The Algerian judiciary is set to open a corruption file on August 25th concerning the public economic enterprise ALRIM, which is responsible for the execution of metal equipment and structures. This significant legal action comes as the judiciary investigates deeply entrenched corruption within the state-owned entity. The case involves suspicious contracts, rigged deals, and the alleged embezzlement of billions of Algerian Dinars (DZD), placing 15 projects at risk across the country. The magnitude of the alleged financial irregularities points to a systemic issue within the enterprise.
Former ALRIM CEO, identified as 'T.M.', and others are accused in the investigation, which has brought to light a series of illicit activities. Charges against them include intentional embezzlement of public funds, granting unjustified privileges, abuse of office, forgery, and benefiting from influence. These accusations highlight the serious nature of the infractions being investigated by the Algerian authorities. The probe indicates that corruption has deeply infiltrated the state-owned company, raising concerns about its operational integrity and financial management. This widespread corruption within the Algerian public economic enterprise for the execution of metal equipment and structures, ALRIM, is now the subject of intense judicial scrutiny.
Suspicious Contracts and Inflated Invoices
The investigation into ALRIM has uncovered allegations of invoice inflation, overbilling for completed works, and preferential treatment in project awards. These practices are central to the corruption file being compiled by the judiciary. The case originated from a complaint filed by ALRIM against its former manager 'A.A.' and his company, EHA CONSTRUCTION. ALRIM, a national economic public enterprise specializing in metal structures, had entered into subcontracting agreements with EHA CONSTRUCTION, a national economic operator in construction, for services including installation, dismantling, construction, demolition, and material supply. These contracts formed the basis for many of the alleged irregularities.
Suspicious practices identified include fictitious contracts, payments for unperformed or poorly executed work, and the issuance of final acceptance reports despite unresolved issues. These findings suggest a deliberate pattern of financial malfeasance designed to benefit certain parties at the expense of the public enterprise. One particularly egregious instance cited details 20 chandeliers and 60 lamps billed for a single office measuring approximately 40 square meters, a clear example of excessive and unjustified billing. A report compiled by the current ALRIM administration further revealed that EHA CONSTRUCTION projects often involved non-commencement or non-completion of works, as well as non-compliance with established standards. This pattern of neglect and non-performance, despite payments being made, shows the depth of the alleged corruption.
The estimated inflation of invoices in these dealings amounts to a staggering 100,770,033 Algerian Dinars, a substantial sum that points to widespread financial manipulation. Additionally, despite the absence of any contracts concluded between ALRIM and EHA CONSTRUCTION for the supply of 5000 hangars for the 'ANADE' developer, EHA CONSTRUCTION reportedly received a check totaling 150 million DZD without justification. This particular transaction is a key focus of the investigation, as it represents a significant disbursement of public funds without any apparent legal basis. Previous ALRIM officials face accusations of concluding these contracts with EHA CONSTRUCTION with the intent to embezzle and steal public funds, suggesting a deliberate conspiracy to defraud the state-owned company. The allegations of inflation of invoices and completed works, coupled with the resort to preferential treatment in awarding projects, form the core of the corruption charges.
Project-Specific Financial Irregularities
Financial irregularities extended to specific projects, including the 'EMB Gué de Constantine' initiative, where the judiciary is examining the contracting process closely. For this project, EHA CONSTRUCTION submitted a bid that was the lowest among competitors, totaling 12,138,091.50 Algerian Dinars. This initial bid secured the company the contract, seemingly on merit. However, despite this initial bid, a supplementary annex was later introduced for the 'EMB Gué de Constantine' project. This annex significantly increased the total financial commitment to 17,214,363 DZD, representing a 30% increase from the original lowest bid. This substantial increase, applied after the initial competitive bidding process, has raised significant red flags for investigators.
The details surrounding the justification for this substantial increase through the annex are part of the ongoing investigation into ALRIM's contracting practices. Prosecutors are scrutinizing whether this amendment was legitimate or a means to channel additional funds improperly. Such amendments to project costs are under scrutiny by the Algerian judiciary, which is examining the broader pattern of alleged corruption within the state-owned enterprise. The probe aims to ascertain whether these financial adjustments were legitimate or indicative of the systemic issues identified by the current ALRIM administration and the public prosecutor. The scrutiny of the 'EMB Gué de Constantine' project serves as a prime example of the type of financial manipulation being investigated across ALRIM's operations.
Legal Prosecution and Company Background
The ongoing legal proceedings are being handled by the Judicial Council of Algiers (مجلس قضاء الجزائر), the primary judicial body responsible for such high-profile corruption cases. The public economic enterprise ALRIM (ألريم) specializes in the execution of metal equipment and structures, playing a key role in Algeria's infrastructure development. Its full name is Entreprise Algérienne de Réalisation d'Équipements et de Structures Métalliques, also known as Algerian Company for the Realization of Metal Equipment and Structures. ALRIM has previously engaged in subcontracting agreements with EHA CONSTRUCTION (EHA Construction, CONSTRUCTION EHA SARL), a national economic operator in the construction sector. EHA CONSTRUCTION’s services to ALRIM included installation, dismantling, construction, demolition, and material supply, making it a frequent partner in ALRIM's projects.
The investigation is not limited to these two entities alone. Other entities mentioned in the broader investigation include Bejinet, TP Construction, AMBL NET, and إيمتال (Imetal), suggesting a wider network of companies potentially involved in the alleged corruption. The case also involves ANADE, a developer for whom 5000 hangars were reportedly supplied by EHA CONSTRUCTION without a formal contract with ALRIM. This particular detail further shows the alleged lack of proper contractual frameworks and financial oversight within ALRIM, leading to significant unjustified payments and widespread irregularities. The judiciary's August 25th hearing is expected to shed more light on the intricate web of these alleged corrupt dealings and the individuals responsible.