Following our publication last Monday of a story regarding the expression of concerns by the Joint Session of Public Accounts/Enterprise Committees of the National Assembly as to the non-existence of insurance cover on assets at the Central Bank, the bank has reacted to our story.

The story, which was quoted from the report by the committees of the National Assembly highlighted issues of concern, called on the Management and Board of Directors of the bank to clarify to the Secretary of State for Finance and Economic Affairs the issues raised for onward transmission to the 2008 PAC/PEC joint session.

We hereunder reproduce the full statement from the Central Bank of The Gambia which was delivered to the offices of The Point yesterday:

Dear Sir

Headline - No Insurance Cover on Assets at Central Bank

We refer to your front-page headline in The Point Newspaper dated 25 August 2008 relating to the caption.

By quoting from the summary of the deliberations of the Joint Public Accounts and Public Enterprise Committees of the National Assembly (December 2007), the public may have been inadvertently given wrong and incomplete information. We therefore write to clarify the situation in relation to insurance of assets at the Central Bank.

The fixed assets of the Central Bank (the headquarters building and staff quarters, office furniture and equipment, motor vehicles etc.) are insured at all times. The issue referred to in the Committees report is actually related to the auditors’ recommendation in their 2004 management letter to insure some other assets of the Bank.

Some of the recommendations of the auditors are meant to assist management improve the control environment in which an institution operates in order to minimise loss of assets and to highlight areas of deficiencies for corrective actions. These recommendations are implemented if the audited institution agrees with the auditor that they would help strengthen internal controls and safeguard assets.

The other issues raised in your article referred to above have been adequately addressed within the framework of the Central Bank’s responses to the auditors’ management letter and the relevant authorities.

 H. Joof for Second Deputy Governor.

Editor’s Note: The article referenced in this letter made no reference to the fixed assets of the Central Bank. Neither did it contain any inference that the fixed assets of the Central Bank were not insured. It simply quoted the concerns expressed by the Joint Session of Public Accounts/Enterprise Committees. It might be more fruitful if the Central Bank were to communicate with these committees regarding this matter.

The committee, which received the bank’s annual report, the external auditor’s report and the audited accounts for financial years 2004, 2005 and 2006, also noted with concern the non-adherence to the Central Bank Act, overdrawn accounts and missing signature cards at the bank.

According to the National Assembly committee’s latest report, the treasury bill accounts is not regularly reconciled, financial reporting standards not adhered to and posting errors, prepaid expenses as highlighted in the bank’s report have not been accounted for.

The committee went on to call the Management and Board of Directors of the bank to further clarify to the Secretary of State for Finance and Economic Affairs the issues raised for onward transmission to the 2008 PAC/PEC joint session.

It could be recalled that in pursuance of the powers bestowed on Public Accounts Committee (PAC) and the Public Enterprise Committee (PEC) of the National Assembly by the provisions of Section 102, 109 and 110 of the 1997 Constitution of The Gambia, the committees annually receive and consider annual reports, accounts and financial statements of all Public Enterprises and Agencies that are funded wholly and partly by taxes from the people of The Gambia.

The principal objective of this statutory exercise, according to reports, is to perform lawful checks, scrutiny and oversight over Public Enterprises and Agencies and the public service delivery systems with a view to ensuring that the Government of The Gambia and its public service delivery systems, institutions, enterprises and agencies are all accountable to the Gambian people.

Mr Babucarr Keita, an employee of the Central Bank of The Gambia, on 13th August 2008 gave his testimony in the on going trial of Charles Lowsen, Amadou Watera and Ebrima Danso.

The trio were before the Bundung Magistrates’ Court presided over by Magistrate Kumba Sillah-Camara charged with being in possession of fake dalasis note.

In his testimony, Mr Keita told the court that between December 2007 and January 2008 he received a letter from the police to examine some dalasis note. He added that after examining the notes, he discovered that they were counterfeit notes.

He said he then wrote a report to that effect and sent the original to the police while the copy was kept in their file.

Hearing continues.

Central Bank Sets up Credit Reference Bureau

According to a press release dated 28th July 2008 and made available to this paper, Central Bank of The Gambia has set up a Credit Reference Bureau as an integral part of its Financial Supervision Department. The bureau, the release states, will seek to facilitate the mutual sharing of consumer credit information by commercial banks with a view to making for “accurate evaluation of credit risks.” The full text of the release is reproduced below:

As part of its continuing efforts to further strengthen the Financial Sector, the Central Bank of The Gambia is pleased to announce to the general public of the setting-up of a Credit Reference Bureau (CRB) within its Financial Supervision Department. The raison d’etre of the bureau is to enable commercial banks share consumer credit information reciprocally thereby ensuring a more accurate evaluation of credit risks.

