Erasmus Shalihaxwe
Auditor General (AG) Junias Kandjeke, has raised various concerns about the Diamond Board of Namibia’s operations, with one of them being the failure to clearly define the role of the Diamond Commissioner in the Diamond Board Act.
The Board audited financial report for 2022, which Kandjeke submitted to the National Assembly recently for scrutiny, highlighted that the board is currently operating as a division within the Ministry of Mines and Energy.
However, as per Section 21 of the Companies Act, 2004 (Act No. 28 of 2004), it is supposed to operate as an autonomous entity, while the Commissioner who should be head of the board has his or her role not clearly defined in the Act.
“However, the minister appointed the Diamond Commissioner whose role is not clearly defined in the Diamond Board Act,” said Kandjeke.
The Auditor General further highlighted that the auditors had also observed that the board does not have an approved accounting or financial policy manual in place, and the observations have been reported for the past five consecutive years.
“The financial statements of the board were submitted late by the Accounting officer to the Auditor-General on 06 April 2023 instead of three months after year-end in accordance with Section 12(4) (a) of the Diamond Act, 1999 (Act 13 of 1999),” stated Kandjeke.
He also stated the Diamond Board does not have an active Board of Directors in place. As a result, the board has not executed their responsibilities with regard to the overall management of the board’s affairs, including the strategy, organisation, financial structure of the board and oversight of risk management.
However, this has changed now when Mines and Energy Minister, Tom Alweendo appointed former Mining Commissioner Erasmus Shivolo as the chairperson of the Board in July this year.
The board comprises 10 members and they will serve until 2026.
They are Maenge Shipiki Kali, representing large-scale diamond producers, and serving as deputy chairperson of the board.
Isabella Chirchir, who is currently serving as mining commissioner after replacing Shivolo, as well as Desley Somseb from the Mines Workers Union of Namibia.
Other members are Brent Eiseb, Emily Kapulwa, Bartholomeus de Klerk, Bernita Herma, Wollen Nell, Pauline Thomas, Festus Nghifenwa and Nekulilo Ithete.