Annual general report of the controller and - Parliament of Tanzania

without completion of the same (refer letter
NSSF/HQ/C.03/514/Vol.III/15). This cast doubt as to
whether management considered the aspect of value for
money in implementation of this project.
• The contract signed on 29/10/2004 revealed a
difference in writing a provision for Oracle Licence fee
which reads in figures as USD 512,000 while the same
appears in words as “USD five hundred and twelve
thousands six hundred and eighteen only” (i.e. 512,618)
• Before Commencement of the project there was a need
to upgrade the servers to accommodate the increased
capacity which costed Shs.5,719,500 (USD 4,500 @
1271/=) from Mega system CO. Limited, this
procurement was done out of the contract.
• On 12/9/2006 NSSF made payment for Oracle
application of payroll systems for Shs.24,390,000 (USD
18,000@1355/-), however, such payment was made for
completed part which comprises a payroll part instead
of production set- up and although reminded by Ag.
System Application Manager on 31/8/06 about the
contract requiring a production set up to be the mile
stones for payments and not report generation as the
tests were done to allow this payment and also despite
the status of payroll being unsatisfactory such payments
were approved and paid.
• Core system design had to be changed to accommodate
problems seen from data, operations e.t.c on 19/9/2006
and hence change of deliverable dates to 8/10/06
despite the earlier agreed time of April 2006 (18
Months). This may appear to be an indicator for lack of
feasibility study for the project.
• On 7/11/2006 it became evident that there was no good
relationship between a client and contractor as the
Fund wrote to the contractor complaining on the delay
___________________________________________________________
Office of the Controller and Auditor General PA&oBs 2007/08 154