confirmed by NEC as Director-General of National Youth Development Authority. Since the Acting to Current From, the duo Director-General and Accountant plus the Minister have colluded with very weak and corrupted NYDA, and systemically defrauded the National Youth Development Authority with Millions of Kina and NYDA assets. Both Director-General and Accountant in collaboration, aided by the (Minister), have grossly abused their powers resulting in squandering of large amounts of NYDA funds for political, family and personal use, including receipt of kickbacks from awarding of contracts to wantoks including corrupt deals with motor vehicle dealers.
One (1) experienced, senior substantive position holder was removed from his positions within the (Finance and Administration), namely;
(1) Mr Fred Gigmai, Senior Internal Auditor – Signing Officer to the NYDA Operational Account
The above officer liked corrupt deals and he knew his job was online so he voluntarily resigned. The employment of key finance and administrative positions are vital but instead a very Junior officer who is Executive Assistant Mrs Koe Lovera was appointed to sign on the Cheque that is directly linked to an unrestraint indulgence in squandering of NYDA funds. All experienced administrative systems and process have been effectively removed, thereby creating a tight control and, very weak and sick administrative system managed by Accountant Winnie Maliam. The Director Finance and Administration Mrs Dora Asera who is also the authorized requisitioning officer under PFMA was consequently removed since May 2019. From May 2019 to May 2020 is one year and all the requisitions raised are not signed and certified by Director Finance and Administration.
The Director-General has siphoned, both directly and indirectly, large amounts of NYDA funds including the purchase of vehicles and awarding of contracts to wantoks with inevitable kick-back benefits. Subsequently, the NYDA Administration has fallen prey to a well-connected syndicate of predators, ripping the National Youth Development Authority apart. The summary of available data supporting the allegations (facts) is listed hereunder. Please note that:
1. Lead information and evidence presented in this complaint are for the period between April 2019 to May 2020. (Detailed audit needs to be conducted for this period to validate the allegations presented hereunder).
2. Information and evidence not included in this complaint are for the period of June 2020 to current. (New and additional revelations of misappropriation are expected to be uncovered by an audit).
The complaint is set out in Two Parts. Introduction and the background are presented in Part 1 and Part 2 lays out the actual allegations and further provides lead information with the available evidence.
In August 2019 a brave and courageous senior NYDA staff (Mr Fred Gigmai) laid complaints against the Director-General of National Youth Development Authority Mr.Joe Itaki.
The complainant did so in his capacity as a senior internal auditor of the National Youth Development Authority. He was the Acting Manager of Business Development but his sustentative Position is Senior Internal Auditor until he himself resigned because all his report licked by authorities of trust whom he felt appropriate action would be taken. His rigid stand against corruption has led to his resignation. He served the NYDA for nearly 6 years. Consequently, he laid the complaint as a directly affected staff and a citizen of Papua New Guinea.
He also represents the directly affected Senior Staff and furthermore, he represents over 50 employees of the National Youth Development Authority (who’s in fear of losing their jobs and cannot be able to speak out) and more importantly the 4 million-plus Youth population in PNG, who are directly affected as a result of the diversion of funds for purposes other than the core functions of the National Youth Development Authority. Therefore, the authority of this complaint is firmly established.
Two (2) distinct categories of allegations of corruption, perpetrated by the Director-General and his syndicate, are presented in this part. These include mismanagement and Fraud which amount to Abuse of Office, Misappropriation and Conspiracy.
1. NEPOTISM AT UNPRECEDENTED SCALE
The Director-General has forced, coerced or allowed an overly corrupted Accountant (Winnie Milam), who previously had bad records in the Bank (BSP) as a former employee so as NYDA over misuse of over K9 million Youth Friendly Centre Funds and was removed by the then a/Director General Mr Reuben Akia on the grounds of gross misappropriation and abuse of office) and an ill-educated and unqualified Accountant who has nil administrative and Accounting experiences up to CPA level. These positions are key administrative positions, which directly control NYDA funds and projects.
