Professional Documents
Culture Documents
ON GOVERNMENT ACCOUNTS
Hon. Speaker
House of Assembly
Lobamba
Mr. Speaker
Mr Speaker, in accordance with Section 209 (1) (b) of the Constitution of the Kingdom of
Eswatini, 2005, we have the pleasure and honour to submit the above captioned Report.
Sincerely yours
………………………… ………………………
2
TABLE OF CONTENTS
Executive Summary 5
Introduction 8
Head 01 – Parliament 33
Head 05 – Police 43
4
EXECUTIVE SUMMARY
The Public Accounts Committee (PAC) is established in terms of Section 209 (Subsections 1
and 3) of the Constitution of the Kingdom of Swaziland Act of 2005. Its powers are stipulated
in Section 129 (Subsections 2 and 5) of the Constitution as well as the Parliamentary Privileges
Act of 1967 and the Standing Orders of 2006. Regionally, the PAC is a member of the Southern
African Development Community Organisation of Public Accounts Committees
(SADCOPAC) while continentally it is a member of the African Organisation for Public
Accounts Committees (AFROPAC) and internationally it is affiliated to the Commonwealth
Association of Public Accounts Committees (CAPAC).
The Hon. Committee, in executing its mandate, conducts public hearings using the following
powers/rights:
The right to investigate or review all past, current and committed expenditures of
government and organizations receiving funds from government
5
The right to request, on its own initiative, the Auditor General to perform audits.
The right to carry out site visits on projects where government funds were used.
The right to access all financial information and other documents, as it deems
necessary, for its investigation except for those that are privileged or secret in terms of
the law.
The right to call upon and enforce the attendance of witnesses to provide information
in relation to observations raised by the Auditor General (Section 129 of the
Constitution)
The Clerk to Parliament is also lauded for the support he extended to the Committee by
providing all the resources enabling the PAC to effectively discharge its duties.
7
INTRODUCTION
Although anomalies and gaps exist in the Public Administration System, some Controlling
Officers are committed to correcting and improving efficiency in the government operations. The
existence of the Ministerial Standing Committees on Public Accounts has led to the improvement
in the implementation of House Resolutions. The zeal, dedication, teamwork, positivity to
implement corrections shown by the ministerial committees is an indication that the anomalies will
be greatly reduced in the future.
Since the year 2017, the Hon. Committee introduced an Implementation Star
Rating/Accountability Index to rate the performance of government ministries and departments.
The Implementation Star Rating has been based on the following qualitative performance
indicators:
8
For each performance factor, Ministries/Departments were given stars ranging from one (1) to
five (5) illustrating the following:
9
HEAD 4: MINISTRY OF TOURISM AND ENVIRONMENTAL AFFAIRS
The Controlling Officer should improve the Ministry’s teamwork and ensure that the Ministry
understands what is expected of it in terms of accounting for public funds.
10
HEAD 5: ROYAL ESWATINI POLICE SERVICE
The use of state resources, particularly vehicles, is still a thorny issue for this Ministry as it
continues to overspend every financial year. The same applies for over expenditures on
personnel.
11
HEAD 06: DEPUTY PRIME MINISTER’S OFFICE
Some improvements have been noted compared to the challenges experienced last year where
there was no team work and poor responses to queries. Improvements are still needed under the
utilisation of state resources though.
12
HEAD 07: MINISTRY OF FOREIGN AFFAIRS AND INTERNATIONAL CO-
OPERATION
Missions continue to use resources without following the laid down procedures and the Ministry
is still not implementing a lot of House Resolutions.
13
HEAD 08: MINISTRY OF DEFENCE AND NATIONAL SECURITY
The Controlling Officer needs to introduce effective ways to curb over expenditures under the
CTA charges, which appears to be the Ministry’s main undoing.
14
HEAD 09: MINISTRY OF TINKHUNDLA ADMINISTRATION AND DEVELOPMENT
The Controlling Officer needs to improve the use of resources under the Regional Development
Fund. Suppliers continue to deliver material not according to specifications and short-change
associations.
15
HEAD 10: MINISTRY OF NATURAL RESOURCES AND ENERGY
16
HEAD 20: MINISTRY OF AGRICULTURE
17
HEAD 23: MINISTRY OF ECONOMIC PLANNING AND DEVELOPMENT
The problem of failure by the Ministry to properly appraise other Ministries on the use of donor
funds while implementing donor funded projects on their behalf still persists.
18
HEAD 24: MINISTRY OF HOUSING AND URBAN DEVELOPMENT
The Hon. Committee notes that the Ministry often meets expectations but it needs to improve
and consistently meet or exceed expectations.
19
HEAD 29: MINISTRY OF COMMERCE, INDUSTRY AND TRADE
The issue of implementing projects without any controversies is still a challenge for the Ministry.
20
HEAD 30: MINISTRY OF EDUCATION AND TRAINING
The hiring of Teachers under the Teaching Service Commission has opened a can of worms and
shows a lot of anomalies in the ministry that need quick attention.
21
HEAD 34: MINISTRY OF FINANCE AND TREASURY
22
HEAD 40: MINISTRY OF LABOUR AND SOCIAL SECURITY
Some improvement was noted this year in terms of exercising control over the state resources.
23
HEAD 41: MINISTRY OF PUBLIC SERVICE
24
HEAD 43: MINISTRY OF INFORMATION, COMMUNICATION AND TECHNOLOGY
The Ministry needs to step up its control over state resources and pull up its socks when it comes
to implementing House Resolutions emanating from PAC Recommendations.
25
HEAD 45: MINISTRY OF HEALTH
The Controlling Officer is urged to establish more effective controls in the use of resources
within the Ministry.
27
HEAD 48: JUDICIARY
28
HEAD 49: HIS MAJESTY’S CORRECTIONAL SERVICES
Personnel and CTA charges seem to be a thorn on the side of the Controlling Officer.
29
HEAD 50: MINISTRY OF HOME AFFAIRS
The Controlling Officer needs to establish effective controls, especially in the use state resources
for national events. The report on the use of funds mobilised for the country’s 50/50 celebrations
leave a bitter taste in the mouth.
30
HEAD 53: MINISTRY OF PUBLIC WORKS AND TRANSPORT
The Controlling Officer needs to mend fences between her team at the Headquarters and Central
Transport Administration (CTA) personnel. Capital projects continue to be a headache for the
Ministry.
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INTRODUCTORY CHAPTER
1. Every year, the Auditor General reports millions of public funds unduly received by public
officers and companies due to negligence of those entrusted with responsibility, control
weaknesses in the Payroll and Human Resource Systems, as well as the Procurement and
Accounting Systems. The 2019 Compliance Audit Report revealed that E127 990 478.10 ought
to be recovered from both the public officers and companies. In the financial year 2018, the public
funds that were reported yet to be recovered were E116 332 220.85 and E39 673 048.55 in the
fiscal year 2017.
2. Missions abroad continue using government funds without following laid down procedures.
3. There were 236 teachers that were employed by the Ministry of Education and Training through
the Teaching Service Commission without authority during the period from 1st August 2018 to 21st
March 2019. The personnel expenditure of E31 848 994.00 was incurred in respect of the
unauthorised employment of teachers.
4. Unrecovered costs of repairing accident damaged vehicles from Government officers or other
parties were observed. The unrecovered costs amount to E48 332 646.73 for the various Ministries
and Departments. This is a heavy financial burden to Government and the taxpayers, while those
responsible have not been brought to account for the damaged vehicles. Aggravating the situation
is that these losses are not reported to the Losses Committee, so that a decision is taken to
recover the public funds or write them off if necessary.
5. It was observed that a Resource Mobilisation Special Account for monies donated towards
financing costs of the 50/50 double celebration was not regulated for the inflow and out flow of
the cash donations which amounted E16 992 415.50. The Ministry did not follow public
procurement procedures when engaging suppliers for catering services amounting to E2 728
531.56, in respect of the double celebrations. Further investigations revealed that some of the
companies that were engaged under the celebrations were owned by three Public Officers. The
companies were paid E1 562 265.60.
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PARLIAMENT – HEAD 02
AUDITOR GENERAL’S REPORTS FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2017 AND 31st MARCH 2018
Over Expenditure on Recurrent Vote – E321 880.225 and Unauthorised Over Expenditure
on Recurrent Vote – E880 825.78
The Auditor General reported that Parliament overspent by a sum of E321 880.00 on CTA
vehicle charges, which represented an over expenditure of 25% and that Parliament also
overspent by a sum of E880 825.78 on external travel.
The Controlling Officer reiterated his submissions from the previous year where indicated that one
of the Presiding Officers (Senate President) was still a stumbling block in his bid to control the use
of the state resources in the form of state vehicles allocated to her office and external travel
(international trips). He submitted that, after his previous appearance before the PAC (April 2019),
the Senate President threatened him and continued bullying him. He alleged, for instance, that she
was fond of traveling to New York in the United States of America and when he, as Controlling
Officer, put his foot down and refused to fund these trips, she would threaten him with dismissal
or stop talking to him.
He submitted that he had engaged the Hon. Prime Minister, in his capacity as Minister of
Parliamentary Affairs, to intervene and he promised to deal with the issue.
Recommendation
The Hon. Committee recommends that the Controlling Officer should appraise the Hon.
Committee on the Hon. Prime Minister’s intervention on the matter within 30 days after adoption
of this Report by the House, failing which he will be charged with contempt of Parliament.
33
AUDITOR GENERAL’S FINANCIAL REPORT FOR THE FINANCIAL YEAR
ENDED 31ST MARCH 2019
The Auditor General reported that Parliament had underspent by a sum of E614 306.72
under Travel, Transport and Communication, which represented an under expenditure
above the 10% limit allowable.
The Controlling Officer attributed such an under expenditure to a system error, otherwise the under
expenditure was below the 10% limit (E372 002.33).
Recommendation
The Controlling Officer is advised to use the correct system (AA220), which also takes into
account activities for month 13, which would have allowed him to detect the system error.
The Auditor General reported that Parliament had outstanding payments amounting to
E6 503 051 47 as at 31st March 2019. About E6 416 234.34 had been submitted to Treasury
for processing while invoices and bills amounting to E86 817.13 were held by Parliament and
had not been submitted.
The Controlling Officer submitted that the arrears were eventually submitted and processed by the
Treasury and paid to the respective suppliers.
