Verity News has come across information regarding multiple legal issues involving Robert Gumede, the owner of Guma Group, which has been identified as a partner for the procurement of 285 earth-moving equipment.
The Unity Party (UP)-led government’s association with Robert Gumede, who is known for alleged corrupt activities, has raised serious concerns about the potential implications of this partnership falling through.
The announcement of the earth-moving equipment for infrastructure development, revealed by Minister of State Without Portfolio Madam Mamaka Bility during a recent Cabinet Retreat, has been met with skepticism and calls for transparency. The lack of specific details about the transaction and the funding source from the Executive Mansion has added to the doubts surrounding this deal.
Investigations have highlighted a significant contract awarded to Robert Gumede’s company by the ANC, which was the subject of a Special Investigating Unit (SIU) probe in South Africa back in 2014. Gumede’s involvement in various companies such as Guma Tech and Guma Investment Holdings has raised red flags due to their past controversies.
One notable incident involved a failed project with the Department of Home Affairs in South Africa, where Guma Group’s subsidiary, Gijima, failed to deliver an online registration system, resulting in substantial losses and legal disputes.
Additionally, Gumede faced corruption charges in the past, relating to alleged bribes paid to government officials regarding a Telkom tender awarded to his company, GAST.
The complexities surrounding Gumede’s business dealings and legal troubles have cast doubts on the integrity and feasibility of the partnership between Guma Group and the Liberian government for the earth-moving equipment procurement.
The lack of visible evidence on the company’s websites regarding the deal with Liberia raises concerns about the transparency and execution of this arrangement
The 285 earth-moving equipment, intended to facilitate the construction and rehabilitation of roads, bridges, and other essential public works, represented a significant investment in the country’s development.
However, the project’s potential impact is now overshadowed by the legal troubles that surrounded Gummede.
The businessman faced numerous criminal allegations, including fraud, corruption, and embezzlement, which have cast a shadow over the partnership with the government of Liberia.
Gummede has been implicated in several fraud and corruption cases involving the misuse of public funds and bribery to secure government contracts.
Robert Gumede and his company were the subject of a Special Investigating Unit (SIU) probe in South Africa over a multimillion-rand contract. Link: https://www.onlinetenders.co.za/news/anc-funder-probed. https://www.iol.co.za/news/politics/anc-funder-probed-16548042)
According to News 24, the South African Businessman was also awarded fraudulently extended security, fleet lease, cellphone, and landfill sites management tenders in contravention of the Municipal Finance Management Act .
In 24, Gumede was accused of clandestinely influencing a bidding process which met serious public outcry in South Africa as was reported.
According to reports , he is at the center of a 600 million rand tender scandal while the Home Affairs Department controversially canceled a contract with Robert Gumede after a forensic audit report discovered irregularities in awarding a contract to his company.
It was also reported that the South African rand bankrolled Zimbabwean President Mnangagwa. Robert Gumede, who is widely known to be an ally of Mnangagwa, is linked to a scandal that jeabordise their moral stance in both countries.
He was under investigation for embezzling significant sums of money from various business ventures, further complicating his legal standing.
Multiple lawsuits have were filed against Gumede for alleged corporate misconduct, including falsifying financial records and misleading investors.
These legal battles brought his business dealings into question, creating uncertainty around the partnership with the Liberian Government and the future of the 285 earth-moving equipment project.
The fallout from Gummede’s legal issues could have far-reaching consequences for Liberia. The equipment, which was expected to accelerate infrastructure development, may now be delayed or even halted altogether. This setback could impede critical projects, affecting the country’s economic growth and development.
Additionally, the controversy has political ramifications. President Boakai who claimed to be seen as a champion for Liberia’s development, might be under scrutiny for his association with Gummede if not careful.
Critics have argued that better vetting processes should have been in place to avoid partnering with an individual embroiled in legal troubles.
In light of these revelations, there have been increasing calls for transparency and accountability from both the government and private sector. Many are demanding a thorough investigation into how Gummede was vetted and what due diligence was performed before finalizing the partnership.
Moreover, there is a growing insistence on re-evaluating the project to ensure that it can proceed without further legal or financial complications.
Stakeholders are urging the government to explore alternative partners or funding mechanisms to safeguard the infrastructure initiative from collapse.
The government has remained silent, with no statement expressing confidence in the project’s integrity and his commitment to Liberia’s development.
However, political analysts suggest that a more comprehensive and transparent explanation is necessary to restore public trust and move forward.
The situation surrounding Robert Gummede and his partnership with UP- led administration underscores the importance of rigorous due diligence in business and political engagements.
As Liberia navigates this complex scenario, the focus must remain on ensuring that vital infrastructure projects are not derailed and that accountability and transparency prevail in all dealings.
The government’s handling of this crisis will undoubtedly shift public perception and confidence in its ability to manage large-scale projects and international partnerships effectively.
