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Improper Use of MP Allocation Fund by MP Vincent Boulekone [2002] VUOM 3; 2002.04 (19 February 2002)

REPUBLIC OF VANUATU


OFFICE OF THE OMBUDSMAN


PUBLIC REPORT


ON THE


IMPROPER USE
OF MP ALLOCATION FUND
BY MP VINCENT BOULEKONE


19 February 2002


0011/2002/04


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PUBLIC REPORT

ON THE

MISUSE OF MP ALLOCATION FUND BY

MP VINCENT BOULEKONE


SUMMARY


The Ombudsman has issued this Public Report to illustrate how the leaders in Government, including Members of Parliament (MP), could use their position and status for personal gain at public expense. On many occasions, such improper decisions or practice by leaders have led to the misuse of public funds for private purposes. This report depicts one such example of how public money was used for private purposes. It concerns a Member of Parliament for Pentecost, Mr Vincent Boulekone.


Honourable Boulekone, was an MP for the Pentecost Constituency in the former Parliament (1995 - 97). He was re-elected in the 1998 General Election. In 1997, MP Boulekone submitted a Project Applications Form to the Speaker of Parliament to use his allocation fund for the construction of public toilets, shower and laundry facilities at the Catholic Mission in Melsisi, Central Pentecost. The Speaker of Parliament approved the amount of VT 316,291 for this project and in January 1998. The materials were bought and transported to Melsisi.


This enquiry found that MP Boulekone breached the policy and/or, procedures guiding the MP allocation funds. That is, he did not use the approved funds for the purposes that he originally applied for.


MP Boulekone at that time, was a leader under the Constitution. As a leader, he had a duty and obligation to observe and follow the rule of law. His actions and decisions had placed him in a position where he may have had a conflict of interest. MP Boulekone having failed this responsibility and obligation has therefore led him to have breached the Leadership Code under the Constitution.


The Ombudsman has recommended that the Parliament must pass a statute to provide procedures to administer MP Allocation Funds. The Speaker should appoint a Committee of Enquiry to investigate projects that were funded by MP Allocations but were never implemented. The Speaker should refer this enquiry to the Police to investigate under s. 122(2) of the Penal Code.


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TABLE OF CONTENTS


1. JURISDICTION


1.1 The Constitution and the Ombudsman Act allow the Ombudsman to look into the conduct of government, related bodies, and leaders. In this public report, the Constitution and the Ombudsman Act give power to the Ombudsman to inquire into the conduct of Mr. Vincent Boulekone, Member of Parliament for Pentecost Constituency for breach of policy and established Parliamentary procedures for allocation given to Members of Parliament. It was alleged that MP Boulekone misused the allocation fund given to him for certain projects for other purposes.


2. PURPOSE, SCOPE OF INVESTIGATION AND METHODS USED


2.1 The purpose of this report is to outline how Members of Parliament may misuse their MP allocation fund, and the Ombudsman’s recommendations on how this issue may be avoided by introducing a statute to govern how MP allocation funds are to be used.


2.2 The scope of this enquiry is to establish the facts about why MP Boulekone allegedly misused government funds for other purposes than for the projects that the MP Allocation fund was requested originally. The enquiry is also to determine whether his actions are in breach of the Leadership Code and the Parliamentary procedures for MP allocations.


2.3 This Office collects information and documents by informal request, summons, letters, interviews and research.


3. RELEVANT LAWS, REGULATIONS AND RULES


3.1 CONSTITUTION OF THE REPUBLIC OF VANUATU


Leadership Code


The Leadership Code under the Constitution applies to this case. Article 66 and 67 are the two main sections that are illustrate the behaviour of MP Boulekone in this case. A full text of these sections can be viewed in Appendix ‘A’.


3.2 POLICY FOR MP ALLOCATION FUNDS SET BY SPEAKER OF PARLIAMENT


POLICY TO PROCESS FUNDS FOR MEMBERS OF PARLIAMENT.


If an MP requires an amount of money from his or her allocation fund, they need to put in an application to the Speaker of Parliament. The standard application form can be viewed in Appendix ‘B’. In the application form, there should be two community leaders who need to sign to prove that they are the ones who are requesting for the particular project being applied for through their MP. The Speaker of Parliament will then process the application and he may or may not approve the application. If the application is approved, the Speaker will then release funds from the MP's allocation fund. The funds do not go directly to the MP but Local Purchase Orders (LPO) are made out for the purchase and transportation of goods. The MP must at this stage, produce invoices from places where materials were bought for the project so that the Speaker will know the exact amount to be released. When an MP has purchased the goods, they are to be transported to the location of the community who requested the project. The project must then be carried out as applied for. (Refer to Application Form in Appendix ‘B’).


