Annual general report of the controller and - Parliament of Tanzania

• The contracts entered in respect to integrated system
development are stated at the tax exclusive values
which might appear to assist the contractors to pay tax.
• The core fund system development was done without
passing the source codes to the Fund which indicates
that the Fund can do nothing to the system and high risk
in case of the system collapse and disappearance of the
developing companies abroad.
• The relationship of the companies in the contract being
M/s Arowana consulting Group of Bangalore-India ,Macro
soft systems LLC of Muscat Oman and Macro soft
systems (T) limited of Dar es salaam could not clearly
come up.
8.10 Irregular sale of executive apartments at ADA estate –
Kinondoni area
The Fund acquired property comprising of a site measuring
4.6 acres on plots no 80/1 and plot no. 90/2 located at ADA
estate Kinondoni Area on 6 th December 2000 from TAZARA
at a contract sum of Tshs. 1.4 billion.
Plan to develop the plots started in year 2002 and the
construction started on 1 st September 2004 and completed
on 20 th June, 2006 at a total construction cost of Tshs.
5,940,805,946.00.
Tender for sale of the property, which comprises of eight
blocks where each block accommodates four apartments,
was subsequently advertised in the newspapers (the
express) on 02 nd ovember, 2006. On 10 th January 2007 the
tender was awarded to M/S Seven Anchors Properties and
Services Company limited vide letter with reference
number NSSF/IG/F.20/12/99/59.
Our review over the documents availed in this regard
revealed the following irregularities:
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Office of the Controller and Auditor General PA&oBs 2007/08 156