business

Oct. 16, 2020

NEO SENOKO

2 min read

Hotels threaten action against govt

Hotels threaten action against govt

LHHA President ’Marethabile Sekhiba

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THE Lesotho Hotels and Hospitality Association (LHHA) is planning to take action against the government if it fails to pay for services rendered since April.

Government is yet to pay accommodation facilities that it has been using as quarantine centres for suspected COVID-19 patients travelling from outside the country.

While it is not clear as to how much government owes, LHHA estimates that the total bill could be around M100 million, with at least 41 facilities of its members having provided accommodation services to government since April. 

LHHA said in an interview with Metro that it entered into a six-month contract with government to render accommodation services but no payment has been made to date.

As a result, the association plans to take further actions against government if the situation does not change.

LHHA President ’Marethabile Sekhiba told this publication that most businesses struggle to stay afloat adding that some actually face collapse.

“We have been trying to make efforts but no one seems to listen to our grievances. Today we are going to meet the Prime Minister to discuss other issues but we will definitely take advantage and ask him about this payment situation.

“It is tough particularly because some of us had to get loans from the banks in order to execute such services, but now that the work is done, nobody seems to care as to whether we get paid or not,” Mrs Sekhiba said.

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She added that some of their members were taken to the Directorate on Corruption and Economic Offence (DCEO) over alleged corruption and violations of procurement regulations, but such members have now been cleared but still there is no word from government regarding payments.

The DCEO case was said to be the one which delayed the payments. “Some of our members were taken to the DCEO, and we were told to wait for that investigation to be completed. They have now been cleared but no one is saying anything. So indeed, we will have to map our way forward on the matter if nothing happens,” she added.   

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