ACC investigates TransNamib property deals

The Anti-Corruption Commission (ACC) is investigating allegations of corruption, maladministration and mismanagement at TransNamib, including irregularities in the leasing and sale of the railway operator's properties.ACC director general Bryan Eiseb confirmed that TransNamib had referred the matter to the commission for consideration."Our investigation remains at an early stage,” Eiseb said, adding that the Commission was unable to disclose further regarding the specific allegations under investigation to maintain objectivity and integrity.Namibian Sun understands that the investigation focuses on property transactions involving TransNamib executives, including property executive Alynsia Platt and former human capital executive Webster Gonzo, who was dismissed last month.An internal investigation identified alleged procurement violations, conflicts of interest, governance failures and possible financial losses dating back to 2018.That year, Cabinet authorised TransNamib to dispose of non-core immovable assets valued at N$205 million, forming part of its property portfolio worth more than N$2.5 billion.However, investigators found that certain transactions allegedly departed from procurement requirements and approved disposal procedures.The report found no documentary evidence that property executive Alynsia Platt, former CEO Johny Smith, executive management or the board complied with the mandatory N$25 million procurement threshold when approving certain property leases and sales.It further alleged that the required Treasury approvals were not obtained, potentially rendering property disposal decisions taken since 2018 unlawful or open to legal challenge.The report states that these failures could make the decisions “potentially void or challengeable”.N$63 million lease questionedThe investigation examined three principal property transactions, including a lease agreement with International Training College Lingua Consulting Services.Signed by former chief executive Johny Smith in February 2021, the agreement runs from 1 April 2021 to 31 March 2029, with monthly rental of N$496 398 and annual escalation of 8%.Investigators calculated its contractual value at approximately N$63.36 million, although the original recommendation was for a three-year renewable lease.When the transaction reached the board in December 2024, Gonzo and Platt allegedly presented its value as approximately N$11 million over nine years.The report also identified a possible stamp duty shortfall. The agreement provided for N$268 054.92, compared with approximately N$506 873 calculated by investigators after accounting for rental escalation.Other long-term leases, including fuel facilities in Otjiwarongo and Grootfontein, were flagged for further investigation.Another transaction concerns Erf 353 in Lüderitz, which investigators say was neither classified as non-core nor included on the board-approved disposal list.The property was leased to lawyer Elias Shikongo, managing partner of Shikongo Law Chambers, which was also appointed to handle conveyancing.A lease signed by Gonzo on 30 January 2024 allegedly contained an additional clause granting Shikongo first refusal to purchase the property, despite that provision being absent from the standard board-approved agreement.The property had been valued at N$500 000 in December 2023 and attracted monthly rental of N$1 500.Investigators questioned the valuation, purchase rights and appointment of Shikongo Law Chambers, alleging that Platt inserted the firm into the draft deed of sale without following normal procurement procedures.They identified a potential conflict of interest because Shikongo was simultaneously the tenant, prospective purchaser and legal service provider.The report also alleges that Platt presented approximately N$30 million in auction sales to the board without disclosing that properties worth N$18 million had previously been withdrawn.Disciplinary action recommendedThe investigators recommended considering disciplinary action against Platt and Gonzo over alleged gross negligence, regulatory non-compliance, dishonesty, fraud and collusion.They also recommended that works and transport minister Veikko Nekundi consider removing board deputy chairperson and property committee chairperson Gaenor Michaels.The allegations against Michaels include breaches of fiduciary duties, undisclosed conflicts of interest, failure to recuse herself from relevant deliberations and involvement in procurement processes allegedly benefiting associates.The report further recommended reviewing TransNamib's board structures, referring possible corruption and abuse of office to the ACC, and following up on a 2020 complaint to the Law Society of Namibia involving Michaels and her associates.Investigators acknowledged that their work was neither an audit nor a legal opinion and that some investigations and reconciliations remained outstanding.The latest investigation follows an earlier ACC intervention in October 2022, when former director general Paulus Noa instructed then finance minister Iipumbu Shiimi to ensure corrective measures against TransNamib executives accused of mismanagement.“The findings reveal certain irregularities and mismanagement of TransNamib resources by the management of the company,” Noa said at the time.His intervention followed a review of an Ernst &amp; Young forensic report identifying weaknesses in expenditure controls, contracts and lease agreements.The report recommended that disciplinary action be considered against employees and executives who failed to meet performance targets.In correspondence dated 26 September 2022, Michaels complained to Shiimi about media coverage of the forensic findings.Shiimi defended public scrutiny of the state-owned enterprise.“I concur with you that the media coverage was unfortunate, but we are serving the public and thus are open to media scrutiny,” Shiimi said.

ACC investigates TransNamib property deals

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Namibian Sun 2026-11-04

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ACC investigates TransNamib property deals

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Namibian Sun 2026-11-04

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