Recommendation
The Controlling Officer is advised to be more vigilant in future and conduct reconciliations.
34
PRIVATE AND CABINET OFFICES – HEAD 03
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2017
The Auditor General reported that the Controlling Officer overspent by 300% under the
recurrent vote after spending E4 026 608.42 against a released budget of E1 006 063.00
The Controlling Officer submitted that the released budget was inadequate and the Ministry
attempted to request a supplementary budget of E3 000 000.00 to cover the budget shortfall but
the request was denied.
Recommendation
The Controlling Officer is urged to continue engaging the Central Agencies with a view of getting
an adequate budget allocation for this item.
The Auditor General noted that the Ministry had outstanding payments of E3 611 285.32, of
which E3 214 682.70 were submitted to Treasury for payment and E396 602.62 were not
submitted for payment processing and reporting.
The Controlling Officer acknowledged that indeed part of the arrears had not been submitted to
Treasury and attributed this to a new system (invoice portal) of submitting invoices which his
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officers were not yet familiar with during the time of the audit. He submitted though that the arrears
were eventually cleared.
Recommendation
The Controlling Officer is urged to ensure that his officers are up to date with the new system to
avoid a repeat of a similar incident in future.
The Auditor General reported that an officer from the Private and Cabinet Offices with
Employment Number 4859882 abandoned an official training course at the University of
Eswatini, thereby breaching the bonding contract signed between her and government. The
amount is made up of E84 676.00 which was in respect of tuition fees while E82 198.90 is in
respect of salary overpayment when the officer was away from duty.
The Controlling Officer submitted that the University of Eswatini has reimbursed government the
tuition fee while the officer is paying back the salary overpayment at the rate of E6 800.00 monthly
and will make the last payment in December 2020.
Recommendation
The Controlling Officer is urged to be more vigilant in future to prevent such incidents from
recurring.
The Auditor General reported that an Isuzu LDV registered GSD 004 PC was twice involved
in an accident resulting in government spending E206 176.41 in repair costs. The first
accident (E197 393.03) occurred in July 2014 and the second one (E8 783.38) occurred in
September 2017. Of concern was that the Ministry had not made efforts to recover the costs
from the officers involved in the accidents or report the matter to the Losses Committee in
the event the drivers were not at fault.
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Controlling Officer’s Response
The Controlling Officer acknowledged the accidents and apologized for his failure to report the
matter to the Losses Committer as per the law.
Recommendation
The Controlling Officer is fined E400.00 for failure to report the matter to the Losses Committee.
The fine is payable within seven (7) days after adoption of this Report by the Hon. House, failing
which he will be charged with contempt of Parliament.
37
TOURISM AND ENVIRONMENTAL AFFAIRS – HEAD 04
A. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2014
The Auditor General communicated her findings to the Controlling Officer that nine flat
computer screens and nine computer processing units, estimated at a value of E65 907.28
were lost while kept in the ministry’s storeroom. There was no burglary at the storeroom
and the items were not recorded in any of the ministry’s records when they were received as
a donation from the Republic of China on Taiwan.
The Controlling Officer submitted that the police have since written to the Ministry informing it
that investigations on the matter have been closed because there is no evidence linking anyone to
the crime. On the other hand, the matter was also reported to the Losses Committee which has still
not communicated its verdict.
Recommendation
The Controlling Officer is urged to follow up the matter with the Losses Committee until finality
and update the Hon. Committee every quarter.
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Paragraph 29.2 – Fuel Charges and Maintenance Costs for Unserviceable Vehicles –
E29 467.20
The Auditor General found that the Ministry incurred expenditure amounting to E29 467.20
in respect of two unserviceable vehicles (GSD 027 TC and GSD 036 TC) which had been
boarded.
He further found that there was another vehicle registered GSD 034 TC, which had been
recommended for boarding but was not and it was found lying idle in the Ministry premises.
It had been there since December 2016. The Auditor General could not ascertain when the
car was last used since the Ministry claimed the logbook had been locked inside the vehicle
and the car keys had been kept in a safe, whose keys were allegedly lost.
The Controlling Officer submitted that indeed GSD 027 TC and GSD 036 TC continued attracting
charges yet they were boarded. This was due to the fact that the vehicles only stopped incurring
these charges once they had been sold by public auction. They have still not been sold.
Regarding GSD 034 TC, which was involved in an accident at night, yet the car keys were
reportedly lost, investigations revealed that, according to documents found at the CTA, the
vehicle’s spare keys were taken by one Meshack Dlamini, who said he was from the Ministry.
However, the Ministry denied having such an officer in its employment. The matter is still under
investigation.
Recommendation
The Controlling Officer is urged to refer the matter to the Losses Committee within seven days
after adoption of this Report by the Hon. House and submit quarterly updates to the Hon.
Committee, failing which he will be charged with contempt of Parliament.
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C. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2018
The Auditor General found that an officer who was sponsored by government to study for a
three year Diploma in Electrical Engineering at the Swaziland College of Technology
(SCOT) from August 2007 to June 2010 abandoned training before completing the studies.
The officer was also reinstated to his position on May 2010.
The Controlling Officer submitted that the officer refused to sign the acknowledgement of debt
and reported the Ministry to the Conciliation, Mediation and Arbitration Commission (CMAC) for
alleged victimization and the matter is still pending before CMAC.
The concerned officer appeared before the PAC and claimed that his boss was victimizing him for
serving in the executive structures of the union for civil servants. He said the reason he dropped
out of college was that he had failed his studies but claimed that a certain unidentified Lecturer
had informed him that his results had been tampered with so that he would fail and not continue
since he was viewed as problematic due to his union involvement and for allegedly being violent
towards other students. He said he appealed the results but was not successful and in the end his
bosses recalled him back to work.
The Controlling Officer, on the other hand, denied that the officer was recalled but stated that since
he had failed it was clear that he should return to work.
Recommendation
The Controlling Officer is urged to recover the debt from the officer since he breached the bonding
agreement he had with government and then submit quarterly updates to the Hon. Committee on
the recovery, failing which he will be charged with contempt of Parliament.
40
AUDITOR GENERAL’S FINANCIAL REPORT FOR THE FINANCIAL YEAR
ENDED 31ST MARCH 2019
The Auditor General found that the Ministry had outstanding payments amounting to
E209 813.13, which had not been submitted to Treasury for processing and payment by the
end of the Financial Year.
The Controlling Officer attributed the outstanding payments to utility bills which had not been
paid due to an inadequate budget allocation.
Recommendation
The Controlling Officer is urged to comply with the law and report the outstanding bills to the
Treasury so that they can be captured in the Treasury’s Financial Statements, failing which he will
be charged with contempt of Parliament.
The Auditor General found that an employee’s salary with employment number 9791833
was not staggered when he went to study in Nairobi, Kenya for a Master’s Degree in
Meteorology. As a result, he was overpaid by E25 441.08.
The Controlling Officer submitted that the salary of the officer was later staggered.
41
Recommendation
The Controlling Officer is fined E400.00 for failure to effect the salary staggering despite a
reminder from the Ministry of Public Service. The fine is payable within seven days after adoption
of this report by the House. He is further urged to recover the overpayment from the officer’s
salary and quarterly update the Hon. Committee on progress, failing which he will be charged with
contempt of Parliament.
The Auditor General reported that the Ministry incurred costs amounting to E265 376.59
for repairing about 11 vehicles belonging to the Ministry which had been involved in
different accidents between 2016 and 2019.
The Controlling Officer submitted that his ministry’s records indicated that only six vehicles out
of the 11 were involved in accident. There were two other vehicles which were only sent to the
CTA for windscreen and window repairs and not accidents as reported by the CTA. He also
reported that there were two other vehicles reported to have been involved in accidents yet the
Ministry’s records indicated that these vehicles were never involved in accidents.
As for the last vehicle registered GSD 007 TC, it was never allocated to the Ministry and when the
Ministry conducted its own investigations it discovered that the vehicle did exist but it was fueled
under the Police and Ministry of Home Affairs until September 2019. Thereafter, it disappeared
from the system and cannot be traced as it is no longer refueling in the government system.
Recommendation
The Controlling Officer is urged to report the disappearance of the vehicle registered GSD 007 TC
to the Police and Anti Corruption Commission and see General Recommendations for the other
vehicles.
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POLICE – HEAD 05
(a) Delayed Banking of Revenue – E41 260.00 and (b) Forged Amounts on Receipts
Auditor General’s findings
The Auditor General reported that revenue collected at the Siteki Police Station between 22
December 2014 and 10 February 2015 which amounted to E41 260.00 was not promptly
brought to account. There were forged amounts on some receipts amounting to E1 380.00.
The Controlling Officer informed the Hon. Committee that the officers involved were charged and
their matters are pending in court. They have been deployed elsewhere within the police service
pending their trial.
Recommendation
The Hon. Committee also notes that disciplinary cases for similar cases are concluded with ease
but this one has dragged since the year 2015. The Controlling Officer is, therefore, urged to submit
an update within 30 days on disciplinary measures against the Police after adoption of this Report,
failing which he will be charged with contempt of Parliament.
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Controlling Officer’s Response
The Controlling Officer submitted that the Losses Committee has still not issued a judgement on
the matter. The matter was reported to the Losses Committee after the officer passed away before
the Police could recoup the debt from her.
Recommendation
The Controlling Officer is urged to quarterly update the PAC Chairperson and Auditor General
on progress, failing which he will be charged with contempt of Parliament.
30 – Unauthorised Over Expenditure on Recurrent Vote – E74 511 511.24 (CTA charges)
and E643 529.80 (Grants and Subsidies)
Auditor General’s Findings
The House Resolution was fully implemented.
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Recommendation
The Controlling Officer is urged continue recovering the money from the officer and quarterly
update the Hon. Committee on progress.
Recommendation
The Controlling Officer is urged to continue recovering the money and quarterly update the Hon.
Committee on progress.
35.1-2 – Unauthorised over expenditure on recurrent vote – E111 175 730.59 (CTA
charges) and E25 740 158.60 (drugs and professional services)
Auditor General’s Findings
The House Resolution was fully implemented.
Recommendation
The Controlling Officer is urged to keep engaging the central Agencies with a view to increase the
budget to be commensurate with the Service’s diverse activities.
