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Wed 7 Jul 2010 08:07 AM

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Jeddah officials accused of misusing $15m budget

Official report claims money was used to pay staff loans, bonuses and salaries - paper.

Jeddah officials accused of misusing $15m budget
BUDGET PROBE: The largest loan granted to an employee was reported to be worth SR55,000 ($15,000). (Getty Images)

Jeddah Mayoralty has been accused of misusing SR56m ($15m) of its budget to pay staff bonuses and salaries, according to a report by the Control and Investigation Board (CIB).

The money from the budget’s special provision for combating dengue fever, was also given to staff as loans, which were not paid back by staff, the Saudi Gazette reports on Wednesday.

The largest loan granted to an employee was worth SR55,000 ($15,000), the paper reports.

Some SR26m was used to pay wages of 341 employees, some of whom had monthly salaries of SR58,000 ($15,500), the CIB report said.

The report also claimed that a number of employees were paid overtime not based on their salaries and working hours.

However, the official body told the paper it was not able to investigate further due to restrictions in its own budget that will not cover travel costs.

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Hussain 10 years ago

I bet thats the 15 million they were able to track out of a total of 600 million riyals allocated for jeddah probably a casualty among the 2bn riyals in stalled projects. This is why we will never improve, we never state true figures, never admit our mistakes and never care about the consiquences our actions will have on others.... This 15 million....jsut a tiny tip of a sunken iceberg!

Tariq 10 years ago

when i used to represent a major saudi consultant office, i remember that jeddah municipality asked us to submit a bid to help them in fighting dengue fever spread in jeddah. "magically" our proposal was "used" by another "favoured" contractor - no not consultant- and the municipality awarded the project to them. with such actions how does this municipality expect to attract added-value service providers. needless to say that dengue fever is still spread.