9 May 2008

American Samoa Senate probes alleged loans scam

10:21 am on 9 May 2008

An alleged loan scheme operating at American Samoa's Tafuna Health Clinic using fees collected from patients is the target of an investigation by the

Senate Select Investigative Committee.

Fees collected from patients are allegedly being used as a fund source for employees at the clinic to make loans and pay back later.

How long the scheme had been in place is unclear.

Committee chairman, Alo Dr. Paul Stevenson, has written to Treasurer Gaea Pelefoti Failautusi seeking financial information and other documents as part of the committee's probe into the alleged scheme.

The committee has requested copies of deposit slips for funds deposited by the Tafuna Health Clinic from 2005 to the present time; copies of the Treasury manual containing policies and procedures pertaining to collection and receiving; and of policies pertaining to issuance of receipt books to government agencies and departments.