The Auditor General revealed that the Police service spent public funds amounting to
E31 813 694.31 without any authority or a budget provision from Parliament either through
the Appropriation Act or a Supplementary Budget allocation.
The Controlling Officer acknowledged that these funds were spent without a budget provision and
explained that the money was used for CTA charges after the Police Service was engaged to
monitor schools during examinations during a Teachers strike in 2018 as well as monitoring
elections during the same year. The Service attempted to prevent misuse of the fuel through the
centralised issuance of fuel coupons rather than having the departments commit the funds in their
different regions.
Recommendation
The Controlling Officer is fined E400.00 for using government funds without any authority. The
fine is payable within seven days after adoption of the Report by the Hon. House, failing which he
will be charged with contempt of Parliament.
The Auditor General reported that the Police Service had outstanding payments of
E211 083 757.80 during the year under review of which E9 545 221.59 was submitted to the
Treasury for payment while invoices and bills amounting to E201 538 536.21 were not
submitted to Treasury.
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Controlling Officer’s Response
The Controlling Officer explained that according to his records, the Police Service submitted
invoices to Treasury on a weekly basis, hence as far as he was aware they were all submitted.
Recommendation
The Controlling Officer is urged to reconcile his financial records on time, failing which he will
be charged with contempt of Parliament.
The Auditor General reported that the Police Service incurred costs amounting to
E11 052 495.62 in respect of repair costs for police vehicles which were involved in accidents.
The Controlling Officer admitted that all the accidents occurred and said all drivers found to have
been on the wrong were disciplined according to rules of the Police Service. He apologised for not
reporting the losses to the Losses Committee as per the law.
NB: During the Hon. Committee’s surprise site visit at the CTA depot in Mbabane, it was informed
by the CTA General Transport Manager that the Police Department was the worst among
government ministries and departments in terms of accidents. Indeed, the Committee found over
15 vehicles and about 8 motorbikes belonging to the Police which were parked at the CTA for
repairs.
Recommendation
The Controlling Officer is urged to report the accident losses to the Losses Committee for
determination on whether those who were involved in the accidents are surcharged or not and
thereafter quarterly update the Hon. Committee on progress, failing which he will be charged with
contempt of Parliament.
47
He is further urged to enforce more controls to prevent accidents and submit a plan on how he is
going to achieve this within 30 days after adoption of this Report by the Hon. House.
48
DEPUTY PRIME MINISTER’S OFFICE – HEAD 06
Recommendation
The Controlling Officer is urged to table the Regulations in the House of Assembly within 30 days
after adoption of this Report by the Hon. House, failing which he will be charged with contempt
of Parliament.
49
31.4 – Non-compliance with the Social Welfare Assistance Fund Regulations of 2009
Auditor General’s Findings
The Auditor General noted that the government system accepted beneficiaries straight from
different constituencies without the involvement of Social Welfare Officers. This resulted in
the payment of E7 200.00 which was not budgeted for.
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry embarked on the verification exercise as per
the House Resolution but could not conclude the task due to the outbreak of Covid-19. The exercise
will proceed once the situation on the grounds normalises.
Recommendation
The Controlling Officer is urged to resume the verification exercise as soon as the situation
normalizes and submit an update to the Hon. Committee before the end of the current financial
year, failing which he will be charged with contempt of Parliament.
50
Recommendation
The Controlling Officer is urged to submit a progress report on the matter within 30 days after
adoption of this report.
32.3 – Under Expenditure of Project S33399 – Assistance for the Disabled II – E849 016.18
36 – Under Expenditure on Project S33399 – Assistance for the Disabled II – E677 470.87
Recommendation
The Controlling Officer is urged to table the guidelines in the House within three months after
adoption of this Report, failing which he will be charged with contempt of Parliament.
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37.3– Unlawful Collection of Elderly Social Grant by Proxies on behalf of the Deceased –
E130 835.00
Recommendation
The Controlling Officer is urged to submit a progress report quarterly on progress regarding the
investigations, failing which he will be charged with contempt of Parliament.
37.4 and 37.5– Funds remaining Unlawfully with the Eswatini Posts and Telecommunication
(EPTC) – E6 378 387.52 and Unjustified Balances in elderly grants distributing banks
(E697 430.23)
Regarding EPTC, the Ministry reported that the Corporation is refusing to release the funds back
to government until the state settles a debt of E4 464 102.10 in respect of a pilot project that was
conducted by EPTC on behalf of the Deputy Prime Minister’s Office in October 2015. The
Ministry has since requested Cabinet to intervene in the matter and is currently awaiting a Cabinet
decision.
52
Recommendation
The Controlling Officer should submit quarterly updates to the Hon. Committee on progress,
failing which he will be charged with contempt of Parliament.
20. – Non-utilisation of project funds on Project S33399 – Assistance for the Disabled II –
E1 500 000.00
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of properly
allocating the funds, failing which he will be charged with contempt of Parliament.
The Controlling Officer is urged to request a budget allocation that will be enough to cater for all
the activities under the Ministry and also put in place controls on the use of vehicles.
The Controlling Officer is urged to resolve the matter and quarterly update the Hon. Committee
on progress, failing which he will be charged with contempt of Parliament.
54
Accountant. Further, the contracts were not submitted to the Tender Board for approval of
the tender service and issuance of an authority.
This resulted in government paying the supplier, HM Holdings PTY (LTD), a sum of
E4 952 319.71 over a period of three (3) years. The money was in respect of renting the
equipment, durable items, consumable items, stationery and maintenance.
Controlling Officer’s Response
The Controlling Officer submitted that the three implicated officers (Director Social Welfare,
Principal Accountant and Disaster Manager) have since been served with warning letters for
bypassing the Controlling Officer when engaging the supplier of the photocopiers.
The implicated officers (with the exception of the Social Welfare Director who is currently on
suspension) appeared before the PAC where they explained that they were told that this practice
had been happening even before they joined the Ministry, so they thought it was normal to sign
without involving the Controlling Officer.
The Ministry’s Legal Advisor informed the Hon. Committee that the officers did not involve his
office during the signing of the agreement. He said he only got to see it when the Ministry was
responding to the audit query and discovered that it had many legal challenges and should not have
been signed in its current form.
Recommendation
The Controlling Officer is urged to ensure that all contracts are reviewed by the Legal Advisor and
Attorney General before they are signed by the Ministry to avoid a repeat of a similar situation,
failing which he will be charged with contempt of Parliament.
The Controlling Officer is urged to also monitor the performance of the Procurement Committee.
17.1.4 and 5 – Leasing vs Buying Considerations and Purchasing of Optional Extras Sharp
Digital Copiers – Cost savings of E2 734 017.36
He further noted that there was a letter from the supplier which purported to give full
ownership of 12 photocopiers to the DPM’s office without stating the effective date of the
ownership. However, there was no mention of the fate of the remaining nine (9) copiers.
The Controlling Officer is urged to properly maintain the machinery now that it has been handed
over to the Ministry.
56
Controlling Officer’s Response
The Controller Officer submitted that the supplier refunded government the overpayment on 19
June 2020.
Recommendation
The Controlling Officer is urged to put in place proper controls and submit a report in 30 days on
the control measures.
17.1.7 and 17.2 – Unauthorised Transfer (movement) of leased Sharp Digital Copiers and No
Record Keeping – E2 900 120.38
The Controlling Officer should ensure that the stores ledger is properly maintained.
57
(c) Missing uniform and protective clothing – E72 031.17
The Controlling Officer is urged to quarterly update the Hon. Committee on the investigations and
also ensure the proper management of these assets.
The Auditor General found that questionable payments amounting to E306 957.00 were
made from the OVC Fund to Ekukhanyeni High School in the following manner:
Students who were not assessed but had their school fees paid – E16 150.00
Unknown students who benefitted from the fund – E155 150.00
Examination fees paid for unknown students – E119 746.00
Overpayment made to examination Council – E15 911.00
NB: It transpired during hearing that the Principal who was implicated in this matter was charged
by the Ministry of Education and Training for misconduct but he passed away before his matter
was concluded.
Recommendation
The Controlling Officer is urged to report the matter to the Losses Committee within seven days
after adoption of this Report by the House and thereafter quarterly update the Hon. Committee on
progress, failing which he will be charged with contempt of Parliament.
58
19. MHUBHE HIGH SCHOOL
19.1 – 3
NB: It transpired during the hearing that the Headteacher who is implicated was on suspension.
The acting Principal informed the Hon. Committee he could not be of assistance to the PAC since
all the documents in both the Principal and Bursar’s offices were burnt down by pupils who were
rioting over some grievances at the school last year.
Recommendation
The Controlling Officer is urged quarterly update the Hon. Committee on progress on the recovery
of the funds once the substantive principal returns to work.
The Controlling Officer is urged to conduct reconciliations on time to prevent a repeat of such in
future, failing which he will be charged with contempt of Parliament.
59
21. NGCOSENI HIGH
21.1 – Pupils who were not recorded in the final payment voucher – examination fees –
E16 444.00
The Controlling Officer is urged to engage the Ministry of Education and the Examinations
Council with a view to get a reimbursement of the examination fees.
21.2 – Unknown pupils who benefitted from the OVC Fund – E5 000.00
The Principal informed the Hon. Committee that the pupils were enrolled at the school but said he
did not bring proof since he learnt of the appearance before the PAC in the 11th hour.
Recommendation
The Controlling Officer should submit proof on the existence of the pupils within seven days after
adoption of this Report by the Hon. House. Should the proof be not availed, he should recover the
money from the Headteacher, failing which he will be charged with contempt of Parliament.
60
21.3 – Overpayment of Examination Fees in Form 5 – E13 243.00
The Controlling Officer is urged to engage the Ministry of Education and the Examinations
Council with a view to recover the overpaid funds and thereafter submit a quarterly on progress.
The Controlling Officer is urged to conclude his internal investigations within 30 days after the
Report has been adopted by the Hon. House and thereafter quarterly update the Hon. Committee
on progress from the Losses Committee, failing which he will be charged with contempt of
Parliament.
61
FOREIGN AFFAIRS AND INTERNATIONAL CO-OPERATION – HEAD 07
Paragraphs 16.2.3 and 20.5– Expenses of Staff Houses in Kenya – E4 750 935.00
The Controlling Officer submitted that the sale of two houses in Kenya yielded E18 265 900.00,
which has since been transferred to the government account.
