Maven Management Ltd. and VALDUS Co Ltd., she will, for the benefit of the House, obtain from the Financial…
(No. B/485) Mr K. Rookny (Third Member for Pamplemousses & Triolet) asked the Minister of Financial Services and Economic Planning whether, in regard to Maven Management Ltd. and VALDUS Co Ltd., she will, for the benefit of the House, obtain from the Financial Services Commission, information as to whether – (a) the beneficial ownership of Mr G.C. therein was disclosed upon the application of a management licence and, if not, indicate the actions taken thereon, and (b) she has been made aware of any case of alleged favouritism in the realignment of salaries of certain employees at the Commission by the salary commissioner VALDUS Co Ltd. and, if so, indicate if any investigation has been or will be initiated thereinto.
Thank you, Madam Speaker. With regard to part (a) of the question, I am informed by the Financial Services Commission that on 19 June 2023 when the application for a managed corporate service provider license for Maven Management Ltd was submitted to the FSC, it was disclosed that Mr G.C. would own hundred percent beneficial ownership of Maven Management Ltd. However, I am also informed that in the same application, it was mentioned that Mr G.C. was Head of HR and Managing Director of VALDUS Co Ltd. Now, the House must note that the same VALDUS Co Ltd. had obtained a contract for the review of the salary and terms and conditions of employment as well as the review of organisational structure, including man plan for the FSC in June 2022 and in December 2022, respectively. The report was approved by the Board of the FSC on 22 June 2023.
39 Madam Speaker, the fact that staffs of the FSC were asked and called upon to determine an application for a licence by the very same person who was reviewing their salary structure raises serious issues of good governance and conflict of interest. The fact that Mr G.C. was doing the salary review and ended up having a management licence within weeks of making the application raises again doubt as to whether this was given as a reward for the report that he has submitted. Madam Speaker, as regards part (b) of the question, I am informed by the FSC that after the staff of the FSC signed the option form to agree to be governed by the report, several staffs made representations that the report favoured certain positions. In the light of the representation received, Valdus Ltd – the consultant – was required to submit an Errors Omission and Anomaly Report and same was submitted in April 2024. However, I am informed that this report has not yet been circulated to the staff. The report is yet to be considered by the Board of the FSC.
Yes, Mr Rookny!
Madam Speaker, can the hon. Minister inform the House whether, a former employee of Valdus Ltd was recruited on contract by the Commission just a few months before the review exercise and the status of the same person was changed to a permanent position just a few weeks before general elections started?
Madam Speaker, according to the information communicated to me by the FSC, indeed there is one Mr K.G. who was a part-time employee of Valdus, the consultant. He was recruited by the FSC a few weeks before the contract was awarded to Valdus, again raising doubts about the independence of Valdus.
Yes.
Madam Speaker, in light of these incestuous relationships that we are seeing prevailing at the FSC, could the Minister advise the House whether, his Ministry will recommend to the Cabinet a complete upheaval of the FSC?
Are you in a position…
The hon. Member will note that I am not the substantive Minister but I will convey the message to the substantive Minister.
Yes, exactly! That’s it! Thank you, Minister. Okay? He will convey.
40 Alright, now we have the hon. Second Member for Savanne and Black River, Mr Jugurnauth! HOME GARDENING – TRAINING PROGRAMMES/AWARENESS CAMPAIGNS