AG could release KZN floods report in August

The Auditor-General has issued letters to accounting officers in KwaZulu-Natal on measures to prevent fraud and corruption during the use of funds in the relief efforts.

President Cyril Ramaphosa roped in Auditor-General Tsakani Maluleke to conduct real-time audits to prevent the looting of funds in KZN relief measures after the floods swept through the province causing extensive damage and loss of life.

Maluleke has written to the Speaker on measures they have taken to start the process.

She said the report was likely to be released in August.

Maluleke was also involved during the audits of the Covid-19 package where a number of individuals and entities were found to have been involved in looting.

In her letter she said they have received correspondence from heads of departments in KZN on the funds allocated.

But municipalities and some of the departments have not provided any confirmation so far.

“We already issued letters to (accounting officers) containing our preventative controls guides on infrastructure spending and procurement of goods and services to aid in strengthening the control environments by implementing required preventative controls. A report on key risks, observations, and recommendations made through the Covid audits will be provided to aid departments to be cognizant of the risks to mitigate in the disbursement of disaster relief funds,” said Maluleke.

She said they will audit all the funds that will be channelled to relief efforts and this would include monies that have been re-prioritized by departments.

Ministers and provincial MECs in KZN have said they had to re-prioritize some of the funds to ensure there was money available to help the people.

Deputy President David Mabuza told the national legislature this week that they will assess if more funds would be needed in the province.

He said if there was a shortfall, that would be covered by the National Treasury.

Maluleke listed departments that have confirmed the funds.

“Amounts identified thus far by auditors through confirmation from accounting officers are: KZN: R1 billion (human settlements – R922 million, social development – R90.7 million). National departments: R8.75 billion (Sassa – R85 million, DWS (Department of Water and Sanitation) – R65 million, Sanral – R5.7 billion, Prasa – R2.9 billion),” said Maluleke.

“Thus far, we have no confirmation of amounts in local government and other departments where activities occurred. Written confirmation of the budget and expenditure will be obtained from all the respective accounting officers,” she said.

-Current Affairs

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