South Africa
Decrease in irregular expenditure no reason to celebrate - AG─── 12:11 Wed, 31 Mar 2021
Auditor-General Tsakani Maluleke said that last year’s irregular expenditure had come down from R66.9 billion to R54.3 billion but that was no reason to celebrate.
EWN reports she said that 118 auditees or 31% didn't disclose their irregular expenditure.
Maluleke is presenting the audit outcomes of the last financial year.
She said that that number did not include Transnet, which had irregular expenditure of R56 billion and Eskom at R11 billion.
Maluleke said that non-compliance included a lack of transparency in procurement and continuation of tenders that were not opened to competitive bidding.
She said that public office bearers and officials still did business with the state even though that was outlawed in 2016.
"Supply chain management non-compliances end up in many instances as irregular expenditure and this year's irregular expenditure number that we're reporting on is R54.3 billion. It is less than last year's R66.9 billion, however, this is no reason to celebrate."
This is in spite of all the reporting we have done in this area, the red flags we have raised, and the many recommendations we have made. Uncompetitive and unfair procurement processes and inadequate contract management remain common. #AGreport pic.twitter.com/iZOLPQLMqG
— Auditor-General SA (@AuditorGen_SA) March 31, 2021
