{"id":21583,"date":"2022-11-14T11:30:05","date_gmt":"2022-11-14T11:30:05","guid":{"rendered":"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar"},"modified":"2022-11-14T12:04:12","modified_gmt":"2022-11-14T12:04:12","slug":"big-blow-for-frazer-solar","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar","title":{"rendered":"Big blow for Frazer Solar"},"content":{"rendered":"<p><span style=\"color: #ff6600\"><strong>Africa-Press &#8211; Lesotho. <\/strong><\/span>THE High Court this week delivered a massive blow for Frazer Solar, a Germany company trying to impound Lesotho\u2019s assets over a botched solar power deal.<\/p>\n<p>The court ruled that the M2 billion contract Frazer Solar signed with former Minister Temeki Ts\u030colo in 2018 violated Lesotho\u2019s constitution and procurement regulations.<\/p>\n<p>This, the court said, means the contract the company has been claiming the government breached is null and void. The contract was for Frazer Solar to install solar heaters, solar photovoltaic systems, and LED lights in government buildings and civil servants\u2019 homes.<\/p>\n<p>The judgement puts the company on the back foot in its aggressive attempt to confiscate Lesotho\u2019s international assets. The company has been pursuing Lesotho\u2019s assets in South Africa, the United States, the United Kingdom and Mauritius.<\/p>\n<p>And last week it was granted an order to confiscate the bank accounts of Lesotho\u2019s consulate in Belgium. The government says it is challenging the decision.<\/p>\n<p>Lesotho is also challenging the arbitration award granted to the company in South Africa. It is the same award the company is using to go after Lesotho\u2019s properties in other countries.<\/p>\n<p>The case continues. The ruling in Lesotho could however turn the tables against Frazer Solar. The High Court ruling paints a picture of what looks to be an elaborate scheme to fleece the government.<\/p>\n<p>At the centre of that plot was Robert Frazer, Frazer Solar\u2019s managing director, and Ts\u030colo who was Minister in Prime Minister Thomas Thabane\u2019s office.<\/p>\n<p>The judgement reveals how Ts\u030colo and Frazer aggressively pushed for the contract despite being aware that it had not been approved by the cabinet and procurement procedures had not been followed.<\/p>\n<p>Ts\u030colo signed the initial Memorandum of Understanding (MOU) with Frazer four days after former Prime Minister Moeketsi Majoro, who was then finance minister, refused to sign it.<\/p>\n<p>Majoro told Ts\u030colo that he could not sign the MOU before it was scrutinised by the relevant ministries\u2019 officials. But Majoro\u2019s rebuff didn\u2019t stop Ts\u030colo from signing the MOU on the government\u2019s behalf.<\/p>\n<p>Nor did it stop Ts\u030colo from preparing a memorandum requesting the cabinet to approve the deal. The court said Ts\u030colo lied to the cabinet that he had consulted the Ministers of Finance, Public Service, Local Government, Energy and Development Planning.<\/p>\n<p>Ts\u030colo later withdrew that memorandum before it was approved by the cabinet but continued to push the deal with Frazer. Although the cabinet did not approve the project and Majoro refused to sign it off, Ts\u030colo told Frazer, in a letter, that the government \u201cagrees and commits\u201d to the project.<\/p>\n<p>Without cabinet approval, Ts\u030colo told Frazer, in the same letter, that the government was looking forward to the implementation of a \u201ctransformational project which will greatly benefit all Basotho and create closer bonds between Germany and Lesotho\u201d.<\/p>\n<p>The court said \u201cTs\u030colo\u2019s mind was dead set on concluding the agreement regardless of every legal impediment which stood in its way\u201d. Ts\u030colo and Frazer went ahead to sign the Supply Agreement in September 2018 without cabinet approval.<\/p>\n<p>It is that agreement that has now put Lesotho\u2019s international assets in danger, with the company claiming that the government owes it about M900 million for breach of contract.<\/p>\n<p>The court said the Supply Agreement dishonestly referred to a \u201cfinancial agreement\u201d which it called annexure A. That financial agreement, the court noted, was not attached because it had not been signed by Majoro as Minister of Finance.<\/p>\n<p>The absence of that financial agreement, however, did not stop the Supply Agreement from committing the government to making loan repayments and paying Frazer Solar. The wording in the Supply Agreement also appears to provide a cover for the company\u2019s failure to follow procurement regulations.<\/p>\n<p>One clause says \u201cthe Agreement and the Project complies with all the laws of the Government of Lesotho in respect of procurement, including but not limited to the Regulations and this contract has been approved by the Chief Accounting Officer\u201d.<\/p>\n<p>The court said this was not true and Ts\u030colo was being \u201cmendacious\u201d when he signed the agreement. Frazer Solar also appears to have tried to insulate itself from the potential risk that Ts\u030colo was not authorised to sign the agreement on the government\u2019s behalf.