Hertta-Maria Amutenja
Subsequent to the arrest of the Chairperson of the board of the Namibian Petroleum Corporation, Jennifer Comalie, analysts unanimously agreed that petty infighting and abuse of office at the company will not only damage its reputation but also that of Namibia.
Comalie was arrested on charges relating to the possession of illicit drugs shortly after a meeting of the board started at the offices of the energy corporation in Windhoek on Monday.
The arrest follows a few days after it was revealed that there is currently a power struggle between the Chairperson of the Namcor Board, Comalie and Immanuel Mulunga, the Managing Director of the state-owned entity.
Political analyst Marius Kudumo said in the instance of the state-owned corporation which works in a highly competitive industry, the arrest and the subsequent damage to its public image could jeopardise its relationship with global and international partners.
“In the case hand and looking at the manner in which Namcorfunctions which is a globally competitive area. Namcor looks at global and international partners to work with them but if their reputation is damaged, they will not be able to find investors or partners in future dealings. It is not a situation Namcor wants to be in and the most recent series of events at the state-owned entity will definitely affect it financially because no other entity with a good reputation would want to be associated with the chaos created by the arrest,” he said
Kudumo added that the reputation and image of any institution will always suffer when there are internal disputes.
“When there is infighting, it damages the reputation and image of an entity. Issues are supposed to be managed by the board, the executive of the company as well as by the appointing authority who is the minister. When there is infighting whether it is based on personal interest or any other issues it damages the image and reputation of the organization,” added Kudumo.
Ndumba Kamwanyah, a political commentator, shared the same sentiments and said the qualities and ethical nature of the people appointed to be in the position of board members are also brought into question by such issues.
“You need ethical people in the positions of directors on boards. The stakeholders and the public need to trust that the institution will be run by credible and trustworthy individuals. If any distrust in the board of directors especially in that of a state-owned company the credibility and reputation of such an entity are damaged beyond repair. A case like Monday’s arrest increases the negative public perception. It speaks to the qualities and ethical nature of the people appointed. The relevant authorities need to make sure that people with questionable characters are not appointed at all.,” he stated.
Kamwanya was of the opinion that Namcor, as well as the Ministry of Mines and Energy, which serves as Namcor’scustodian, would not benefit from having a board member involved in such a serious case at all.
Another analyst, Henning Melber said at this stage that it is difficult to foresee if and to what extent the mess created by Monday’s debacle, has impacted financially on the state-owned company as well as the country.
“The top priority of course is for the company to get their house in order as soon as possible. Making fundamental reforms, including checks and balances, might then turn out to be a blessing in disguise. After all the arrest created public awareness about the rotten state in which Namcor seems to be,” he said.
He was of the opinion that the implications are that widespread suspicion already exists that gross abuse of office has occurred while internal mishandling of responsibilities and funds seemingly is of a magnitude yet undetermined and that is undoubtedly worrying to stakeholders.
“The additional speculations around the criminal investigation and the cause of it – timed to prevent a disciplinary measure to be executed – make matters worse. It signals that the company is in shambles, which not only damages the reputation but might provoke second thoughts to its institutional future and management,” Melber stated
According to Melber, it will be difficult to predict if and to what extent the mess of Monday has impacted financially on both the state and the company.
