S'wak Energy boss reported to Norway's anti-graft body

The awarding of some RM600 million worth of contracts to a company linked to Sarawak chief minister Abdul Taib Mahmud could see Sarawak Energy Bhd (SEB) chief executive Torstein Dale Sjotveit probed for graft in his home country of Norway.

Two European NGOs had lodged reports with the Norwegian anti-corruption body Økokrim last Friday.

Swiss NGO Bruno Manser Fund (BMF) and its Norwegian partner Fivas lodged an “urgent complaint” as they believe Sjøtveit had “unduly favour(ed)” Taib's family.

Under Norway's tough anti-corruption laws, citizens can be held accountable for alleged involvement in graft anywhere in the world, BMF said in a statement.

“The extent of conflict of interest in the Sarawak power sector is simply shocking,” BMF director Lukas Straumann reportedly said after a meeting with Økokrim in Oslo.

“It is disturbing to see that expatriate managers working for the Sarawak government, such as  Sjøtveit, are playing an active role in the Taib family’s machinations.”

BMF also questioned the Malaysian Anti-Corruption Commission's seeming “inaction” on the matter, although a complaint against Sjøtveit and SEB had been lodged last year.

According to a Aug 29 filing with Bursa Malaysia, Sarawak Cable Bhd said its wholly-owned subsidiary Trenergy Infrastructure Sdn Bhd had won two contracts from SEB, worth RM352.8 million and RM265.8 million respectively.

Sarawak Cable is chaired by Taib's son Mahmud Abu Bekir (left), who also owns 21 percent of the company’s shares.

When contacted, SEB did not respond specifically to allegations of nepotism or corruption but referred Malaysiakini to an Aug 28 press release.

This quoted Sjøtveit as stating that successful bidders had the best evaluated tenders and have demonstrated the necessary capabilities and experience to undertake the job.

'Remove Sjotveit as CEO'

Calling for Sjotveit's removal as CEO, Sarawak DAP head Chong Chieng Jen said this would save taxpayers' money.

Sjotveit is said to receive around RM10 million a year including bonus, allowances and a return air ticket to Norway. It is believed that SEB has just renewed his three-year contract.

"By removing him from his post, we can save at least RM30 million in three years. This money can be used to build more houses for the poor and the needy in Kuching District," said Chong who is the MP for Bandar Kuching and Kota Sentosa assemblyperson.

He said he has been told that Kuching District has a quota of 15 applications under the ‘Program Bantuan Rumah' for 2013 when more than 500 applications have been received.

On the corruption report by two Norwegian companies, Chong said that it is up to Norway to act against Sjotveit.

"But as far as Sarawak is concerned ... I suggest the state government should review his contract. Why should we pay him so much?" Chong said.