AG’s report reveals that only 27 municipalities received clean audits

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The Auditor-General’s report on the 2019-2020 municipal audit outcomes has shown that only 27 municipalities out of 257 countrywide received clean audits.

Auditor-General Tsakani Maluleke reported R26 billion in irregular expenditure and raised concerns about the ongoing use of consultants.

This is reported to be a trend in various North West Municipalities. Twelve municipalities in the province reportedly failed to submit financial statements.

North West Legislature’s Standing Committee on Public Accounts (SCOPA) has expressed its displeasure about the audit outcomes.

SCOPA Chairperson Job Dliso says, “Out of 22 municipalities 12 of them were not audited because they did not submit their annual financial statements. Those municipalities that did not submit statements have appointed consultants and those consultants are paid a lot of money. But we don’t see any value for money, there are no results.”

The provincial Department of Co-operative Governance says it plans to end the use of consultants.

MEC for Co-operative Governance, Mmoloki Cwaile says, “We have already engaged the Auditor-General to say to her let’s establish an effective records management that can be used the way that it collapses the usage of the consultants. But that will be utilised by the internal employees at the municipalities and that will make information readily available for the audit purpose. Records management is the first step of accounting. So we will no longer expect disclaimers or even adverse findings.”

VIDEO: Auditor-General Tsakani Maluleke briefs media on Audit Outcomes: