Education Minister addresses "serious breaches" at Nutrition Products Ltd.

 

Education Minister Fayval Williams says the issues raised in the Auditor General's report on Nutrition Products Limited are serious breaches of the Public Bodies Management and Accountability Act.

 

She says further investigation might have to be carried so that legal action can be taken. 

 

The Auditor General's report revealed several red flags including that Nutrition Products Limited paid $143 million to companies and individuals connected to Board members and management staff to provide a range of services.

 

The report also found that in eight instances, Nutrition Products Limited employed individuals who either did not meet the minimum qualification or experience required for the positions.

 

Mrs. Williams told Wednesday morning's post Cabinet media briefing that action was taken to address some of the issues highlighted by the Auditor General, including the removal of the previous board of Nutrition Products Limited. A new board was appointed last December. 

 

"The issue that the Auditor General raised in terms of the former board chair being chairman of the Procurement and Contracts committee was brought to the attention of the new board chair as being an action that was not in keeping with good governance. Additionally...the issue of an external secretary being paid from April 2017 to January [2021], $7.4 million to take minutes at the board meeting, that was flagged by the new board chair and it was an activity that was discontinued in the first month of the new board," the minister outlined as changes that have already taken place.   

 

Mrs. Williams said Cabinet has approved the divestment of Nutrition Products Limited. The privitisation transaction will be managed by the Development Bank of Jamaica.

 

Mrs. Williams said her ministry supports the findings of the Auditor General's report "and see it as a powerful tool for the reform of not just NPL but as a guide to the proper management of entities that call on the national budget and expend taxpayers' money."