Ramgoolam Defends Rs 5.5 Million Payment to Ex-Governor

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Ramgoolam Defends Rs 5.5 Million Payment to Ex-Governor
Ramgoolam Defends Rs 5.5 Million Payment to Ex-Governor

Africa-Press – Mauritius. The Rs 5.5 million payment made to former Bank of Mauritius Governor Rama Sithanen was at the center of Tuesday’s parliamentary questions on October 28. Responding to a query from MP Adrien Duval, Prime Minister Navin Ramgoolam clarified that the amount was not a “compensation” but rather contractual dues owed to Mr. Sithanen upon his departure from office. “This is not a compensation, but dues payable to him,” Ramgoolam stated in defense of the payment.

The Prime Minister elaborated on the composition of the total sum, noting that it covered several contractual entitlements, including unused annual and sick leave reimbursements, the monetization of travel allowances, three months of emoluments, and a pro-rated end-of-year bonus. According to Ramgoolam, all these components fell strictly within the terms of Mr. Sithanen’s employment contract.

During the exchange, Ramgoolam also revealed that the former governor earned a total remuneration of Rs 9 million over the course of his mandate. Additionally, Mr. Sithanen was said to have undertaken official missions abroad for a total of 35 days during his tenure, reflecting the scope of his international commitments as head of the central bank.

Opposition MP Adrien Duval questioned the timing of the payment, arguing that authorizing such a sum while an investigation remained ongoing was inappropriate. “Given the allegations against the former governor, how can it be justified to grant him a payment while an inquiry is still underway?” he asked, pressing the Prime Minister for accountability.

In response, Ramgoolam dismissed the argument, stressing that contractual rights could not be suspended indefinitely pending investigations. “If the investigation takes five years, should he wait five years?” he replied pointedly, underscoring the government’s stance that contractual obligations must be honored regardless of external inquiries.

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