The Savusavu Town Council’s financial mismanagement led to the sale of a parcel of land, now worth $7million, for a mere $350,000.
Presenting the Parliamentary Standing Committee’s review of the council’s consolidated 2011 to 2015 annual reports, Opposition MP Rinesh Sharma called for the sale to be investigated.
“One of the most serious issues raised was the historical financial mismanagement,” he said.
“From 2011 to 2015, the council failed to maintain proper records, used a single general accounting system, and made land transactions without accountability.
“A parcel of land sold for $350,000 during this period is now valued over $7million. The committee recommends that these matters be referred to the appropriate authorities for independent investigation and proper legal action.”
Mr Sharma said there was also a need for better asset management.
“The council must improve its asset management, as evidenced by a compactor truck donated in 2015 that remains unused to this day.
“We recommend the development of a formal asset management policy and proper maintenance schedule.
“On urban planning, we support the council’s move to expand its municipality’s boundaries, currently home to just 644 ratepayers.
“This will help increase revenue, support urban infrastructure and enable comprehensive town planning.”
In response, Local Government Minister Maciu Nalumisa said the report highlighted several key issues.
“Findings of the report, though historical, provide a valuable reference point for the reforms we have implemented in recent years,” Mr Nalumisa said.
“It is significant to note that the council is focusing on recovering rate arrears by re-engaging an officer to improve the revenue stream.
“It is very encouraging to note that as of June 30, 2025, the council has collected 71.31 per cent of the rates.”