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CLAIMS UNTRUE: Rundu Town Council CEO Olavi Nathanael yesterday dismissed the allegations, describing them as misleading and based on incomplete information. Photo: Contributed
CLAIMS UNTRUE: Rundu Town Council CEO Olavi Nathanael yesterday dismissed the allegations, describing them as misleading and based on incomplete information. Photo: Contributed

Rundu council denies claims of mismanaging N$7m meant for boreholes

Phillipus Josef
Phillipus Josef



RunduAllegations of missing millions and delayed contractor payments have thrust the Rundu Town Council’s borehole project under scrutiny, as concerns mount among some over the management of the N$16 million water supply budget.



Documents seen by Namibian Sun last week indicate that about N$7 million remains from the allocation for drilling and installing boreholes across Rundu.



Five contractors were reportedly hired to execute the project in phases. However, several sources close to the process claimed this week that payments for the final stages have been delayed for weeks, leaving some contractors uncertain about when they will be paid.



Some council employees also privately linked the town’s recent salary delays to alleged cash flow shortages, amid allegations that part of the N$7 million could be unaccounted for.



The borehole project is part of a government initiative funded through the urban and rural development ministry, which channels money to local authorities like the Rundu Town Council to improve water supply infrastructure.



The council was awarded the project to drill and install boreholes in critical areas to ease water challenges faced by residents.



‘Misleading claims’



Rundu Town Council CEO Olavi Nathanael yesterday dismissed the allegations, calling them misleading and based on incomplete information.



“I have not formally received any complaints from contractors,” he said.



“My office has not seen any email or letter following up on payments or any other issues of that nature,” Nathanael told Namibian Sun in a telephone interview.



He maintained that the project remains on track and that every cent of the funding is accounted for.



“The issue of seven million is not primarily true. The document that was shared omitted some figures, including professional fees for the engineers who did the design and costing. We have to pay them, but that wasn’t reflected in the draft you saw,” he added.



Employees paid on time



Nathanael stressed further that no funds had disappeared from council coffers.



“Every single cent we receive from the ministry is accounted for. It would be unprofessional to suggest that public money is simply unaccounted for,” he said.



The CEO confirmed that drilling was completed at several sites but said installation was pending due to delays in procuring infrastructure such as elevated water towers.



“As we speak, there’s a meeting taking place at the governor’s office to discuss procurement of the towers so that installation can move forward,” he noted.



On the alleged salary delays, Nathanael insisted that all employees were paid on time, clarifying that the staggered release of payments was due to internal prioritisation.



“There were no delays. Some were paid earlier, others later in the afternoon or the next morning. The funds were released in order of priority to avoid auditing problems,” he explained.



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Namibian Sun 2025-10-23

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