The collaborative acts of the “Director General’s Syndicate” and close relative who is Administration Officer Mrs Decky Yaku to appoint her closest friend ( Winnie Milam) is observed to be a highly calculated and conspirational move to take full control of the Administration and Finance, which she is effectively executing. The Administration Officer Mrs.Decky Yaku has miscalculated and her closest friend has backfired her whilst all her Administration duties have taken over by Accountant (Winnie Milam).
It is now up to the Police and Ombudsman Commission to test the strength of this allegation (nepotism) against the details presented above and serves justice on the perpetrators.
2. GROSS MISAPPROPRIATION = K6 Million PIP funds plus Recurrent of over K2 million Total K8 Million (Between April 2019 & December 2019.
The allegations that directly involve the Director General are set out in Sections - allegations involving the Minister (Refer to supporting evidence, annexed to each of the allegations).
PART A-FINANCIAL MISMANAGEMENT
Allegations Involving Director-General Mr. Joe Itaki ( Directly)
1. Misapplication of K6 million in 2019 -PIP Funds for Regional Youth Hubs / Project Title- National Youth Development Programs.
Director-General IS NOT ENTITLED to divert PIP Funds under the National Planning Bill and Public Finance Management Act (PFMA) OTHER than intended programs/projects. In this case, Mr Itaki has “misapplied” K6 Million PIP Funds in 2019 and K2million in 2020 current. Available records indicating misappropriation of these amounts are summarized below.
1.1 Since April 2019 to December 2019, K6 Million and from January 2020 to May 2020, K2million for PIP funds. The total amount of K8million PIP alone misapplied (Appendix A).
1.2 National Youth Development Authority being a Small Government organization with the current critical economic situation facing the nation, we are normally given an operational grant of K100,000.00 per month that is rec-current apart from PIP.
1.2.1 Director-General K5,000.00 per month as petty cash under his command. (Appendix 2,3,4) Months of August & September 2019).
1.3 K10,000.00 paid on the 7th May 2019 as Financial ASSISTANT TO Minister ( August & September 2019) Amounts have been raised on weekly Basis for the Minister Appendix (5).
1.4 K10,000.00 paid on 11th June 2019 raised and cashed to assist the Minister (Appendix 6).
1.5 Double Dipping: Minister was paid K10,000 on 11th June again, 2019 as financial Assistant. WHETHER PIP Money was meant for Youth Development Programs or Director-General to assist Minister ( Appendix 7)
1.6 K20,000.00 paid on the 26th September 2019, cheque raised and paid to Hevilift Limited as financial Assistant to Minister for his Jimi Trip ( appendix 7.1)
1.7 K9,570.00 paid on 26th September again 2019, cheque raised and paid to Hevilift Limited as financial assistance to the Minister Hon Wake Goi for his Jimi Trip ( appendix 8)
1.8 K10,000.00 cheque raised and cashed on the 8th October 2019 to assist the Minister as usual ( Appendix 9A & 9B). If these monies were paid to the Minister, there is no doubt the Minister collaborated with the Director-General to defraud NYDA.
1.9 K200,000.00 Cheque raised on the 9th September 2019 to assist the Department for Community Development on its Community Project Called District Community Development Centre (DCDC –Appendix 10) . Director-General Collaborated with the Secretary for Community Development to NYDA’S PIP Money meant for very specific Youth Project (Regional Youth Hubs).
2. 0 K200,000.00 cheque raised on the 9th September 2019 to assist Department for Community Development on its DCDC project in Gazelle District –ENB Province – Appendix 11. The DCDC Project was not NYDA project and this was not identified in the initial PIP budget in 2018’s- PIP Appropriation Component and project scope.
2.1 There was one Planned Singapore Trip by the Minister in September and K20,000.00 cash was withdrawn from the NYDA account for Ministers Travelling Allowances.
2.2 In the Same Month of September there was another trip taken by Minister and the Director-General to Bundi Via Goroka on a charted chopper with K20,000.00 cash. All Expenses met by NYDA with the chopper hire of K13,000.00 paid to Hevilift Limited.
