It was shocking to learn the clock was purchased from Prouds - Powell

A former parliamentarian and board member of Post Fiji Limited Lute Powell has told the High Court that she was shocked to learn that a Seiko clock for the Post Office building was purchased from Prouds Fiji, without the Board’s approval.

As the abuse of office trial against former Post Fiji chairman Mahendra Patel and former managing director Peni Mau continued yesterday afternoon, Powell highlighted that there was never a mention of the purchase of the Seiko clock when she was shown a diagram on the GPO renovations final cost summary, namely the board paper of 2003.

However, Powell when shown another diagram and a sketch plan of the GPO building, said she could see a picture of the clock.

When questioned by FICAC lawyer Nawarathne Marasinghe on the Board paper 2003 and whether she remembered a payment of $69,422 made to Motibhai for the clock, Powell replied that she did remember.

However, she said she was shocked and began to ask the chairman how the decision was made to purchase the clock without discussing it with the board.

Powell asked the chairman if he could declare his interest in Prouds Fiji at the end of the meeting as she was concerned with the cost of the clock and wanted to know what kind of clock would cost that much and that it was a conflict of interest and against the Company Act as the Board must know first of any purchases.

Powell said she raised the matter with the secretary of the Board Michael Benefield to record the transaction so she can get back to it in the next meeting.

She was asked what was the first thing she did in their next board meeting.

Powell said she looked at the minutes and nothing was recorded and she realized that she could not pursue the matter further and it was a scary experience.

Meanwhile, defense counsel Devinesh Sharma asked Powell to describe the meaning of approved funds and committed funds as the purchase of the Seiko clock was under the committed funds and why was she concerned about the entry.

Powell said why she raised the issue was because she was told that the approval limit was $50,000 and according to her understanding on the policy, the Board must approve such a purchase first.

The case continues at 10am today.


Story by: Tokasa Rainima