At this stage, there is another form known as a follow up form, Appendix IV, where the community leaders of the village must sign to confirm that they have received the materials that they had requested. If the project was never carried out and members of the community complain to the Speaker, the Speaker will refer the matter to the CID (Police) for further investigation as such matters will be treated as theft (Refer to Follow Up Form in Appendix ‘C’).


3.4 PENAL CODE (CAP 135)


The actions of MP Boulekone may be defined as theft. The Penal Code is used to give a better definition of theft. A full text of the relevant section can be viewed in Appendix 'D'.


4. OUTLINE OF EVENTS


4.1 In December 1997, the Honorable Member of Parliament (MP) for Pentecost Vincent Boulekone, submitted a 'Members of Parliament Projects Applications Form' (Appendix ‘E’) to the former Speaker of Parliament, MP Edward Natapei, for approval. Community leaders in MP Boulekone’s Constituency signed the application form. The community leaders were, Mr Michel Tabisaban Tariodo and Mr Charlot Tabilip Bibi, both of Ilamre Village, Melsisi, Central Pentecost. MP Boulekone had applied for funds to purchase goods for the construction of public toilets, shower and laundry facilities at the Catholic Mission at Melsisi, Pentecost.

4.2 On 23 December 1997, Speaker Natapei approved the application for MP Boulekone to use VT 316,291 from his allocation to fund the project and to the transport the materials to Melsisi. Some of the materials were bought and transported on the ship MV Kawale to Melsisi before the General Election on 6 March 1998 (copies of LPOs and invoices for the materials for the Project in Appendix ‘F’).

4.3 During the political campaign for the March 1998 General Election, it was alleged that MP Boulekone authorized the UMP Committee supporters to distribute some of the materials to various persons in his Electorate in order to gain support for his election. To date, the project has not been implemented and the materials have not been replaced.


4.4 On 27 September 1999, the Ombudsman commenced an enquiry into the matter.


4.5 On 6 October 1999, the MP Boulekone, who was then Minister of Internal Affairs responded to this enquiry with the following information:


(a) He confirmed that he submitted an application to the Speaker of Parliament for a Toilet Project at Melsisi.

(b) He stated that the materials for that project were bought and transported to Wantatsup Cooperative.

(c) He denied the allegation that some of the materials were distributed during the election.

(d) MP Boulekone claimed that the dock where the materials are stored in, is near the Community Center of Melsisi.

(e) He claimed that the cement for this project was used to build a septic tank for the Community Center.

(f) He confirmed that the original project for which the fund was requested and donated is not yet implemented.

(g) The reasons he gave for the delay in implementation of the project was because of lack of technical personal to construct that project.

(h) He confirmed that some of the bags of cement and paints for the project were used to renovate the Catholic Church house at Melsisi and the Catholic Cemetery of the Catholic Missionaries. (His reason for authorizing the use of these materials was given that the Catholic Church was celebrating its 100 year in Pentecost).

(i) He claimed that instead he used part of this fund to buy some materials to finish constructing the basketball and volleyball courts at Melsisi Secondary School.


4.6 On 2 November 1999, Mr Charlot Tabilip Bibi, one of the signatories on the Application Form for the project was summoned to appear before the Ombudsman. He provided the following information:


(a) He confirmed that the application was made for the Toilet Project. The materials transported to Pentecost were for this project.

(b) He claimed that the project could not be implemented because the Melsisi community was not cooperating to get the sand and coral ready for the builders to build the project.

(c) He confirmed that the bags of cement for this project was distributed to the communities around Melsisi during the period when preparation started for the Catholic Church Centenary celebration on Pentecost.

(d) He also confirmed that some bags of the cement were used to build a house for the Women's Club at Melsisi.

(e) He also stated that some bags of cement were also used to build a septic tank for the toilets in the Women's Club.

(f) He confirmed that he is the Regional President of UMP on Pentecost and he was the one who did the distribution of materials to the communities.

(g) He claimed that he had made this decision to help the communities prepare for the celebration for the Catholic Church Centenary.

(h) He also claimed that he was not doing it to gain support, even though the distribution of the materials were done at the same time when political parties did their campaigns for the General Election in March 1998.

