The Tribune

By KHRISNA RUSSELL

Deputy Chief Reporter

krussell@tribunemedia.net

THE government should explain outright what sparked a forensic audit into the Water and Sewerage Corporation and the placement of two executives on administrative leave, former WSC Chairman Leslie Miller said yesterday, telling The Tribune he was “shocked” to learn of the situation at the water provider.

Mr Miller said when he served as chairman under the former Christie administration, neither he nor WSC’s board of directors were aware of anything “unbecoming” at the corporation.

In view of this, Mr Miller said he was “concerned”, adding the move created the suspicion of wrongdoing. He warned this could hurt the reputation and working relationships of General Manager Glen Laville and Chief Financial Officer Sandra Edgecombe with their colleagues.

On Friday, The Tribune reported that these two senior officials and possibly others at the WSC were placed on administrative leave while Ernst & Young performs a forensic audit of the organisation.

In a message to staff, WSC Chairman Adrian Gibson announced that until October 9, Mr Laville and Ms Edgecombe would be replaced by Acting General Manager Robert Deal and Acting Chief Financial Officer Cheri Hanna. As October 9 is a public holiday, it is expected they will return to work the following Tuesday.

A source at the corporation told The Tribune Friday police escorted one senior officer home to retrieve his laptop.

“The board wishes to advise all staff that we have ordered an immediate forensic audit of the corporation,” Mr Gibson said in his message to staff. “The audit is being carried out by the accounting firm Ernst & Young. All staff members are asked to fully cooperate with the auditors and to provide them immediate and unfettered access to any and all information, files and other documents requested.”

When he was contacted, Mr Miller said: “I was shocked when I saw the headline. When you are doing a forensic audit it would be some suspicion of wrongdoing or something.

“Quite frankly the board and I were not aware of anything unbecoming at the corporation under our tenure. The year and a half I was there, we weren’t aware of anything that needed to warrant an audit of the corporation.

“When you do those kinds of things you are bringing people’s reputations into serious disrepute. I am very concerned about what’s going on.”

He continued: “Of course the board has the right to do whatever it deems as necessary and say that an audit is necessary. However they do cost a lot of money. We are talking about anywhere from $50,000 and up so you got to have some justification in doing these things.

“It is important they bring a justification of this because Bahamian money is involved.

“When we were there we didn’t have any major disputes with the management of the corporation. They were professional people and they are certainly qualified people there,” Mr Miller said.

“One can only assume this is leaning to some end. People’s reputation is at stake.

“As a manager, if a fella comes in and sends me home and my friends asking me and drawing their own conclusions it’s a serious embarrassment and impediment on those persons.

“Now certain staff members will look at the person in a not so friendly manner,” Mr Miller also said.

This audit comes as similar actions have affected other government institutions, including Bahamas Power & Light (BPL) and the National Insurance Board (NIB).

In May, for instance, The Tribune reported that senior officials at the National Insurance Board were told to take their vacation leave in preparation for an audit.

Cecile Williams-Bethel, senior deputy director of operations, Theresa Burrows, NIB senior deputy director of business support and administration, and Dr Baldwin Carey, who died in the interim, were given letters asking them to take their vacation. Raymond Wells, deputy director of IT, was directed to do the same.

Several employees of BPL have been fired after an audit by Ernst & Young uncovered a litany of issues there.

In September, the water corporation was under the national spotlight amid revelations that some elites have been allowed to rack up high bills without having their water service disconnected.

Two weeks ago, Mr Gibson said WSC had a “confidential list” of 221 accounts with a combined total of $175,000 owing.

He said the corporation planned to notify all persons owing excessive arrears to either resolve their debt or face disconnection.

His statement came after The Tribune revealed the existence of a “do not disconnect” list at BPL where elites have also been able to rack up large debt without facing disconnection.