Regarding the last house that needs to be sold, the process to reconstruct the title deed had already
commenced but it was delayed by the outbreak of Covid 19 as officers from the Kenyan Land
Office are working from home.
Recommendation
The Controlling Officer is urged to follow up on the reconstruction of the title deed, thereafter
submit a quarterly progress report after adoption of this Report by the House, failing which he will
be charged with contempt of Parliament.
Paragraphs 14.2.2, 16.1 (c), 16.4, 18.6.4, 18.0.6, 18.0.9, 18.1.5, 18.5.1, 18.5.2, 18.5.5 –
Amendment of Chapter E
The Controlling Officer submitted that the Ministry has submitted its proposal to Cabinet and
awaiting Cabinet approval.
Recommendation
The former Ambassador claimed Foreign Service allowance from April 2004 to February
2005 (11 months) yet he was serving as the Minister of Justice and Constitutional Affairs.
The instrument appointing the former envoy as Minister of Justice and Constitutional
Affairs in 2003 did not state that he was entitled to the Foreign Service Allowance unlike the
gazette that appointed him as Chairman of the Constitutional Drafting Committee (CDC),
Clause 5 of the gazette, which entitled members of the Committee to retain their positions
and remuneration wherever they were employed prior to their appointment to the
Committee. This clause is not applicable to the appointment as Minister.
The Controlling Officer submitted that the matter is still pending before the Losses Committee.
Recommendation
The Auditor General found that the former Ambassador to Malaysia was paid a sum of E321
823.96 as Foreign Service Allowance while he had assumed duties as Principal Secretary in
the Ministry of Foreign Affairs and International Co-operation.
The Controlling Officer submitted that the matter is still pending before the Losses Committee.
Recommendation
The Controlling Officer is urged to give a quarterly update on the matter to the Hon. Committee.
63
30.0 Audit of the Swaziland High Commission in Maputo
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which he will charged with contempt of Parliament.
64
Controlling Officer’s Response
The Controlling Officer submitted that the houses were valued at US$400 000.00 (approximately
E6 million) but the highest offer received was US$300 000.00 (approximately E4 500 000.00).
The ministry is currently weighing its options on whether to take the offer or wait for a better offer.
Recommendation
The Controlling Officer is urged to accept the current offer and update the Hon. Committee within
30 days after adoption of this Report by the Hon. House, failing which he will be charged with
contempt of Parliament.
The Controlling Officer is urged to withdraw the matter from the Losses Committee within seven
days after adoption of this Report by the Hon. House and then recover the money immediately and
submit quarterly progress reports on payments to the Hon. Committee, failing which he will be
charged with contempt of Parliament.
65
Audit Inspection – London High Commission
30.5 (a and b) Overpayment of Salary and Foreign Service Allowance – Employment No.
39823272 – E64 999.74 and Vacation of High Commissioner’s Residence by the Housekeeper
Auditor General’s Findings
The Auditor General found that the Ambassador’s former Housekeeper was overpaid by
E64 999.74 yet she had stopped executing her duties at the Ambassador’s residence. The
money is in respect of salary arrears (E12 199.74) and Foreign Service Allowance
(E52 800.00). Apparently her salary had not been reinstated when her contract was renewed
and when she was required to report for duty, she disappeared. When she was called she
refused to show up unless her salary and Foreign Service Allowance arrears were paid. It
was then these monies were paid and included the period when she had disappeared, hence
the overpayment.
Controlling Officer’s Response
The Controlling Officer reported that the Attorney General has advised the Ministry that he can
only assist if he can be furnished with the former officer’s physical address, which is currently
unknown..
Recommendation
The Controlling Officer is charged E400 for allowing this situation to occur and the matter remains
reportable until it is resolved.
The Controlling Officer should update the Hon. Committee on the verdict of the Losses
Committee.
66
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2018
38. – Damaged Diplomatic Vehicle – High Commission of the Kingdom of Eswatini to South
Africa – E579 595.00
The Controlling Officer is urged to continue recovering the amount until it is fully settled and
quarterly submit updates on the repayment.
39.3. – Unauthorised use of Project Funds from Project Account – E1 158 353.55
67
40. Eswatini Consulate Office, Johannesburg
The Controlling Officer should quarterly update the Hon. Committee on recovery of the money,
failing which he will be charged with contempt of Parliament.
The Controlling Officer is urged to start recovering the money immediately and give quarterly
updates on the recovery process.
68
Controlling Officer’s Response
The Third Secretary appeared in person before the Hon. Committee and pleaded her case wherein
she stated that it was unfair for embassy staff to fork out money from their own pockets to pay for
these extras when other schools provide the extras as part of the school fees..
Recommendation
The Controlling Officer is urged to recover the money from the officer and submit quarterly
updates.
40.4. – Payment of Residential Telephone Bills in excess of allowable limit – E47 372.76
40.5, 40.6 and 40.7 – Unauthorised Departure from country of Accreditation and Undue
Foreign Service Allowance– E205 629.12
The Controlling Officer is urged to ensure that no one returns to Eswatini without written authority.
69
Recommendation
The Controlling Officer is urged to re-engage the CTA to conduct an assessment on whether it is
viable to fetch the vehicles or sell them in South Africa and submit quarterly reports on progress.
The Controlling Officer is urged to engage the relevant agencies with a view to get an adequate
budget for this item.
The Controlling Officer is urged to conduct reconciliations failing which he will be charged with
contempt of Parliament.
70
AUDITOR GENERAL’S COMPLIANCE AUDIT REPORT FOR THE
FINANCIAL YEAR ENDED 31ST MARCH 2019
The Controlling Officer is urged to recover the money and quarterly update the Hon. Committee
on progress.
The Controlling Officer is urged to continue engaging the central agencies on the possibility of
increasing the budget allocation and quarterly update the Hon. Committee on progress, failing
which he will be charged with contempt of Parliament. He is further fined E400 for spending funds
without authority.
71
23.3 – Inadequate budget provision for Travel, Transport and Communication
The Controlling Officer is urged to continue engaging the central agencies on the possibility of
increasing the budget allocation and quarterly update the Hon. Committee on progress, failing
which he will be charged with contempt of Parliament.
23.4 – Unauthorised usage of surplus funds for the 73rd United Nations General Assembly –
E3 706 796.38)
The Controlling Officer is fined E400 for overspending the funds without authority and is urged
to recover the funds and quarterly update the Hon. Committee on the recovery.
72
23.5 – Unauthorised subsistence allowance – E8 400.00
The Controlling Officer is fined E400.00 for paying the officer without authority and in future
should ensure that this does not happen again by giving the officers leave days in lieu of the days
worked.
23.6.1 and 2 – Unauthorised reimbursement claims for dental treatment and acquisition costs
of eye lenses or glasses – E39 928.10
He further noted that some officers were refunded for medical expenses, which had no
Doctor’s prescriptions, instead there were just till slips from pharmacies.
The Controlling Officer is urged to continue recovering the funds until the debt is fully settled and
quarterly update the Hon. Committee on progress, failing which he will be charged with contempt
of Parliament.
73
23.7 – Omitted transaction of uniform expenditure – E27 038.34
The Controlling Officer is fined E400 for failure to maintain records payable within seven days
after adoption of this Report by the House, failing which he will be charged with contempt of
Parliament.
The Controlling Officer is urged to continue engaging the central agencies on the provision of the
funds for the rehabilitation and maintenance of the houses and quarterly update the Hon.
Committee on progress
74
24. QATAR
The Controlling Officer is urged to monitor the use of the telephones in the missions and stick to
the current regulations on the use of phones.
24.2.1, 2 and 3 – Unauthorised reimbursement claims for dental treatment and DHL costs–
E120 812.36
The Auditor General reported that the Ambassador to Qatar was refunded a sum of
E111 126.00 for dental treatment, eye glasses, chiropractic services and personal DHL
services without authority.
He further reported that the Counsellor in Qatar was also refunded E9 686.32 for eye glasses
without authority.
These expenses were supposed to be incurred by the officers from their own pockets.
Controlling Officer’s Response
The Controlling Officer acknowledged the matter and said her office has written to the Embassy
staff concerned directing them to start paying the money.
The Ambassador appeared in person before the Hon. Committee and submitted that the embassy
staff in Qatar was not covered for medical insurance and therefore used cash to pay for medical
expenses. He submitted that he had been persistently asking the Ministry for a waiver of fees on
this matter since the year 2014 but that concern has still not been addressed.
Regarding the DHL charges, the Ambassador agreed that only two of the charges were for office
use.
75
Subsequent to the Ministry’s appearance before the PAC, the Ministry of Public Service issued a
waiver, which effectively cancelled the debts of the officers.
Recommendation
The Controlling Officer urged to ensure that staff in Missions abroad is covered under medical
insurance and quarterly update the Hon. Committee on progress.
25. WASHINGTON DC
25.1 – Salary paid to Office Attendant (Assistant Accountant) not as per contract
The Controlling Officer is urged to submit a report within 30 days on the investigations, failing
which he will be charged with contempt of Parliament.
76
Controlling Officer’s Response
The Controlling Officer submitted that the money was used to purchase new furniture for the
incoming Ambassador as the one used by the previous Ambassador was now old.
Recommendation
The Controlling Officer is fined E400.00 for using state funds without authority. The fine is
payable within seven days after adoption of this Report by the Hon. House, failing which he will
be charged with contempt of Parliament.
The Controlling Officer is urged to continue engaging the relevant authorities for an increased
budget.
The Controlling Officer is urged to engage the relevant authorities for an increased budget for
maintenance and rehabilitation of the houses.
77
Controlling Officer’s Response
The Controlling Officer submitted that none of the vehicles cited by the CTA were involved in
accidents but they were taken to the CTA for routine maintenance.
Recommendation
78
DEFENCE AND NATIONAL SECURITY – HEAD 08
The Auditor General reported that the Ministry of Defence overspent by over E26 million
on CTA vehicle charges.
The Controlling Officer submitted that, following the PAC Recommendation, a team was
established which worked with the CTA to solve the issue. The CTA acknowledged the
discrepancies but they could not be fixed in the government accounting system because the
financial year had already lapsed .