The CRB is established to provide a platform for the financial institutions to strengthen their credit appraisal procedures with a view to enhancing credit quality and responsible Credit behaviour in the Gambian financial system.

The CRB is established with the objective of enabling the financial institutions to identify borrowers who default in servicing the credit facilities extended to them by other lenders with a view to preventing such customers from enjoying any new facilities from any other bank until they made good their outstanding delinquent credits in the former bank(s). It is also hoped that good debtors can enjoy concessionary rates from the banks for being rated low risk.

In order to facilitate the successful implementation of the CRB, Tax Identification Number (TIN) is an integral part. In that regard, all banks have been informed that henceforth, no account should be opened without a Tax Identification Number (TIN) as this is the main driver of the CRB. In addition, no new Credit facility should be granted or extended without a TIN.

Lamin Jaiteh and Kanjura Jaiteh, who were alleged to have engaged in human trafficking, were on Wednesday remanded in Mile 2, the state central prison.

The duo was arraigned before Principal Magistrate Buba Jawo of the Kanifing Magistrates’ Court, charged with “prohibition of trafficking in persons and concealment of trafficking in persons.”

In count one, the particulars of the offence read that the accused persons on 8th June 2008 at Bakau beach engaged in recruiting Lamin Manjang and 60 others for the purpose of exploitation within and outside the boarder.

The offence in count two revealed that on 8th June 2008 at Bakau, the accused, having information concerning trafficking in persons, failed to inform the police or other relevant authorities.

Both accused persons denied the allegation before being remanded by order of the magistrate at Mile 2.

The case was adjourned to 2nd July.

The 2008 Kombo Central Football Peace Tournament, organised and coordinated by Kombo Central District Committee, has kicked off over the weekend. 10 teams are competing for the title, namely Busura, Jamwelly, Brikams Madina, Kembujeh, Kitty, Marakisa, BakarySambouya, Dasilami and Manduar.

Speaking to Pointsports, the chairman of Brikama Youth and Sports Association, Mr. Lamin King Colley, said that the tournament is organised to foster mutual understanding and unity among the youth of Kombo Central.

He revealed that the winner of the tournament will receive a giant trophy and a cash prize of D10, 000 the runners up will receive D5,000 while each team will receive D1000.

Ex-Superintendent Manlafi Sanyang and former Lt. Bakary Camara were yesterday returned to the State Central Prison in Banjul as their case could not proceed as billed.

Sanyang, former Government Vehicle Controller and Camara, an ex-senior presidential guard, are facing charges of stealing a state-owned vehicle; allegations they refute.

Meanwhile, their alleged ally in crime, Dominico Fideli, has been charged for receiving the said stolen government vehicle.

Their cases were supposed to continue yesterday at the Banjul Magistrates’ Court but it could not, for according to prosecutor Touray, his witnesses were said to be busy on an official assignment and, as such, could not make it to the court.

The case, before magistrate Kayeodi Olajubatu, resumes on 24 April 2008.

Some members of the public believed to be customers of Bayba Financial services yesterday stormed the money transfer office located at Westfield. The apparently desperate and angry-looking customers were reported to have been enraged by an undue delay in the receipt of monies remitted to them from abroad by relatives and friends.

Following an investigation mounted by this reporter from a rowdy melee of customers screaming their displeasure over how unfairly the money transfer bureau had been treating them, one protester after another complained that Bayba had already received their money but has in turn failed in paying out to customers. Some expressed the fear that the bureau does not have sufficient funds to pay their customers, consequently leading to late payments.

In a bid to get the official version of the problem, this reporter tracked down the Branch Supervisor in the office. The Supervisor posited that they had already sent for money to be able to make payments but added that the money was not yet in hand. She further dismissed the allegations made against them by their clients.

Sheriff Jobe of Kotu, one of the customers, pointed out that the gravity of the situation called for intervention from the Central Bank of The Gambia. He said that much of the monies remitted from abroad are to facilitate living expenses and other family welfare matters. Mr Jobe further accused the financial bureau of gross negligence for not ensuring quick payment of customers’ monies. He warned that if Bayba fails to desist from what he called improper services by giving flimsy excuses, they risk losing the patronage of a lot of customers since they could not tolerate undue delays when they have medical bills to settle for sick people at hospital.

Mr. Jobe therefore called on the bureau to strive to maintain trust.

Mr. Nyonkoling Kuyateh, another furious customer, remonstrated with the bureau for what he termed poor services.