(i) He claimed that some of the materials are still there, but that they are kept in a sealed case at the Wantatsup Cooperative for a group of builders to come and start the construction of the project.


4.7 On 27 April 2000, the Speaker of Parliament Honourable Paul Ren Tari, responded to our enquiry with the following information.


(a) He confirmed that Messrs Michel Tabisaban & Charlot Tabilip, the two community leaders signed the Application Forms for the Toilet Project at Melsisi on 20 December 1996

(b) Mr. Tari confirmed that MP Boulekone requested the funds for the project in Pentecost. The amount requested was VT 316,291. The fund came from his MP allocation.

(c) He confirmed that the former Speaker of Parliament, Hon Edward Natapei approved this application on 23 December 1997.


4.8 No response to our enquiry was received from Mr. Michel Tabisaban.


5. RESPONSES BY THOSE WITH COMPLAINTS AGAINST THEM


5.1 A Working Paper on this matter was issued by the Ombudsman on 29 August 2000 in accordance with Article 62 (4) of the Constitution which states that the Ombudsman shall grant the person complained of an opportunity to reply to the complaints made against them.

5.2 On 22 March 2001, the Ombudsman received a response MP Boulekone. MP Boulekon confirmed that he made an application to the Speaker of Parliament to use funds from his MP allocation fund to build public toilets, shower and laundry facilities at the Catholic Mission on Melsisi, Pentecost.


He went on to state that the March 1998 General Elections came very quickly as it was after the VNPF riots. Since it was close to the elections, he had to ship the materials that he had bought to Pentecost quickly because when an election comes, you do not know if you will win or lose. When he shipped the materials there, he locked them up in a dock that belongs to the Melsisi Cooperative. He did this with the intention of distributing the materials after the elections.


However, some people who also have keys to this dock, Charlot Tabilip and
Jean Claude Bule, went and opened the dock and gave permission to some communities of the Melsisi area to take some of the cement and arc mesh wires. These materials were used to build some crosses, statues and to renovate the graves of the Catholic Priests and elders who brought the Gospel to Melsisi. This was done in preparation of the celebration of the Catholic Centunaire (100th year celebration) that took place that year.


Some days after the people opened the dock and took the materials, the MP heard about it. He knew that this action caused him to be in breach of the MP allocation fund rule. However, he wishes to be responsible for this; he accepted what happened. This is because the incident that happened was in the interest of the community. The people who removed the materials did not use it for their private and personal use. They used it for a purpose that the community approved of and that was to prepare for the celebration of the Catholic Centunaire.


The community of Melsisi consists of supporters of NUP, UMP and Tan Union. The materials were distributed among these people therefore the allegation that the materials were used to bribe his electors is false. The MP stated that he has never bribed the population of Pentecost.


The MP then confirmed that the whole project originally applied for has never been implemented. Only one septic tank was built for the Women’s Club house and some basketball courts were build for Melsisi Secondary School.


6. FINDINGS


Finding 1: HONOURABLE VINCENT BOULEKONE BREACHED THE LEADERSHIP CODE UNDER THE CONSTITUTION


6.1 The Honourable Member of Parliament for Pentecost, Vincent Boulekone, breached the Leadership Code under the Constitution. As a leader, he had a duty, obligation and responsibility to observe and follow the rule of law and any other policies governing his leadership. That rule of law includes Article 66 of the Constitution and the MP Allocation Fund Policy as established by the Speaker of Parliament’s Office.


This enquiry found that MP Boulekone has placed himself in a position in which he had a conflict of interest and the fair exercise of his official duties might be compromised. That is, he was aware of the distribution of materials to other communities that was funded for the Melsisi Toilet Project for other purposes during the election period. This gave rise to doubt in the public mind as to whether he was luring for political support during the campaign for March 1998 General Election as he did not make any effort to instruct his supporters to cease the distribution.


Finding 2: HONOURABLE VINCENT BOULEKONE BREACHED THE POLICY AND/OR PROCEDURES FOR THE MP ALLOCATION FUNDS


6.2 MP Boulekone, breached the policy and/or procedures for the MP allocation funds. As a Member of Parliament, he had a duty and responsibility to observe and follow the rule of law. The rule of law includes Provisions for Administering the Policy for MP Allocation Funds.


This enquiry found that MP Boulekone's application for the Melsisi Toilet Project was done in accordance to the policy that was set for MP Allocation fund. Our investigation found that MP Boulekone did not make any effort to see that this project be implemented. It is therefore alleged that MP Boulekone misused the fund allocated for the Melsisi Toilet Project for other purposes and he is subject to police investigation under the Penal Code.