Recommendation
41.1- Non-staggering of salary for officers on long term study leave – E33 783.98
79
41.2- Salary Overpayment due to “Unpaid Leave of Absence” – E67 612.15
The Auditor General reported that the Ministry overspent by E158 684 950.13 on the
recurrent vote, which is made up of E125 432 129.80 for personnel costs and E33 252 820.33
CTA charges.
The Controlling Officer explained that, on personnel costs, the over expenditure was due to an
insufficient budget. Regarding the over expenditure on CTA charges, she listed a number of factors
such as:
Inadequate budget.
Government ministries fueling in army barracks during national events.
About 24 vehicles from the National Treasury which are fueled under the Ministry of
Defence.
Recommendation
The Auditor General reported that the Ministry had outstanding payments amounting to
E71 103 183.49 at the end of the financial year.
80
Controlling Officer’s Response
The Controlling Officer submitted that invoices amounting to E51 570 301.45 were paid in the last
month of the financial year and the rest of the invoices for the balance could not be located because
the information from Treasury had no invoice numbers or dates.
Recommendation
The Controlling Officer is urged to engage the Treasury Department on the matter and finalise it,
thereafter submit a progress report to the Hon. Committee, failing which he will be charged with
contempt of Parliament.
The Auditor General reported that the Ministry incurred costs amounting to E6 628 552.07
in respect of repairing accident damaged vehicles.
The Controlling Officer submitted that the Ministry’s records indicated that they incurred around
E3 165 970.17 worth of repair costs and not over E6 million as per the CTA report. She further
informed the Hon. Committee that some of the vehicles were taken to the CTA for routine
maintenance but they have since been billed for accidents which the Ministry is unaware of.
Recommendation
81
TINKHUNDLA ADMINISTRATION AND DEVELOPMENT – HEAD 09
The Controlling Officer reported that the matter is part-head and currently awaiting a trial date
before a new judge after the judge initially hearing the matter was appointed to the Supreme
Court.
The loss was also reported to the Losses Committee but a verdict has still not been issued.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. House on progress.
Paragraph 20.6.0 – 20.6.1: Ngudzeni Inkhundla - Plumbing Material Valued E63 520 –
Ntjanini High School
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which she will be charged with contempt of Parliament.
82
Paragraph 18.4 (c) and (d): Salary Overpayment – Dingizwe Bucopho (Community
Councillor) and Emoluments for Dingizwe Bucopho: Employment No. 99632454 – E93
846.03
Recommendation
The Controlling Officer is urged to continue searching for the officer and quarterly update the
Hon. Committee on progress.
The Auditor General discovered that there were outstanding loans in respect of the
Community Poverty Reduction Fund (CPRF) which were not paid back. She decried the
laxity demonstrated by the Controlling Officer in recovering the loans and that some of the
loans were not utilized for the intended purpose.
Regarding borrower 5010106100443, who owed a sum of E98 000, the Controlling Officer
disclosed that he has resolved to sell his homestead in order to pay the money. The borrower also
appeared before the Hon. Committee and confirmed the assertions by the Ministry.
Recommendation
The Controlling Officer is urged to recover the amount offered by the debtor and quarterly update
the Hon. Committee on progress.
83
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2015
The Auditor General found that some Swaziland National Court employees were not paying
rent in the government houses that they occupied. The houses are House No. PA 73 Bahloli
Location, House No. PA70 – Bahloli B Location and House No PA 141 – Bahloli Location.
The Controlling Officer submitted that the matter could not be heard in June 2019 as earlier stated
since the judicial officer handling the matter was transferred to Manzini. The matter will be
allocated a new Magistrate.
Recommendation
The Controlling Officer is urged to follow up the issue and quarterly update the Hon. PAC and
Auditor General on progress of the court case, failing which she will be charged with contempt of
Parliament.
The Auditor General found that there were vacant and vandalized houses at the
Mayiwane/Herefords RDA.
NB: The matter was referred to the Ministry of Agriculture since the houses belong to it. The
Controlling Officer from that Ministry submitted that the Ministry had requested a budget to fix
the houses but no funds were allocated.
Recommendation
The Controlling Officer (Ministry of Agriculture) is urged to continue submitting a budget request
to rehabilitate the houses and submit a quarterly update to the Hon. Committee.
84
Lomahasha Constituency
Purchase of Building Material for Mafucula Secondary School – E18 375.00
The matter has been fully implemented.
Shiselweni II Constituency
Abandoned Project – Gosheni Development Scheme – E90 182. 70
Auditor General’s Findings
The Auditor General found that material purchased for the construction of a bridge was
found lying idle, the project had been abandoned and cement bags worth E16 245.00 had
been spoilt.
Controlling Officer’s Response
The Controlling Officer submitted that the association has settled the money in full and Micro
Projects has been engaged to complete the project.
Recommendation
The Controlling Officer is commended for recovering the funds and she is urged to assist the
community complete the project and quarterly update the Hon. Committee on progress.
85
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2016
The Auditor General noted a number of irregularities regarding the disbursement of the
Fund. The Fund, which was established in the year 2009, was allocated E20 000 000.00 but
out of the E19 950 000.00 which had been disbursed, E16 174 108.52, had still not been paid
back as of March 31, 2016.
The borrowers were never encouraged to join insurance schemes, as per requirements of the
Fund’s Operational Manual, which would have compensated government in the event the
businesses collapsed or natural disasters occurred or the debtor passed away.
It was also discovered that about E3 000 000.00 of the money was allocated to civil servants,
some of whom were administrators of the Fund from the Ministry of Tinkhundla
Administration and this money had still not been paid back for over five years.
The Controlling Officer submitted that the Ministry has constantly reminded Tindvuna
teTinkhundla during their monthly meetings to remind borrowers of the CPRF on their obligations
to pay back the money.
She informed the Hon. Committee that when the Fund was established, it had a sum of E20 million
as capital and loans amounting to E18 million were disbursed. However, only E10 263 009.00 has
been recovered, mostly from civil servants as their loans are repaid directly from their salaries
through the Treasury Department. She disclosed that the rest were either not paying at all or paid
a few months and stopped. Those who were not paying told the Ministry that the money was not
a loan but a gift from the head of state. The balance for civil servants is E799 548.85 while non-
civil servants owe E10 101 487.00 (including interest accrual).
NB: The PAC held a special sitting where over 300 of the debtors appeared before the Hon.
Committee to explain themselves. After the sittings, they signed affidavits detailing when and how
they will repay the loans. Most have already started paying back and a sum of E48 493.00 had
been recovered at the time of reporting.
86
Recommendation
The Controlling Officer is urged to continue recovering the money and quarterly update the Hon.
Committee on progress. She should also continue looking for the other debtors who did not appear
before the Hon. Committee.
The Auditor General reported that the Ministry purchased fencing material worth
E170 129.27 from Lunkanka Investments but government was overcharged a sum of
E15 520.80 by the supplier.
The Controlling Officer submitted that the supplier disappeared after appearing before the PAC.
Police were engaged this time around and he was brought to Parliament where he made an
undertaking to settle the debt in monthly instalments of E1 000.00. Indeed, days three later he had
paid the first instalment.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
36. 1.2. – Short Delivery of Fencing Material for Lushikishini Chiefdom, Vulamafa Grazing
Land – E21 000.00
The Auditor General reported that the Ministry purchased fencing material worth
E71 370.00 from Nobsi Investments but did not deliver material worth E21 000.00
87
Controlling Officer’s Response
The supplier appeared before the Hon. Committee where he made an undertaking to settle the debt
in monthly instalments of E1 000.00. He made the first payment three days after appearing before
the PAC.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
The Auditor General reported that the above mentioned project was abandoned before
completion yet government purchased material worth E799 443.64 for it.
The Controlling Officer submitted that the matter has been reported to the Anti Corruption
Commission for investigations.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the
investigations.
While quantifying some of the material with the assistance of officers from the Ministry of
Natural Resources and Energy, the Auditor General found that material amounting to
E432 033.14 was missing.
88
Controlling Officer’s Response
The Controlling Officer submitted that the matter was reported to the Losses Committee but a
verdict has not yet been issued.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which she will be charged with contempt of Parliament.
38– Unauthorised Over Expenditure on Recurrent Vote – CTA charges (E3 628 832) and
Grants and Subsidies (E43 347 152.33)
The Auditor General reported that there were no rules governing the administration of this
Fund yet it is disbursing millions of Emalangeni.
The Controlling Officer submitted that the guidelines have been completed and are currently
awaiting Cabinet approval.
Recommendation
The Controlling Officer is urged to table the Regulations within three months after adoption of this
Report, failing which she will be charged with contempt of Parliament.
89
39.4. 1 to 3– Furniture Delivered Not in accordance with Specifications on Purchase Orders
The Auditor General reported that there was an over expenditure of E4 379 505.73 (194%)
incurred on CTA Vehicles Charges.
The Controlling Officer submitted that the budget allocation was inadequate. She stated that it only
covered fixed charges (long term hire and maintenance costs) but did not cover fuel costs. The
Ministry requested a supplementary budget but was not allocated.
Recommendation
The Controlling Officer is urged to continue requesting for an adequate budget from the central
agencies.
90
27. 2 - Under Expenditure on Recurrent Vote – E99,299,505.17
The Controlling Officer submitted that the under expenditure on capital projects was due to the
fact that government issued a Circular stopping capital projects due to cashflow challenges. For
grants and subsidies, the Ministry did not pay its subscription for medical aid for politicians
(Tindvuna Tetinkhundla and Bucopho), which was later corrected. On personnel costs, the money
was allocated to the Central Rural Development Department, which is no longer under the Ministry
but under the Ministry of Agriculture.
Recommendation
The Controlling Officer is urged to conduct reconciliations on time in order to detect such
anomalies early.
The Auditor General reported that there was over expenditure of E478,927.41 incurred on
Project G615/70 – Computerisation of Tinkhundla Centres
The Controlling Officer submitted that there was no over expenditure but there was a system error
which has since been corrected.
Recommendation
The Controlling Officer is again urged to conduct reconciliations on time in order to detect such
anomalies early.
91
29 – Outstanding Payments – Arrears at year end E57,338,415.70
The Auditor General reported that the Ministry had outstanding payments amounting to
E57,338,415.70 as at 31st March 2019.
