Villagers sever ties with accountant

LABASA Tikina Holding has terminated the service of chartered accounting firm BDO Zarin Ali, accusing the company of charging exorbitant consultancy fees and hoodwinking the vanua of Labasa. The decision follows the suspension of the managing director and the dissolution of the company board after allegations of abuse of office and misuse of funds surfaced. New managing director Mosese Bulitavu said BDO played a conflicting role while managing Labasa Tikina accounts because they acted as accountants, auditors and consultants. "The conflict lies in the fact that it is unethical for the accountant to be also the auditor of our accounts," Mr Bulitavu said. "Additionally we suspect that they overcharged the company when carrying out a consultancy exercise in 2005," he said. "They charged Labasa Tikina $200,000 which is a high fee... [read full story]