Kela-Smith: Cost of choppers overstated

National, Normal
Source:

The National, Monday 23rd April 2012

THE hire of helicopters for the general election has been overstated by K15 million, Eastern Highlands Governor Malcolm Kela-Smith said.
He told parliament that K27 million was budgeted for the hire of four helicopters and the contract was awarded to one company. He owns Pacific Helicopters.
Kela-Smith said according to a quote for hiring a helicopter from another company, the cost of hiring four helicopters should be K12 million.
He said he had been involved in the helicopter business for a long time and knew the cost of each type of helicopter.
He said to buy a military helicopter could cost around K6 million. He questioned the inflated price for the hire of the four helicopters.
However, he said that his company did not apply for the tenders and yet the fares to hire his helicopters should be very low than what was paid.
Kela-Smith said his company did not bid for the tenders to supply helicopters because it could be seen as a conflict of interest because he was in the government.