The Controlling Officer submitted that the Ministry discovered that the Treasury Report contains
figures that are not accurate. For instance, under the submitted invoices there is a transaction
payment to the Examination Council of Eswatini amounting to E38,464,005.00 which they
believed was erroneously posted into their account. Therefore, the E43,078,327.00 should be
adjusted to E4,614,322.00. Further, under the invoices not submitted to Treasury there was an error
whereby invoice number 025003663 was captured in monetary terms hence it was recorded as
E25,003,663.00.
Recommendation
The Controlling Officer is urged to conduct reconciliations in time in order to detect such
anomalies early.
28.1.1 – Construction Defects in the kitchen facility and undelivered 5000 litres water tanks
– Ngwazini Primary School- E17,472.00
The Auditor General reported that a Contractor was hired to construct a kitchen facility
but it was found that the kitchen had construction defects that needed urgent attention. The
veranda was leaking and as a result the walls were being damaged by rains. There were also
four (4) three-legged pots amounting to E17,472.00 which were supplied and it was
discovered that one of them was leaking and unusable. A 5000 litres water tank was supposed
to be supplied but it was not.
92
Controlling Officer’s Response
The Controlling Officer submitted that all the defects and short supplies had been corrected and
acknowledged that in the past there was lack of monitoring, which has since been corrected.
Recommendation
The Controlling Officer is urged to upscale her monitoring efforts to prevent such from happening
again in the future.
The Auditor General reported that Government purchased 276 Secondary Single Desks with
shelves from Agile Sales and Suppliers at E159,804.00 but during a physical inspection of
the delivered desks at the above school, it was discovered that all 276 Secondary single desks
had no shelves.
The Controlling Officer submitted that the supplier delivered the correct desks which had shelves
as per the order but the school instructed the supplier to deliver desks which had no shelves without
the Ministry’s authorization.
Recommendation
The Controlling Officer is urged to engage recipients of material not to change specifications
without receiving authorisation from the Ministry first.
28.2.1 – Irregular supply of 5000 litre water tank instead of 10 000 litre water tank – Nain
Primary School
The Auditor General reported that during an audit inspection at Nain Primary School, he
discovered that a 5,000 litres water tank for storing water from a portable water system was
irregularly supplied instead of a 10,000 litres water tank.
93
Controlling Officer’s Response
The Controlling Officer submitted that the supplier delivered two 5000 litre water tanks at the
request of the school instead of one 10 000 litre tank. During the audit, he had delivered one tank
and the other one was delivered after the audit
Recommendation
The Controlling Officer is again urged to warn recipients against changing specifications without
the authorization of the Ministry, failing which she will be charged with contempt of Parliament.
28.2.2 – Fruitless purchase of mobile flushable toilets – Shiselweni Pastors Multipurpose Co-
operative - E100,335.42.
The Auditor General reported that the Shiselweni Pastors Multipurpose Cooperative was
supplied with six mobile flushable toilets costing E18,012.00 each yet they had
requisitioned six mobile pit toilets which were quoted at E1,289.43 each. Consequently, the
cost to Government was increased by a total amount of E100,335.42. During a physical
audit inspection, it was discovered that flushable toilets had never been utilised since
delivery. They were lying idle outdoors, under the hot scorching sun, accumulating dust
and thus being affected by all sorts of weather conditions. The reason forwarded for not
utilizing them was that they were unusable, not user friendly and not suitable for the
cooperative because it had no proper sanitation or waste vehicle.
The Controlling Officer submitted that the association requested these toilets as they were more
advanced yet when they were actually used, it was discovered that management of the toilets was
not easy since the co-operative needed to have a proper sanitation/waste vehicle, hence they
stopped using them.
She said the toilets have since been sold to the Ministry of Health.
Recommendation
The Controlling Officer is urged to assist the association to get the toilets that they had initially
ordered and also ensure that the Technical Officers who assist these associations give proper advice
to them at application stage.
94
28.3 MTFONGWANENI INKHUNDLA
The Auditor General reported that a spray race frame and jets which cost Government
E17,100.00 was not fitted in the spray house and hence the dip tank remained idle
and not benefitting the community. This was in spite of the fact that a total payment of
E26,917.96 had been made. Information gathered from the dip tank committee was that an
incorrect specification of the spray frame and jets was delivered and subsequently returned
to the supplier who promised to deliver the correct specification.
The Controlling Officer submitted that the supplier was engaged and he has since installed the
correct material and the farmers are now benefitting from the dip tank.
Recommendation
The Controlling Officer is urged to be more vigilant to ensure that the delivered items are those
ordered by the people.
The Auditor General reported that wrong specification of diamond mesh wire fence was
supplied and erected. According to the Ministry’s records, 36 rolls of 30m long, 1.8m high
2.5x75mm diamond mesh fence with a total cost of E51,129.00 were ordered but during the
inspection, it was observed that portions of the erected fence was 1.2m, 1.4m and 1.6m high
which was contrary to the 1.8m high specification that was ordered. Consequently,
Government was overcharged.
The Controlling Officer submitted that the supplier was engaged and has since delivered the
correct material.
95
Recommendation
The Controlling Officer is urged to upscale her monitoring.
28.5.1 – Supply of wrong specification of diamond mesh fence – Eric Rosenberg High School
- E100,793.70
The Auditor General reported that wrong specification of diamond mesh wire fence was
supplied and erected. According to the Ministry’s records, 63 rolls of 30m long, 1.8m high
2.5x75mm diamond mesh fence with a total cost of E100,793.70 were ordered, however
during the inspection, it was observed that portions of the erected fence was 1.4m and 1.6m
high which was contrary to the 1.8m high specification that was ordered. Consequently, the
Government was overcharged.
The Controlling Officer submitted that the supplier was engaged and he has since supplied the
correct specifications.
Recommendation
The Controlling Officer is urged to upscale her monitoring.
28.6.1 – Supply of wrong specification of diamond mesh fence – Bhunya Primary School
E24,225.00
The Auditor General reported that wrong specification of diamond mesh wire fence was
supplied and erected. According to the Ministry’s records, 17 rolls of 30m long, 1.8m high
2.5x75mm diamond mesh fence with a total cost of E24,225.00 were ordered but on
inspection, it was observed that portions of the erected fence were 1.4m and 1.6m high which
was contrary to the 1.8m high specification that was ordered. Consequently, the Government
was overcharged.
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Controlling Officer’s Response
The Controlling Officer submitted that the supplier was engaged and has since supplied the correct
specifications.
Recommendation
The Controlling Officer is urged to upscale her monitoring
The Auditor General reported that during the physical verification exercise, he noted that
most parts of the canvas tent were patched and seams were tearing, thus leading to doubts
on the quality of the tent. According to the cooperative’s members, the supplied tent was
of poor quality and the anomaly was reported to the Regional Project Officer (RPO),
however no action was taken to address their challenges. Consequently, the cooperative
was unable to generate income for two consecutive months. The size of the tent’s
centre/anchor poles was too small to carry the weight of the tent.
The Controlling Officer submitted that the defects noted by the Auditor General have since been
attended to.
Recommendation
The Controlling Officer is urged to upscale her monitoring
28.7.3 – Unauthorised exchange of mobile flushable toilet for mobile pit latrine toilet
E10,410.20
The Auditor General reported that the cooperative exchanged a mobile flushable toilet for
two mobile pit-latrine toilets without authority. Information gathered from the cooperative’s
members was that on receipt of the mobile flushable toilet, members of the cooperative
realised that the toilet would be expensive to utilize and maintain, since they had no
waste collection vehicle, hence they requested for the exchange. As a result of the
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unauthorized exchange, Government incurred a loss of E10,410.20, since the value of the
mobile flushable toilet was E21,500.00 yet the combined value of the two mobile pit-latrine
toilets was only E11,089.80.
The Controlling Officer submitted that the toilets were changed at the request of the association.
She further informed the Hon. Committee that when the Ministry asked the supplier to reimburse
government the overpaid amount, he revealed that the association had requested that he should
provide them with two steel tables in lieu of the balance.
Recommendation
The Controlling Officer is urged to ensure that associations do not make changes to specifications
without getting authority from the Ministry.
The Auditor General reported that members of the cooperative complained that the size of
the three (3) centre poles and tent pegs were too small to support the suppled tent.
Consequently, whenever the tent was erected, the ropes would loosen or get pulled off the
ground forcing it to fall. Furthermore, the canvas tent seams were wearing and tearing off,
thus implying that the quality of the tent was poor. Due to the above anomalies, the
cooperative members stated that when the tent is hired out they are forced to stay up the
entire night guarding the tent.
The Controlling Officer submitted that the supplier has been engaged and has rectified the defects.
Recommendation
The Controlling Officer is urged to upscale her monitoring.
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28.9- PROCUREMENT OF TRACTORS AND FARM IMPLEMENTS
The Auditor General noted the following anomalies and defects in the machinery supplied
under the above project:
Unusable trailer issued to Jerusalem Multipurpose co-operative- Kumethula
Inkhundla
Supply of medium duty instead of heavy duty trailer to Sukumani Mambatfo
Multipurposen Co-operative – Mahlangatsha Inkhundla
Solis 90/4 plat tractor with mechanical problems and idle six-tonne tipper heavy duty
trailer at Sabane Multipurpose Co-operative - Ntontozi Inkhundla
Broken 9 tyne coil shank cultivator – promised future multipurpose co-operative
society – Ndzingeni Inkhundla
Share beam plough supplied to Mkhovu Bethal Multipurpose co-operative with
factory fault - Timphisini Inkhundla
Non-utilised three walk behind tractors at Mkhovu Bethal multipurpose co-operative
– Timphisini Inkhundla
The Controlling Officer submitted that all the faults noted above have since been corrected by the
suppliers after being engaged by the Ministry.
Recommendation
The Controlling Officer is urged to upscale her monitoring.
The Auditor General reported that the Ministry incurred expenses amounting to
E339 507.59 in respect of repairing accident damaged vehicles.
The Controlling Officer submitted that the Ministry was only aware of four accidents under the
Ministry and these involved:
GSD 102 TI – the driver is paying back the money for the accident
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GSD 002 TI – it has been referred to the Attorney General to recover the debt of E15 295.
44 from the driver who hit the state vehicle
GSD 032 – the vehicle was knocked by a vehicle from the Treasury Department. Talks
are ongoing and
GSD 000 TI.- the vehicle was involved in an accident but was never fixed at CTA. The
Ministry has written a letter of demand from the owner of the vehicle that knocked the
Ministry’s car
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on the recovery.
