The Roads Contractor Company (RCC) board has launched an internal investigation into fuel supply transactions involving Oshali Fuel Centre CC and Eco Fuel Investment CC following reports that the state-owned company paid about N$30 million for fuel, part of which was allegedly never delivered.
Board chairperson Lea Namoloh said the investigation would examine the procurement processes followed in the transactions and establish their legal status, including whether any proceedings have already been instituted or are being considered.
The board announced the investigation after The Namibian reported on 18 September that the RCC had paid the two suppliers for fuel intended for several projects and that millions of dollars’ worth remained undelivered.
“The Board confirms that it is fully seized with this matter and is treating it with the seriousness and urgency it deserves,” Namoloh said.
The newspaper subsequently reported that about N$30 million had been paid for fuel and that approximately N$17 million worth had not been delivered. The transactions took place between September 2023 and July 2025.
The RCC statement does not identify individual officials under investigation, nor does it say the board has reached any finding of wrongdoing.
Instead, it says the investigation is examining the “relevant procurement processes followed”.
That puts the manner in which the fuel was procured at the centre of the board’s inquiry.
According to The Namibian, documents it reviewed show that the RCC paid about N$27 million to Oshali Fuel Centre for fuel destined for several project sites.
The newspaper reported that an RCC reconciliation showed about N$14 million worth of the fuel remained outstanding.
The payments included N$17.5 million in September 2023 for the Engoyi project, of which N$6.9 million worth of fuel allegedly remained outstanding.
A further N$3.4 million was paid in November 2023 for the Onesi project, while N$1.2 million was paid the following month for the E-Dams project.
The RCC subsequently paid N$2.7 million for the Bethanie project in April 2024 and another N$2.7 million for the Kamanjab project in April 2025. According to the newspaper, RCC’s reconciliation indicated that the full amounts for the E-Dams, Bethanie and Kamanjab transactions remained outstanding.
The report raises the question of why additional payments were made while earlier fuel deliveries allegedly remained outstanding — an issue the board’s review of procurement processes could now have to establish.
RCC interim chief executive Dasius Nelumbu had already written to Oshali Fuel Centre demanding delivery of the outstanding fuel or repayment.
In a letter dated 18 February, cited by The Namibian, Nelumbu warned that the RCC would institute legal proceedings if the company failed to settle the outstanding amount.
Oshali owner Simeon Handjene later proposed an arrangement involving another fuel company, under which N$0.20 from every litre ordered would be allocated to reducing the outstanding amount, according to the report.
Handjene has separately been charged in the ongoing Namcor fraud and corruption case. Those charges are unrelated to any finding by the RCC board concerning its fuel transactions, and the RCC statement makes no finding against him.
Eco Fuel Investment is also among the suppliers whose RCC transactions are being examined.
The Namibian reported that an approximately N$3 million fuel transaction involving Eco Fuel Investment was under scrutiny over fuel allegedly not delivered for the Henties-Uis MR76 project. The company has been linked to fugitive businessman Victor Malima, who is wanted in connection with the separate Namcor corruption investigation.
The RCC board said its investigation would go beyond procurement and verify the legal status of the transactions.
“The legal status of the matter, including any proceedings already instituted or under consideration, also forms part of the Board’s verification process,” Namoloh said.
That point is significant because Nelumbu had earlier told The Namibian that the matter was before court and therefore sub judice.
The newspaper said it could not verify that assertion because Nelumbu did not provide a case number, while the RCC reportedly denied having opened a case.
The board’s statement does not confirm that court proceedings exist. Instead, it says the board is verifying whether any proceedings exist and what their status is.
Namoloh said the board regards protecting public resources as a fundamental responsibility and has adopted a zero-tolerance position on misappropriation and breaches of RCC procedures.
“Should the investigation confirm misconduct, the Board will act firmly to hold those responsible accountable,” she said.
The statement does not give a deadline for completing the investigation, say whether an independent investigator has been appointed or indicate whether any RCC officials have been suspended while the investigation is under way.
It also does not disclose the terms under which Oshali Fuel Centre and Eco Fuel Investment were appointed, whether the transactions went through competitive procurement, or who authorised the individual payments.
Those issues will likely form part of the board’s investigation as it examines how the fuel transactions were procured and whether RCC’s internal processes and procedures were followed.
