Saturday, 18 April 2015

Supplier accuses govt over bankruptcy.

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INNOCENT-THE BLOGGER-BOY
Permanent Secretary, Prime Minister�s Office, Regional Administration and Local Government Jumanne Sagini.
Jacob Luhunga, the supplier of food items to Mpwapwa Secondary School in Dodoma Region has disclosed The National Microfinance Bank’s intention to sell his house resulting from failure to settle undisclosed bank loan.
 
However, he said the failure resulted from the outstanding bills he owes the government for three consecutive years since 2012/2013 financial years amounting to Sh74 million.
 
Luhunga told The Guardian on Thursday that the capital by food suppliers in government secondary schools resulting from delays in paying their dues has also halted the provision of services to public secondary schools.
 
The supplier through his company Jacobo Y Luhunga Investment said he is still waiting for the government to settle the bill.
 
He said services to public secondary schools were also suspended following the government’s failure to pay the debt.
 
“I have lost all the capital I borrowed from the National Microfinance Bank for the business. The bank no longer trusts me and they have already threatened to sell my collateral properties including the house” he said.
 
He added, “I am still a supplier of the school, but I do not have capital. The treasury conducts financial audits at the school every year and we had been hoping to be paid our debts to no avail”. 
 
He refuted recent claims from the Permanent Secretary, Prime Minister’s Office, Regional Administration and Local Government Jumanne Sagini that all the debts have already been settled saying his statement was not true.
Contacted for comment regarding
 
 the PS statement, the Headmaster at the School, Nelson Mbilinyi said his school is yet to receive the Sh46million promised by the government.
 
“We are still following up the funds which meant to purchase food for students and not to pay suppliers,” he said.
 
Several government secondary schools were closed down early this month for lack of food supplies following suppliers demands that government should settle their outstanding bills.
 
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