<\/p>\n<p>One clause says Ts\u030colo had \u201cthe power, authority and legal right to sign this Agreement and this Agreement has been duly authorised by all necessary actions of its trustees and constitutes valid and binding obligation on it\u201d.<\/p>\n<p>Ts\u030colo had no authority to sign that agreement on the government\u2019s behalf. The court said the supply agreement is invalid because it was signed without following an open tendering process as stipulated in the regulations.<\/p>\n<p>During trial Frazer Solar conceded that the agreement did not comply with procurement regulations but claimed this was none of their business. The company argued that it should not be expected to know that the agreement did not comply with the procurement regulations.<\/p>\n<p>The court however said while the company wanted to play victim, it was convinced that it knew that the agreement violated procurement regulations. It said although the company\u2019s proposal was unsolicited, it should have known that procurement regulations should have been followed for it to be considered a preferred supplier.<\/p>\n<p>The court said the Supply Agreement and the arbitration clause in it was \u201cunconstitutional, unlawful and invalid and is reviewed and set aside\u201d. Last night, Frazer Solar issued a statement dismissing the ruling as \u201cirrelevant\u201d and announcing that it was intensifying its efforts to impound Lesotho\u2019s international assets.<\/p>\n<p>\u201cThe judges have confirmed that the government of Lesotho chose the wrong method with which to proceed with Frazer Solar\u2019s renewable energy project.<\/p>\n<p>\u201cWe acted in good faith throughout by proceeding with the procurement rules provided by government officials,\u201d said an unnamed company spokesperson in the statement.<\/p>\n<p>\u201cIf the government thought that the High Court\u2019s decision could be used as a further delaying tactic, then they face an unpleasant surprise.<\/p>\n<p>\u201cThe Belgium court\u2019s recent ruling in Frazer Solar\u2019s favour demonstrates our ability to target the Kingdom\u2019s assets and bank accounts anywhere in the world.<br \/>\n\u201cThe High Court\u2019s decision will only serve to accelerate our plans to launch fresh enforcement proceedings across multiple legal jurisdictions,\u201d he said.<\/p>\n<p><strong>For More News And Analysis About <a href=\"https:\/\/www.africa-press.net\/lesotho\">Lesotho<\/a> Follow <a href=\"https:\/\/www.africa-press.net\/\">Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Africa-Press &#8211; Lesotho. THE High Court this week delivered a massive blow for Frazer Solar, a Germany company trying to impound Lesotho\u2019s assets over a botched solar power deal. The court ruled that the M2 billion contract Frazer Solar signed with former Minister Temeki Ts\u030colo in 2018 violated Lesotho\u2019s constitution and procurement regulations. This, the [&hellip;]<\/p>\n","protected":false},"author":84,"featured_media":21582,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,12],"tags":[233,246,424,245],"class_list":["post-21583","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-policy","tag-africa-press","tag-africa-press-lesotho","tag-government","tag-lesotho"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.1 (Yoast SEO v27.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Big blow for Frazer Solar - Lesotho<\/title>\n<meta name=\"description\" content=\"THE High Court this week delivered a massive blow for Frazer Solar, a Germany company trying to impound Lesotho\u2019s assets ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Big blow for Frazer Solar\" \/>\n<meta property=\"og:description\" content=\"THE High Court this week delivered a massive blow for Frazer Solar, a Germany company trying to impound Lesotho\u2019s assets ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\" \/>\n<meta property=\"og:site_name\" content=\"Lesotho\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2022-11-14T11:30:05+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-11-14T12:04:12+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/lesotho\/sites\/62\/2022\/11\/postQueueImg_12-63722e9dbc70e.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"720\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Big blow for Frazer Solar\",\"datePublished\":\"2022-11-14T11:30:05+00:00\",\"dateModified\":\"2022-11-14T12:04:12+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\"},\"wordCount\":1080,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/lesotho\/sites\/62\/2022\/11\/postQueueImg_12-63722e9dbc70e.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-Lesotho\",\"government\",\"Lesotho\"],\"articleSection\":[\"all news\",\"policy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\",\"url\":\"https:\/\/www.africa-press.net\/lesotho\/all-news\/big-blow-for-frazer-solar\",\"name\":\"Big blow for Frazer Solar - 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