Annual general report of the controller and - Parliament of Tanzania

alance (i.e. 90% of selling price) should be paid
within 90 days from the date of the offer (i.e from
1 st November, 2007). However, payment of the
balance was delayed for almost seventeen (17)
months before being paid in September, 2008,
causing the Fund to incur uncalculated loss in
terms or exchange rate fluctuation and real
earnings on investment. We could not judge why
the fund did not terminate the contract despite
that massive failure by the buyer to honor payment
within the prescribed period of 90 days.
8.11 Irregular Sale of club Oasis by NSSF
During the year under review, the Fund disposed of its
properties located at plot No.489-517 block “J”, situated
at Mbezi Beach, off African Road, Kinondoni, Dar es Salaam
at total value Shs. 600 Million to M/s TILE FRESH Limited of
Dar es Salaam.
The property, referred to as Club Oasis Mbezi Beach, was
initially acquired on 7 th August, 2003 from Tanzania
Investment Bank limited at a cost of Shs. 350,000,000/=
and subsequently handled over to the Fund on 30 th June,
2004. Transfer of the property was transferred to the
Fund’s name on 5 th September, 2006. Our review over the
transaction revealed some irregularities as shown
hereunder:
(a) Un-procedural Change of Buyer
Management accepted changes of buyers from one
Dr. Hawa Sinare to M/s Tile fresh limited, without the
approval of the Board of Trustees. The change was
effected following an undated letter, with no
reference from Dr. Hawa Sinare.
Further, M/s Tile Fresh Limited was incorporated on
22 nd of December 2004, just the same day when the
___________________________________________________________
Office of the Controller and Auditor General PA&oBs 2007/08 161