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NATURAL RESOURCES AND ENERGY – HEAD 10
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2008
The Controlling Officer submitted that the officer was finally located and he paid a sum of E600.00
on 5 October 2019 leaving a balance of E532.22 and disappeared again. The office of the Attorney
General and Police informed the Ministry that, although they are still pursuing the matter, they
were concerned that the resources spent looking for the officer were more than the debt that he is
supposed to settle.
Recommendation
The Controlling Officer is urged to refer the debt to the Losses Committee on the basis of the
advice from the Attorney General and quarterly update the Hon. Committee on progress.
Paragraph 21.0: Irregular Salary Payment – Employment No. 39886743 – E230 000.00
The Controlling Officer submitted that the matter against the officer was recently concluded at the
Industrial Court in favour of government and she was dismissed from the civil service. The
Ministry has now embarked on the process of recovering the funds owed by the former employee.
However, she disputed the figures presented by the Ministry and claimed that there were days that
she went to work whenever she was not at school. However, the Ministry challenged her to provide
proof that she was indeed at work on the days she claimed to have been working since the Ministry
did not have a record to that effect but she could not.
Recommendation
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The Controlling Officer is urged to continue pursuing the matter of the recover and engage the
office of the Attorney General and submit quarterly reports on progress, failing which she will be
charged with contempt of Parliament.
The Controlling Officer explained that Officer. 6741042 who owed E31 363.53 paid back
E22 512.75 leaving a balance of E8 850.75 and thereafter stopped making payments. His case was
referred to the Attorney General and government won in court. A writ of execution for selling his
assets to recover the money was issued in court in March 2020 but he disappeared and it could not
be served on him.
Regarding Employee 6745888 who owes E45, 084.95, he has been located in the Western Cape in
South Africa and the office of the Attorney General is working towards serving him with a letter
of demand.
Recommendation
The Controlling Officer is advised to follow up the matter until the debts have been fully settled
and quarterly update the Hon. Committee.
The Controlling Officer submitted that the remaining balance is now E77 493.44 after the curator
of the Sigwane and Partners law firm made a payment on 30 April 2020.
The lawsuit for the payment of E37 832.25 against Malinga and Malinga Attorneys is still pending
in court while issue of the balance from the other attorney is waiting for the winding up of the
attorney’s estate (Shilubane) by the Master of the High Court after he passed away.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
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A. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2014
Paragraph 36.2 (a) Audit Inspection Deeds Registry – Irregular Use of Receipts – E355
979.87
Under Expenditure on Project W37099 – Feasibility Study – Mkhondvo and Mbuluzi Dams
– E3 836 140.35
The Auditor General reported that three employees who were housed by government at
Mnjoli Dam underpaid rent and as a result government was deprived revenue amounting to
E29 980.00
The Controlling Officer submitted that one of the officers has since passed away and the second
one has signed an acknowledgement of debt and has started paying. The Ministry is still
negotiating with the third officer.
Recommendation
The Controlling Officer is advised to follow up the matter to finality and submit a quarterly report
to the Hon. Committee.
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Outstanding Rent – Mnjoli Dam Section -E16 984.80 and Rural Water Department -
E4 754.00
The Auditor General found that Government is owed rent of around E16 984.80 by
employees at Mnjoli Dam Section and E4 754.00 under the Rural Water Department.
The Controlling Officer submitted that 12 officers have been found to be owing and two have
already settled their debts in full. Eight have acknowledged their debts (four of which have started
paying). Negotiations are ongoing with the last two officers.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. PAC Chairperson and the Auditor
General on the recovery, failing which she will be charged with contempt of Parliament.
The Auditor General found that a salary overpayment of E20 069.75 was made to
employment numbers 4165125 and 101932956.
The Controlling Officer submitted that the matter is pending before the Losses Committee.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress at the Losses
Committee, failing which she will be charged with contempt of Parliament.
The Auditor General found that a Public Health Engineer, employment number 3226973,
who was employed on permanent and pensionable basis at the Ministry of Natural Resources
and Energy on a gross annual salary of E246 228.96 was found to be receiving another salary
amounting to E360 000.00 annually from SWADE, which is 100% owned by government.
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Controlling Officer’s Response
The Controlling Officer submitted that the officer is continuing to pay back the money but the
Ministry has not been unable to increase the monthly repayment amount from E3 800.00 as per
the PAC Recommendation due to the fact any increase would have been above the statutory
allowable deductions from monthly salaries (33% maximum). The officer has, however, signed an
acknowledgement of debt form, giving the Ministry authority to recover the balance from his
pension should he exit the civil service before settling his debt in full.
Recommendation
The Controlling Officer is urged to ensure that the repayment does not lapse.
Although an amount of E300 000.00 was released for the Ethanol Blending Project, only
E142 466.49 was used resulting in an under expenditure of E157 533.51 (53%).
The Controlling Officer updated the Hon. Committee that the Petroleum Bill has been drafted and
submitted to the Attorney General and the PAC. However, the Ethanol Blending Project did not
receive any budget allocation in both the last financial year and the current one.
Recommendation
The Controlling Officer is urged to follow the matter to finality and quarterly update the Hon.
Committee on progress.
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(c) Unexplained Transfers – E35 820 907.39
Auditor General’s Findings
The Auditor General noted unexplained transfers in the Strategic Oil Reserve Fund without
supporting documentation authorising the transfers.
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry will now implement the provisions of the
Strategic Oil Reserve Fund Regulations of 2005.
She also disclosed that the Ministry has finally recovered the funds amounting to E35 820 907.39,
which were invested by the Ministry of Finance and they were repaid with an interest of
E1 077 571.41.
Recommendation
The Controlling Officer is commended for finally recovering the funds and is urged to adhere to
the Strategic Oil Reserve Fund Regulations, failing which she will be charged with contempt of
Parliament.
The Auditor General expressed concern that Regional Officers in the Rural Water Supply
Branch under the social section were remunerated more than their supervisors and head of
the regional offices, the Clerk of Works. The Clerk of Works is paid at C5 while the Social
Offices are paid at E2.
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Controlling Officer’s Response
The Controlling Officer submitted that the Ministry of Public Service, through its Management
Services Department) is currently seized with the matter.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which she will be charged with contempt of Parliament.
The Auditor General visited a number of water projects in different constituencies, which
he found to be either poorly constructed or not performing at full capacity. These were
Hhohho Natsani Water Project, Vitsi (Sigwe) Water Project, Nyakeni Water Poject,
Mahlandle Water Project, Mantjolo Water project, Ndunay’thini Water Project and
Elangeni Water Project.
Below are some of the defects found in the above mentioned projects:
(a) The slow sand filters used were of poor quality and not performing their purification
purpose
(b) Pipeline markers were not installed at the standard spacing of 200 metres per
pipeline.
(c) The catchment wall was constructed near a bend and as a result the water intake
catchment was found full of debris and blocked.
(d) An uphill distribution pipeline was assembled after a break pressure tank and was
unable to supply portable water to the communities situated beyond the break
pressure tank.
(e) There were cracks in the water reservoirs.
(f) Leakages.
There were also three (3) non-functioning projects at Efosini (Shiselweni), Timbutini
(Manzini) and Hlane (Lubombo).
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry has rehabilitated some of the water schemes
and it is in the process of soliciting funds to complete the rest.
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Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress in correcting
the anomalies.
The Auditor General reported that falsified documents were submitted to the Deeds Registry
with intent to underpay stamp duty due to government amounting to E467 500.00. This was
in respect of two properties worth E34 000 000.00 and E21 000 000.00 which were declared
as worth E2 000 000.00 and E1 000 000.00 respectively.
He further noted that the deeds in question did not have transfer duty certificates, which
serve as proof that transfer duty was paid. As a result, it could not be ascertained if the
transfer duty amounting to E3 296 000.00 had been paid.
Controlling Officer’s Response
The Controlling Officer submitted that the matter is still pending in court under High Court Case
No. 1501/17.
Recommendation
The Controlling Officer is urged to quarterly submit progress reports to the Hon. Committee.
The Auditor General reported that a support truck registered SG 164 NR was involved in
an accident on 6 April 2016, however the Ministry did not have records pertaining to the
accident such as a police report and an accident report form as well as an assessment of the
damage incurred.
It was also revealed that some of the documents, including the police report and accident
report form were completed six months after the accident, which was a day after the audit.
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Repairs to the truck cost government E211 035.65.
Controlling Officer’s Response
The Controlling Officer submitted that the matter was submitted to the Losses Committee where
it is pending.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress at the Losses
Committee.
The Auditor General reported that this loan was understated by the Treasury Department
by E12 281 729.05 when in actual fact, following confirmation from the Managing Director
at the Swaziland Water Services Corporation (SWSC), it was discovered that the outstanding
loan was E27 339 852. This amount includes the principal loan and accumulated interest.
Controlling Officer’s Response
The Controlling Officer submitted that the Eswatini Water Services Corporation was now paying
the loan and it has a balance of E19 308 540.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress regarding
the servicing of the loan.
The Auditor General reported that two companies, Afrison Oils (PTY) Ltd and Translec
(Pty) Ltd, had never remitted oil levies to government despite the fact that they had been
trading in fuel oil. The debts date as far back as June 2014 and have accumulated to
E2 035 750.78.
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Controlling Officer’s Response
The Controlling Officer submitted that the Attorney General served letters of demand on the
company directors but they did not respond. The Attorney General has since instituted a legal
claim in court.
Recommendation
The Controlling Officer is urged to follow up the matter with the office of the Attorney General
and quarterly update the PAC and Auditor General regarding progress.
The Auditor General reported that a sum of E420 000 000.00 was paid from the Fund and it
was established that the money was used to pay civil servants salaries. Government was
supposed to pay back the money at the rate of E100 000 000.00 a month but has still not done
so.
Controlling Officer’s Response
The Controlling Officer disclosed that the Ministry of Finance has submitted a payment plan for
the debt where it will pay E18 425 342.46 twice a year (June and December). When the Ministry
appeared before the PAC, the Ministry of Finance had already made two instalments (December
2019 and June 2020.
Recommendation
The Controlling Officer is urged to monitor the repayment and ensure that it does not lapse.
