Clinic upgrade work 'still unpaid' after seven years

The director of health technology and infrastructure management in the ministry of health and social services, Thomas Mbeeli – a key witness in a legal case brought against the ministry in March this year – denies that any payments are outstanding for the upgrade of a Zambezi-based clinic that was already completed seven years ago.Thozo Construction CC, owned by Sitali Thozo, to whom the health ministry awarded the tender to upgrade the Muyako Clinic in the Zambezi Region in January 2010, claims the ministry has yet to settle the full payment due.However, in a witness statement made in early August, Mbeeli claimed that the health directorate in the Zambezi Region single-handedly managed the procurement process. He said the ministry's head office was only involved in approving the tender documents and the recommended tenderer, as indicated by the directorate.In addition, the ministry reportedly appointed several consulting firms in an advisory capacity for the development and design of the clinic, as well as for overseeing the upgrade of the staff’s existing accommodation.Outstanding paymentsAfter the upgrades were completed in September 2017, according to the construction company, they were allegedly instructed at a later stage to handle additional tasks. These included further construction and upgrades to the clinic’s staff accommodation, installing a solar geyser, expanding the kitchen and performing other specified work.The additional tender, reportedly based on an oral agreement, allegedly allowed the ministry to withhold part of the payment until the work was completed to their satisfaction. The remaining payment would be released to Thozo once the project was finished and any issues were resolved within a reasonable time frame.In essence, the construction company argues that it fulfilled its obligations on time and met the required standards. Following this, the company issued invoices to the ministry for payment.Breach of contractIn his witness statement, Thozo claims the ministry owes him more than N$500 000.This amount includes N$254 000 for specialised electrical installation work, N$86 604 which is still outstanding for construction work, N$48 000 for the purchase of equipment that was needed for electrical works, and N$199 000, which is held as retention money.Thozo claims he has repeatedly tried to contact the ministry regarding the outstanding payments but has received no help."I have made numerous legal demands for payment, including emails in July 2018 and requests by my legal counsel in November 2019 and March 2023, but no payments have been received."Ministry unaware Mbeeli stated that the project to renovate the staff accommodation lasted from July 2016 to December 2017, with Thozo’s company providing all necessary equipment and expertise.The total contract reportedly totalled over N$2 million. Mbeeli added that the ministry was unaware of any outstanding invoices when it took over the project.“All valuations and payment certificates submitted to the ministry of health were processed according to submissions from Gachiku Kamau Architects, the company we received invoices from [one of the consultancy firms appointed by the ministry].”

Clinic upgrade work 'still unpaid' after seven years

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Namibian Sun 2025-06-20

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Clinic upgrade work 'still unpaid' after seven years

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Namibian Sun 2025-06-20

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