Saturday, November 29, 2008

(DAILY MAIL) Misuse of public funds still rife Parley

Misuse of public funds still rife Parley
By REBECCA CHILESHE

THE Public Accounts Committee (PAC) has urged the Ministry of Finance and National Planning to strengthen internal controls in government ministries and departments to avoid loss of public funds through various irregular practices.

PAC chairperson Ben Mwila said this in Parliament on Thursday when he presented the report of his committee for 2008, on the report of the Auditor General for 2006.

Mr Mwila who is also Nchelenge MP (NRP) said in spite of the assurances made by Ministry of Finance to redress the situation, billions of Kwacha in public funds were still being lost through misappropriations, misapplications, failure to follow tender procedures, unretired imprest, lack of reconciliation of bank accounts and other irregularities.

He also called on government to strengthen oversight institutions such as the Office of the Auditor-General.

“The Auditor-General’s office must be strengthened so that it can audit more ministries, government departments and other spending agencies.

The cumulative savings, over time, will be much higher than the money that can be spent to improve operations at the office,” Mr Mwila said.

He said the Office of the Auditor-General (OAG) audited provinces, ministries, government departments and spending agencies, including 17 missions abroad.
Mr Mwila said while spending and accountability of funds had improved in some institutions, the situation had deteriorated in others.

He said responses from controlling officers, in most cases were inadequate while others attributed irregularities to the inadequate funding or late release of funds from the Treasury.

Chililabombwe MP Esther Banda (PF) who seconded the motion said controlling officers should be able to work with OAG and assist the auditing process by responding to queries in time.

Mrs Banda said there were times when the committee had to play the role of “referee” where controlling officers disputed some of the audit findings.

She said government should ensure that ownership of Zambia’s properties abroad was well documented to avoid complications in future, especially where a new government took over the affairs of the country.

Bangweulu MP Joseph Kasongo (PF) said severe action should be taken against those who misuse public funds to serve as a deterrent to would-be offenders.

He said MOFNP should be able to provide leadership to controlling officers so that they run their respective institutions effectively.

Kabwata MP Given Lubinda (PF) paid tribute the OAG for its outstanding performance in auditing the financial accounts of government.

He said the Auditor-General, Anna Chifungula, had revolutionalised the concept of auditing and had continued to fulfill her mandate of ensuring public funds were accounted for.

Minister of Defence George Mpombo said the PAC report recognised the effort government was making in ensuring accountability of public resources.

Mr Mpombo said the fact that donors still supported government meant that they had trust and confidence in the leadership of the country.

Minister of Finance and National Planning Situmbeko Musokotwane said his ministry would act on the recommendations of the report.

He said his ministry had taken a number of steps to tighten internal controls, one of them being quarterly meetings with controlling officers.

Dr Musokotwane said a number of officers who had stolen public funds had been disciplined, and that some of them were appearing before the courts of law.

He commended Ms Chifungula for the work she was doing and said his office would continue to render assistance to OAG as the office was doing the exact task it had been given.


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