/ 1 January 2002

Canadian firm in the dock over bribery scandal

A Lesotho prosecutor asked the Lesotho High Court on Friday to impose the maximum fine on Canadian engineering company Acres International, which was found guilty of bribery.

Lesotho Chief Justice Mahapela Lehohla convicted the company last month on two counts of bribery amounting to R4,4-million.

Prosecuting advocate Guido Penzhorn, calling for a heavy sentence, said the Lesotho courts could not tolerate corruption especially when it had international ramifications.

”As far as is known this is the first time a company from the First World has been convicted of bribery in the country where it was seeking a contract,” he said.

The bribes were paid secretly to the former chief executive officer of the Lesotho Highlands Development Authority Masupha Sole, to influence him to award contracts to the company for construction work on the Lesotho Highlands water project.

From June 1991 to January 1998 Acres International paid R3,3-million into a Swiss bank account in the name of a Lesotho engineer, Zaliswonga Bam, who is now dead.

An amount of R1,3-million was also paid into an account held in the name of Margeret Bam, Baliswonga’s wife. This money was later made over to Sole.

Justice Lehohla reserved judgement on sentencing until October 28. – Sapa