2.3 K10,000.00 Cheque raised and cashed on the 8th of October 2019 for the Hon Minister Wake Goi as financial Assistant for the month of October.
2.4 Among Several Payments raised for some unknown car rental companies, K65,000.00 was the highest payment made. Nortion Hire Car and Take Hire Car are the regular names sighted. None of these companies has rented any service to NYDA and therefore we assume these are bogus claims by the Director-General for his own use.
2.5 There have been several Large Payments raised to PUPU Stationary Company on a regular basis. PUPU is a common name in their Wapenamanda Dialect in the Enga Province where the Director-General originates. Since PUPU Stationary does not exist in Port Moresby, We presume the payment has been made to Director Generals Closest Relatives. The Administration Officer Mrs Decky Yaku was removed from doing administrative duties. One of her main duties is stocking up stationaries for NYDA officers and keeps records but she was sidelined and all Administrative duties were given by Director-General to Accountant who is DG’s Syndicate (Winnie Milam). Decky Yaku is also from Wapenamanda so Director-General removed her to avoid her sighting PUPU Stationary Company that is based in Wapenamanda.
2.6 There were several Cheque payments raised and cashed to pay “COMPAT Security Company”. No idea where these security company based.
Note: This amount stated was expanded between April 2019 to December 2019. More evidence can be uncovered through an audit investigation and the amount misappropriated is expected to increase.
3. Funds expanded on Unofficial Trips by Director-General every weekend to his District not accounted as he was building a Palace in his Village in Wapenamanda. Also the little general and syndicate and JACK OF All trade accountant (Winnie Milam) build a Palace in her own Village in New Ireland.
4. Questionable purchase and use of Vehicles by Director-General. His monthly Fuel voucher K3,000.00 for his only one vehicle whilst K2,000 per Month for administrative and official runs for 3 buses and including 2 Deputies.
Note: Payments inclusive of all associated costs – for example, travel allowances, airfares, accommodation etc.
PART B- K500,000 MISMANAGEMENT DURING LOCKDOWN
In addition, Mr Joe Itaki and his syndicate have misappropriated more than K500,000.00 during the coronavirus lockdown period. DPM Circular Instruction issued for all public organizations to effectively shut down on 23rd March. During the shutdown period cheques have been raised. Waigani Public Account Statement will verify the K500, 000.00 was credited to NYDA Operational Account in the Month Of March was deflected during the lockdown period
That is clearly a ‘crime syndicate’!
There is sufficient evidence to support these allegations on the subject.
Available records show that Director-General has siphoned large amounts of NYDA funds meant for PIP programs. Corrupted PIP fund on the kickback arrangements with service providers
It is strongly recommended that recipient agencies, individuals, organizations and businesses and their bank accounts be investigated. Director-General and Accountant need to be investigated.
Concerning the questionable Cash assistant to the Minister, The minister needs to step down and allow investigation. The PIP fund of K8Million has been misappropriated and Zoro Regional Incubation Centre or Hub has been building.
There is overwhelming and damning evidence that the Accountant and Director-General have grossly abused the office and administration for their own gain by conspiring and has taken full control of the NYDA Finance and Accounts. No Records of Procurement and Director Finance and Administration has been a spectator who is authorized requisitioning officer.
The quarterly Reports to the National Planning on the PIP funds expended have been delayed because there was nothing to report. This is a true statement of facts and allegations that the Department of National Planning Senior Program and Monitoring Officer Mrs Rhoda Yani has been many times requested NYDA to furnish Quarterly Reports but NYDA has failed since 2019. We, therefore, request Minister National Planning and Secretary National Planning to use your powers under the Planning Act and PFMA to investigate the K8million PIP funds.
If any reports come after these allegations to the National Planning regarding the use of K8million will be deemed false and we further request these reports from NYDA and do independent investigation to substantiate and verify with this evidence.