In a dramatic turn of events, the recent firing of five Namibia Airports Company (NAC) board members has ignited a heated debate, with the dismissed directors now challenging the authority of Transport Minister Veikko Nekundi and President Netumbo Nandi-Ndaitwah. The saga revolves around the controversial sale of vehicles to executives at a discounted rate of N$5,000, a decision that has sparked intense scrutiny and raised questions about ministerial interference in parastatals.
The Board's Defense
The former NAC board members, led by Matthew //Gowaseb, have mounted a robust defense, arguing that the N$5,000 buyout was a strategic move that ultimately saved the company over N$40 million. They emphasize the company's remarkable transformation from a loss-making entity to a profitable one, generating dividends for the state. //Gowaseb, a former Namibian Broadcasting Corporation director-general, asserts that the minister's decision lacks legal authority, citing the Public Enterprises Governance Act, which grants the minister responsible for public enterprises the power to appoint or remove board members. However, with the disbanding of the ministry last year, this authority shifted to the respective line ministries.
A Question of Authority
The crux of the matter lies in the interpretation of the Public Enterprises Governance Act and the subsequent shift in authority. //Gowaseb's letter to Nekundi highlights a potential legal grey area, suggesting that the minister's actions may have been based on a misunderstanding of his own authority. This interpretation is further supported by the fact that the NAC, as a parastatal, operates under the oversight of the line ministry, which in this case, is the Ministry of Works and Transport.
The Investigation and Its Aftermath
The investigation into the N$5,000 car sales was conducted by Lineekela Joseph, the transport ministry's chief internal auditor. This investigation, triggered by allegations from certain NAC staff members, led to the board's removal. The former board members express their cooperation and disappointment with the outcome, questioning the fairness of the process. They argue that their actions were in line with the company's best interests and that the minister's decision to remove them may have been influenced by a desire to set a precedent for ministerial interference.
A Broader Perspective
This incident raises important questions about the balance of power between ministers and parastatals. It also highlights the need for clear and transparent governance structures within state-owned enterprises. The potential legal implications and the impact on the NAC's operations are significant, and the outcome of this dispute could set a precedent for future ministerial interventions in parastatals.
As the former board members consider their next steps, including legal action and an appeal to the president, the NAC saga continues to unfold, leaving a trail of questions and concerns in its wake. The outcome of this dispute will undoubtedly shape the future of governance and accountability within Namibia's parastatals.
