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Billions of Rands of Taxpayer Money Not Explained by Government Sector: AG Office-SABC News

The Directorate General of Audit has revealed that over the past two years, approximately 6.9 billion taxpayers’ money has not been accounted for by various government departments and other organizations in the state.

At a briefing to the Portfolio Committee on Social Development on Tuesday, senior Audit Director officials mentioned the period of “significant irregularities” in fiscal years 2018 and 2019.

Representative Mbali Tsotetsi states that their main concern in the government sector is inadequate supply chain management and procurement processes.

“Most entities do not follow proper sourcing processes and are therefore overpriced, or, in some cases, appoint service providers who do not provide services as needed, identifying significant irregularities. Will be reported to the local accountant. “

Tsotetsi said: “Some have been identified around service management, including payments for services that the company cannot receive, and others have been of poor quality in the reinstated goods. It is related to the benefit of the penalty paid for not being able to pay to. “

Deterioration of financial management

In July last year, the late Audit & Supervisory Board Member Kimi McWetz said the 2018/2019 local government audit results portrayed a severe situation of deterioration in local government financial management.

Audit results found an increase of over R32 billion in irregular and wasteful spending in local governments, as well as fraud and corruption during the fiscal year.

This figure is an increase of R7 billion compared to two years ago.

The results also revealed how Only 20 of the 257 municipalities in the country underwent a clean audit..

Makwetu has expressed concern about the deterioration of the government’s financial management.

Billions of Rands of Taxpayer Money Not Explained by Government Sector: AG Office-SABC News

Source link Billions of Rands of Taxpayer Money Not Explained by Government Sector: AG Office-SABC News

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