GWI’s Managing Director attempts to force out Chief Internal Auditor

… reportedly peeved at investigations launched against him

The Managing Director of the Guyana Water Inc (GWI) is being accused of employing extraordinary measures to force out the entity’s Chief Internal Auditor (CIA), after that person would have launched a series of investigations directed against him.

Guyana Times understands that the GWI Managing Director has been actively pressing to have the decision to have the CIA employed in a substantive position reversed.
This publication has since seen GWI internal communications corroborating allegations that the Managing Director has since been actively pursuing the unit’s Code of Conduct with a view to ascertaining whether any procedures had been breached with regard to the appointment of the CIA.
This publication understands that the person employed as the substantive CIA had been functioning in that department as the most senior functionary for just about seven years and was appointed in August last.
The position of CIA was publicly advertised and the incumbent was the only applicant to respond.
That person was subsequently employed substantively, based on the recommendation of GWI’s Human Resources Director.
The Managing Director has since contended that the employment has in fact breached the entity’s procedures and should be rescinded and the position re-advertised since he did not approve of the appointment.
This position is however being met with staunch opposition, since it was pointed out that the entity’s Managing Director was merely seeking retribution against the CIA who had been conducting a series of investigations with regard to decisions he would have made, specifically related to the procurement of a number of services and other contracts.
One such contract that has attracted the attention of the CIA is for the construction of a well on the Soesdyke/Linden Highway.
Guyana Times understands that a perturbed Managing Director has since lodged complaints with the GWI’s Human Resources sub-committee, complaining that the auditors are investigating him.
The Managing Director during a recent meeting of the sub-committee also sought to query who was the other persons engaged in the audit directed against him, specifically with regard to the issuance of a cheque.
He was reportedly informed that such action would be considered as impeding the auditor’s investigation.
The Managing Director was also previously accused of seeking to undermine the functioning of the audit department.
All requests were made to be channelled through the Managing Director who also requested that he be kept informed on every stage of an audit and would like to screen the responses before it was disclosed to the audit department.
According to the correspondence seen by Guyana Times, “The environment… found to be very hostile most of the times but we tried as much as possible to suppress and work around it.”
The Internal Auditors have since recommended an urgent review of GWI’s policies and procedures at all operational areas to reflect modern practices and the structural changes recently made.
This newspaper has since been reliably informed by GWI’s internal protocols that the Chief Audit Executive will report functionally to the Audit Committee – a Board appointed oversight body – and administratively to the Chief Executive.
It was pointed out to this publication that administrative reporting to the Chief Executive Officer (CEO) or another executive with sufficient authority affords the audit function appropriate support to accomplish its day-to-day activities.
Administrative reporting is defined as the reporting relationship within GWI’s management structure that facilitates the day-to-day operations of the internal audit function. According to internal communications seen by this newspaper, the Managing Director has also relocated the Internal Audit Department in order to facilitate the Debt Collections Department.
The internal auditors were also reportedly subjected to constant abuse by the Managing Director which essentially led to an adverse effect on staff morale.
The verbal confrontations reportedly stemmed from queries and findings they would have raised relating to Debt Recovery, Commercial Services areas and Human Resources audit checks.
The uproar which has erupted in the entity in recent weeks has already led to the resignation of the entity’s Chairman of the Board of Directors, who in his resignation to the substantive Minister with responsibility for the sector said he could not serve in the capacity of a ‘rubber stamp Chairman.”