THE independent audit of the Fiji National Provident Fund which reportedly found no discrepancy or evidence of fraud was expected, said former project director of Asia Pacific Resort International Limited (APRIL) Keni Dakuidreketi.
"We were expecting it," he said.
"That's why it took so long for the report to come out. Otherwise, they would have smashed it right in our face from day one.
"Instead, they went on a wild goose chase."
The audit by accounting firm Ernst and Young and commissioned by the FNPF's new board, reportedly found no evidence of fraud in regards to investment but this, it said, was because it did not have full access to certain personal accounts.
According to Fiji One news, the report was comprehensive and looked at all aspects of the Fund, from investment to the conduct of managers.
The report's executive summary said there was no evidence of fraud in respect of investments.
"Based on the work we (auditors) have performed, we (auditors) have not identified any evidence of fraud in respect of the various investments made by FNPF that we (auditors) were asked to consider," it said.
It goes on to examine investment projects of the Fund. "We (auditors) have identified a number of governance, control and structural weaknesses that potentially expose FNPF to unnecessary risks arising from the types of investments that we were asked to consider."
FNPF board chairman Peceli Vocea preferred to comment later.
He reiterated the audit was to identify areas of weakness in the operation of the Fund and its investments.
"To strengthen the Fund, the board and management had already taken steps that were consistent with some of the recommendations the report came out with," said Mr Vocea.
"The objective of this exercise is to ensure that the savings of members is protected."
He said the board met on Tuesday and considered various actions to be pursued by management to address the issues that will minimise the various risks highlighted by the report.
According to the audit report, access to personal records was needed if certain types of fraud associated with the Fund's investment were to be identified.
It also highlighted an inappropriate level of trust placed on management, in particular the chief investment officer.
"It appears the FNPF board has placed an inappropriate level of trust in the expertise of management in general and the chief investment officer in particular when considering the investment that we have investigated," the report noted.
APRIL was hired in 2004 as one of the land developers at the Natadola Bay Resort project by Natadola Bay Resort Limited, a subsidiary of the FNPF.
APRIL and NBRL became embroiled in a $180million project controversy which led to APRIL terminated and its French chief executive Louis Gerard Saliot quit after his previous criminal convictions was exposed.
