$4.2M still outstanding for overpaid Berbice lab – audit office report

After an overpayment of $12.1M in 2005 for a science laboratory at the University of Guyana Tain, Berbice campus, $4.2M was still outstanding as of May last year.

The report of the Office of the Auditor General for 2010 on the public accounts revealed that $12.1M was overpaid for the science lab in 2005. This occurred as a result of the unauthorized inclusion by the consultant of a variation in rates amounting to $8.1M, $2.02M in payments to the contractor while maintaining a presence on the work site during legal proceedings pertaining to the project and $2M which was duplicated in relation to the settlement of land purchased.

According to the report, in May last year, the contractor repaid the sum of $7.9M leaving an outstanding balance of $4.23M.

The Ministry of Education in its response acknowledged the finding and listed measures it will take to avoid future overpayments. Among the measures, it said that officers have been made aware that confirmed cases of overpayment will lead to “full prosecution of attending and supervising personnel”. Officers and consultants who conduct site inspections will also be required to submit signed and detailed reports accompanied by printed digital images.