AGSA Auditor General South Africa
Click here to read Citizens report 2021
Auditor General says :- Vigilant citizens make all the difference.
www.westville.blog
Read the latest:- provincial Overview KZN 2021. Municipality wrote off 4.5 billion and no officials were found liable. And no proper investigation has been done!
Who are the municipal "auditors" the AGSA refers to?
They are auditors / consultants employed by the municipality or contracted in to audit municipal bookkeeping.
"Poor quality of the underlying data, coupled with no project management and or monitoring of the consultants work,
limited their impact and effectiveness on quality financial reporting". (Provincial overview KZN 2021)
Auditor-General Tsakani Maluleke says :- Durban municipality PERPETUAL failure to respect the rule of law and a lack of disciplinary action against errant officials were among the reasons that led to KwaZulu-Natal incurring the country’s highest rate of irregular expenditure, at R9.75 billion, the auditor-general has found.
GENERAL REPORT 2020. ON NATIONAL AND PROVINCIAL AUDIT OUTCOMES. Also read this 2019 citizens report Super easy read with huge text ( not the usual government print that is so tiny we can hardly read it)
KZN Municipality. Our assessment of the financial health reflected poor cash-flow management and budgeting along with adverse key ratios at some departments and an increase in unauthorised expenditure. Of concern are the medical claims at the KwaZulu-Natal Department of Health, which increased from R20,1 billion to R23,4 billion, placing further pressure on the department’s finances when these claims become payable.
Material irregularity means ..
a. any non-compliance with, or contravention of,
b. legislation, fraud, theft or a breach of a
c. fiduciary duty identified during an audit performed
d, under the Public Audit Act that resulted in or
e. is likely to result in a material financial loss,
f. the misuse or loss of a material public resource,
g. or substantial harm to a public sector institution or
h. the general public.
Fellow Kwazulu's , read below how 3 departments in Kwazulu-Natal were in the top 10 biggest irregular spenders. With the KZN Department of transport the worst out of all departments nation wide of R5.5 billion rand
The material irregularities relate to non-compliance with procurement processes,
a. payment of goods and services not received,
b. revenue not billed,
c. inefficient use of resources and
d. suspected fraud resulting in financial loss.
Life Style Audits
The purpose of the Guide to implement lifestyle audits PDF. in the Public Service (the “Guide”) is to guide departments in implementing lifestyle audits in their respective departments.
This Guide should be read in conjunction with the relevant legislation and prescripts regarding risk management and the conducting of lifestyle audits.
Section 3 of the Public Service Act, 1994 allows for the Minister for the Public Service and Administration (MPSA) to establish norms and standards relating to “(h) integrity, ethics, conduct and anti-corruption in the public service”, which includes the adoption of lifestyle audits as a legitimate fraud prevention and detection mechanism.
Easy to read Provincial Audit Outcomes
You will read in this report that the Auditor General recommends that the Durban eThekwini Municipal leadership be fixed. By “fixed I read that to mean change” The report states that Quote:- " At R12,4 billion, irregular expenditure is the highest of all the provinces and more than that of the national government. Its closing balance of R41,9 billion ($2.7 billion USD) is also the highest of all the provinces. This is despite the AGSA’s ongoing recommendations to the leadership to take steps to avoid the abuse of supply chain management legislation. The outcome of audits of key projects and programs in the province is also cause for concern, as it highlights poor management and ineffective delivery". end Quote.
The irregular spending by this municipality for the year ending 2020 should be in the region of R9.5 billion rand. So if we add the two it comes to a total of R52 billion rand ( $3.5 billion USD ) That put an end to our Rainbow Dream of a brighter future.
PDF Download each provinces performance.
Eastern Cape. Easy to read Performance Snapshot 2019
Free State. Easy to read Performance Snapshot 2019
Gauteng. Easy to read Performance Snapshot 2019
Limpopo. Easy to read Performance Snapshot 2019
Mpumalanga. Easy to read Performance Snapshot 2019
North West. Easy to read Performance Snapshot 2019
Northern Cape. Easy to read Performance Snapshot 2019
Vigilant Citizens Make All the Difference
AGSA:- Dear Fellow Citizen
Government service delivery is in the spotlight like never before, and it is clear that citizens are closely watching how their hard-earned taxes are being spent. This is good news for our country’s democracy: vigilance on the part of South Africa’s citizens is vital in holding the government to account.
When citizens are well informed about the state of the country’s public finances, they are in a strong position to ensure that public money is spent wisely and in compliance with the law. As the auditors of government, it is our hope that this citizen’s report will further raise public awareness about what needs to be done to improve public financial management in South Africa.
In this report, we look at what we found in our audits of national and provincial government departments, public entities, and state-owned enterprises for the 2020–21 financial year.
In the third year of the current administration, the audit outcomes of national and provincial governments continue to improve. We commend the accounting officers and authorities for their resilience and commitment to achieving positive change.
We also commend the 71% of auditees that submitted quality financial statements for auditing – an important step in the journey to obtaining a clean audit. But while we continue to see improvements in audit outcomes, the progress is slow. And clean audits do not always indicate good service delivery.
That is why, this year, our report centers around a call to accelerate improvements in accountability.
Please note that this citizen’s report only summarises the main issues that came out of our 2020-21 audits of the national and provincial government. The full detail can be found in the consolidated PFMA general report on the AGSA’s website (www.agsa.co.za).
This report does not look at the finances of municipalities, which are audited separately. If you are interested in our most recent audits of local government, you can access the 2019-20 report on our website. (www.agsa.co.za).
Thank you for being an informed and active citizen. Sincerely, AGSA Communication business unit