Irregular Expenditure in Mpumalanga doubles to R2.3 billion

James Masango MPL, Leader of the Official Opposition:

The Auditor General (AG) report has revealed that Mpumalanga government departments has spent over R2 billion in irregular expenditure in the past financial year which ended in March 2015.

The AG was presenting the Audit outcomes to the Members of the Provincial Legislature (MPL’s) in Mbombela on Wednesday.

(Click here for the AG’s detailed report)

According to the report, 95% of the irregular expenditure that occurred was contributed by the departments of Health and Education, as well as procurement agents.

The DA notes the trend that Mpumalanga government disregards recommendations made by Chapter 9 institutions and in particular the AG year after year.

This disregard of the AG’s recommendation has now led to the Mpumalanga provincial departments regression in the audit outcomes in the last financial year.

Regression in the overall provincial outcomes is evident with clean audits decreasing from 5 to 4, unqualified with findings decreased from 8 to 7, and qualified increased from 4 to 6.

The AG noted with concern that the audit outcomes converted to Rands, indicated that Mpumalanga departments were responsible for 71% of the R37 billion budget allocation which resulted in a qualified audit.

A DA government would strive to obtain clean audits in all its departments.