If the MP had been aware of the centennial celebration of the Catholic Church on Melsisi, he should have submitted an application for funds to be used from his MP allocation for this instead of the other project.


This enquiry also found that the policy for the MP Allocation has loop holes that allows misappropriation and misuse of the public funds.


Finding 3: HONOURABLE VINCENT BOULEKONE AND HIS POLITICAL SUPPORTERS BREACHED S 122(2) OF THE PENAL CODE


6.3 MP Boulekone breached the Penal Code. As an employee of the Government, and advocator for the proper administration and use of the public fund, he had a duty and responsibility to observe and follow the rule of law. That rule of law includes the provisions of the Penal Code.


This enquiry found that the Policy for the MP Allocation Fund clearly specifies that if the project applied for is not carried our and the community complaints to the Speaker, he will refer the matter to the Police for further investigation for theft under the Penal Code. In this enquiry too, it was found that the project initially applied for was never implemented. It was confirmed that the materials for the project were distributed and used for other purposes. Section 122(2) of the Penal Code says that, 'A person shall also be guilty of theft of any such thing notwithstanding that he has lawful physical control thereof, being a bailee or part owner thereof he fraudulently converts the same to his own use or the use of any person other than the owner'. It is therefore held that MP Boulekone and his political supporters may have breached the above provision of the Penal Code.


7. RECOMMENDATIONS


The Ombudsman makes these recommendations following the above findings to resolve this complaint and prevent such practices to occur again in the future:


Recommendation 1:


7.1 The Parliament should pass a statue on the Administration of the Members of Parliament Allocation Funds. This would enable Members of Parliament and the Speaker to properly administer the fund and the projects that are funded under this scheme.


Recommendation 2:


7.2 MP Boulekone should be requested to fund the replacement of materials that were used for other projects and/or purposes. This would only be possible if the Speaker acts in his power ad the administrator of the fund to appoint a Committee of Enquiry to investigate this project.


This Committee of Enquiry should also carry out investigations on many other projects that the other Members of Parliament may have never implemented, and/or, the projects were not sustainable after implementation and complaints were received from the communities alleging misuse or wastage of public funds, and/or


Recommendation 3:


7.3 The Speaker to refer the matter to the Police to investigate under s122(2) of the Penal Code.


Dated 19th February 2002.


Hannington G ALATOA

OMBUDSMAN OF THE REPUBLIC OF VANUATU


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8. INDEX OF APPENDICES


  1. Leadership Code under the Constitution.
  2. Copy of the Members of Parliament Allocation for the Micro Project Application Form
  1. Copy of the Follow Up Form for the Micro Projects funded under MPs Allocation Fund
  1. Penal Code
  2. Copy of MP Boulekone’s Application Form
  3. Copies of LPOs and invoices for the purchase and transportation of materials to Pentecost.

APPENDIX 'A'


CONSTITUTION OF THE REPUBLIC OF VANUATU


Leadership Code


CONDUCT OF LEADERS


Art66. (1) Any person defined as a leader in Article 67 has a duty to conduct himself in such a way, both in his public and private life, so as not to-


(a) place himself in a position in which he has or could have a conflict of interests or in which the fair exercise of his public or official duties might be compromised;


(b) demean his office or position;


(c) allow his integrity to be called into question; or


(d) endanger or diminish respect for and confidence in the integrity of the Government of the Republic of Vanuatu


(2) In particular, a leader shall not use his office for personal gain or enter into any transaction or engage in any enterprise or activity that might be expected to give rise to doubt in the public mind as to whether he is carrying out or has carried out the duty imposed by subarticle (1).


DEFINITION OF A LEADER


Art 67. For the purposes of this Chapter, a leader means the President of the Republic, the Prime Minister and other Ministers, members of Parliament, and such public servants, officers of Government agencies, the Ombudsman, a person appointed to a statutory authority or cooperation, a director appointed by the Government to a cooperation or company or organisation and other officers as may be prescribed by law.


APPENDIX ‘D’


PENAL CODE (CAP 135)


OFFENCES AGAINST PROPERTY


S122(2) A person shall also be guilty of theft of any such thing notwithstanding that he has lawful physical control thereof, if, being a bailee or part owner thereof he fraudulently converts the same to his own use or the use of any person other than the owner.


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