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OTB in Crisis: Millions of Francs Disappear Amid Financial Opacity

Revelations have emerged of major financial misconduct threatening the sustainability of the Office du Thé du Burundi (OTB), a key player in the national economy under the leadership of engineer Gilles MUKUNDWA.

The organization King Umurundi Freedom has launched a series of documented investigations into the controversial management of the OTB, a public institution responsible for the processing and marketing of tea in Burundi. According to our findings, numerous financial irregularities have been uncovered, involving the embezzlement of hundreds of millions of Burundian francs through rigged public contracts awarded without tenders and with inflated amounts far exceeding official technical estimates.

1. A 65 Million FBu Gap in Headquarters Renovation

OTB’s technical department estimated the cost of renovating the roof of its Bujumbura headquarters at 50 million FBu. However, the contract was awarded without a public tender to the company EECOCO for 115 million FBu—an unjustified overbilling of 65 million. This transaction violates public procurement procedures and raises serious concerns.

2. In Rwegura, a Water Tank Costs Three Times More

In Rwegura (now part of Butanyerera province), a water reservoir rehabilitation project was estimated by OTB engineers at 30 million FBu. Despite this, the contract was awarded to *DYNAMIC APEX SOCIETY* for 90 million FBu, again without a public tender. The result: a 60 million FBu overcharge with no clear explanation. No technical revisions or unforeseen challenges justify such a discrepancy.

3. A Wooden Bridge in Buhoro Overcharged by 25 Million FBu

In Buhoro (Bujumbura province), OTB commissioned the construction of a wooden bridge. The initial estimate was 50 million FBu, considering that the wood used came from OTB’s own stock. However, the contract was awarded to DYNAMIC APEX SOCIETY for 75 million FBu, resulting in an overcharge of 25 million FBu. No external purchase was made, confirming clear evidence of fraud.

 

 

🔶️ A Structured Embezzlement Scheme?

All of these contracts were awarded without a tender process, and the beneficiary companies are reportedly registered under a single individual, *Arthémon NIMPAGARITSE*, according to documents obtained by *King Umurundi Freedom*. This suggests a closed network of collusion, where public contracts are granted to a select few, undermining transparency and the institution’s economic performance.

🔶️ Alarming Consequences

The misappropriated funds have significantly weakened OTB’s investment capacity. These corrupt practices threaten the profitability of the institution, reduce dividends paid to the state, and endanger the livelihoods of thousands of workers who depend on the tea sector in Burundi.

🔶️ Call for an Independent Investigation

In light of these revelations, OTB employees report an atmosphere of fear and frustration, and are calling for the urgent establishment of an independent investigative commission to identify those responsible, audit recent public contracts, and hold perpetrators of fraud accountable.

This report is the first part of an investigative series on corruption within OTB. Further revelations will follow in the coming days.

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