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E. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2018
44. Audit of Water Relief Special Fund
44.1 – Unauthorised Diversion of Funds – Construction of Movable Office – E1 781 250 .00
44.2 and 44.3– Unaccounted for Expenditure and Anomalies on Hospitality Payments
47. Under Expenditure on Project W37470 – Roll-out of Water Pumping System in Schools
– E4 664 196.09
48.1 and 2
The Auditor General reported that two oil companies, Translec (Pty) Ltd and Afrison (Pty)
Ltd owed government a combined sum of E2 210 334.99 in respect of oil levies and penalties,
which had not been paid since 2014.
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Controlling Officer’s response
The Controlling Officer submitted that the recovery of the money is pending in the office of the
Attorney General.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
The Auditor General noted the following anomalies regarding the fleet owned by the
Ministry of Natural Resources:
(a) Unlawful refueling of government vehicles
(b) Refueling of vehicles with stagnant mileage readings
(c) Inconsistent mileage recordings
(d) Vehicles not appearing in CTA system
Controlling Officer’s response
The Controlling Officer submitted that after the House Resolution, the Ministry met with the CTA
and the CTA requested for some time to conduct its own investigations. However, despite
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numerous reminders, the CTA did not give the Ministry any feedback until it appeared before the
PAC.
Recommendation
30 – Under Expenditure on Capital Project FO2686 – Strategic Oil Reserve Depot and
Project X46199 – Rehabilitation of DWA Laboratory
The Auditor General reported that there was an under expenditure on two Capital Projects
amounting to E18 824,645.72. The under expenditure on Project F02686 – Strategic Fuel
Reserve Depot was E16 271 106.18, and E2,553,539.54 on Project X46199 – Rehabilitation of
DWA Laboratory.
Controlling Officer’s response
The Controlling Officer submitted that, on Project F02686, the Ministry processed all payments
for the contractor but there were system errors when the Treasury effected payment. The Ministry
is working with the Treasury to ensure that all transactions are posted correctly on the government
accounting system.
Regarding Project X46199, she submitted that the amount had been allocated for the purchasing
of a standby power generator for the DWA Laboratory and the tender was awarded (by the Tender
Board) to AJ Electrical Company. However, there were then some changes to the tender evaluation
approval, which required that the tender be taken to Cabinet for final approval. Unfortunately,
there were delays with the approval from Cabinet until the financial year elapsed.
Recommendation
The Controlling Officer is urged to liaise with the Secretary to Cabinet and the Hon. Minister of
Natural Resources and Energy to follow up the matter in Cabinet and then submit a quarterly
update .
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31.1 – Over expenditure on recurrent vote
The Controlling Officer submitted that the budget for CTA charges was inadequate. She also
reported anomalies in the CTA charges. For instance, she reported that the Surveyor General
requested two vehicles from the CTA to conduct a project and at the end of the first month, the
CTA charged the Ministry E164 000.00 for one vehicle and E17 000.00 for the other vehicle.
Strangely, both vehicles were of the same model and were driven from Mbabane to the project site
on a daily basis and CTA could not explain the huge difference in the charges.
Regarding the personnel costs, she stated that the ex-gratia payment for the former Minister of
Natural Resources had not been budgeted for.
Recommendation
The Auditor General reported that the Ministry underspent the released budget by
E110,191.29 on Travel, Transport and Communication in the Administration, and
E117,665.22 on CTA Vehicle Charges in the Water Affairs Department
Controlling Officer’s response
The Controlling Officer submitted that the Ministry was in the process of transferring these
funds from this responsibility centre to the Administration Centre, however by the close of
the financial year 2018/2019, the funds had not been transferred, thus resulting to the under
expenditure.
Recommendation
The Controlling Officer is urged to conduct reconciliations on time, failing which she will be
charged with contempt of Parliament.
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32– Outstanding Payments – Arrears at year end
The Auditor General reported that the Ministry had outstanding payments amounting to
E265,612,446.41 as at 31st March 2019.
Controlling Officer’s response
The Controlling Officer submitted that the reflected arrears were as a result of re-issued invoices
both on recurrent and capital projects. The anomaly was corrected after reconciliations were done.
Recommendation
The Controlling Officer is urged to conduct reconciliations on time, failing which she will be
charged with contempt of Parliament
The Controlling Officer submitted that the amount released by the Ministry of Finance for CTA
charged had been exceeded but had not exceeded the appropriated budget. She further stated that
the CTA billing system was not up to date, hence it was difficult for the ministry to monitor
expenditure patterns.
With regard to the over expenditure on Personnel Costs, the Controlling Officer also
explained that the remuneration for members of the Minerals Management Board is budgeted
for under Item 041 - Mining Administration, however the salaries and allowances are charged
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under Item 01 – Personnel Costs. She said that this anomaly was reported to the Ministry of
Finance to correct it, but it was not corrected.
Recommendation
The Controlling Officer is urged to request a Responsibility Centre for salaries for the Land
Management Board and quarterly submit an update.
The Auditor General reported the Department had outstanding payments amounting to
E289,339.34 as at 31st March 2019, which were not submitted to the Treasury Department
for payment processing and reporting.
Controlling Officer’s response
The Controlling Officer submitted that the Ministry could not respond to the audit query due to
the fact that it could not locate the Memorandum from the Auditor General. In the meantime, the
Department has introduced a system for capturing invoices on arrival in order to monitor and
identify duplicated invoices so that they are not recaptured.
Recommendation
The Controlling Officer is urged to engage with the office of the Auditor General on the memo
and then respond to him within 30 days after adoption of this report by the Hon. House, failing
which she will be charged with contempt of Parliament.
The Auditor General reported that an employee with employment number 3928424 owed
government E30,150.00 for failing to finish an official Government Training under
unclear circumstances hence breaching an In-service Training Bonding Agreement between
the Officer and the Government. The officer had been granted authority to study at the
Institute of Development Management (IDM) towards attaining a two-year Advanced
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Diploma in Procurement and Supply Management from 6th August 2016 to 31st July 2018
on part-time basis. At the time of abandoning the training, E30,150.00 had already been
expended by Government towards meeting training costs.
Controlling Officer’s response
The Controlling Officer submitted that the Ministry attempted to recover the debt from the
employee but Treasury refused to deduct the debt from his salary based on the fact that the officer
had not signed an acknowledgement of debt form and the Ministry that should seek the casualty
for recovering the money is the Ministry of Public Service as it is the one that made the payment.
When the officer was engaged to sign the acknowledgement of debt, he refused to sign and said
he had valid reason for dropping out of school as he was suffering from depression at the time and
produced a doctor’s note as evidence.
Recommendation
The Controlling Officer is urged to recover the funds from the officer and quarterly update the
Hon. Committee on progress.
The Auditor General reported that the Ministry incurred costs in repairing accident
damaged vehicles amounting to E1,181,734.57 for vehicles registered under the Ministry
of Natural Resources and E565,830.34 for vehicles registered under the Geology, Surveys
and Mines Department.
Controlling Officer’s response
The Controlling Officer submitted that the Ministry noted a number of anomalies in the repair
costs such as vehicles not belonging to the ministry being charged as belonging to the Ministry
and vehicles that had never been involved in accidents being charged for accidents. The Ministry
then requested a meeting with the CTA to discuss the issue but the CTA never responded until the
Ministry appeared before the Hon. Committee.
Recommendation
117
AGRICULTURE – HEAD 20
The Controlling Officer submitted that Officers 2519954 and 6823287 have fully settled their debts
while Officer 9171503 is not co-operating. The Ministry has since engaged the office of the
Attorney General on the matter.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress regarding
officer 9171503.
The Auditor General communicated to the Controlling Officer that three officers were
overpaid salaries yet they were dismissed from the public service for unauthorized absence
from work.
Officer 3846131 who owed E20 497.23 was taken to court and the court ruled in the Ministry’s
favour. When the Ministry tried to attach his property it was unsuccessful. The former officer
appeared before the PAC and pleaded his case but he failed to convince the Hon. Committee why
the debt should be cancelled. The matter has since been referred to the Attorney General for advice.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
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Paragraph 37.2 – Non-Stoppage of Salary – Employment No. 3480528 – E488 241.49
The Auditor General’s findings revealed that an officer, employment number 3480528, was
overpaid a salary amounting to E488 241.49 yet she had stopped working in August 2003
after she had developed some ailment whilst pursuing her studies in Pretoria, South Africa.
The Controlling Officer submitted that the Ministry had completed computing the officer’s
pension. However, the officer is refusing to co-operate with the Ministry despite several attempts
to engage her and she does not want to listen to anything from the Ministry. She also refused to
submit certain documents to the Ministry related to her employment which the ministry needed to
forward to the Public Service Pension Fund for the processing of her benefits and retirement.
Recommendation
The Controlling Officer is urged continue engaging the officer and quarterly update the Hon.
Committee on progress.
The Auditor General found that an employee, employment number 9269255, was overpaid
E378 759.09 while on unauthorized study leave.
The Controlling Officer submitted that the officer initially paid his debt and stopped when he had
paid E12 000.00. He was summoned to appear before the PAC in 2019 where he explained that he
had stopped paying because he was unemployed but had since been employed by the University
of Eswatini and pledged to make monthly repayments of E5 000.00 until the debt is fully settled.
However, after his appearance he disappeared and the Ministry later learnt that the former officer
is now based in the Republic of China on Taiwan.
Recommendation
119
The Controlling Officer is urged to search for the officer and continue recovering the funds. He is
further urged to engage the University to find out if the officer is still employed by the institution.
50. Under Expenditure in Project A37299 – Water and Irrigation Development at Sigangeni,
Mpuluzi – E20 225 315.74
The Auditor General reported that the Ministry unduly paid salaries to officers on long term
study leave and those who exited the service through resignations as well as those who took
unpaid leave of absence.
(a) E115 129.20 – paid to four officers who were on long term study leave
(b) E18 060.66 – paid to two officers who had resigned
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(c) E127 234.00 – paid to 22 officers who were on unpaid leave of absence
The Controlling Officer submitted that all the officers, with the exception of one, had fully settled
their debts. The remaining officer (Employment No. 3576065) currently owes E9 873.24. but he
is paying back the money..
Recommendation
The Controlling Officer is urged to continue recovering the money from the owing officer and
quarterly update the Hon. Committee on the recovery of the owed funds.
The Auditor General reported that there was an over expenditure of E7,618,945.12 incurred
on CTA Vehicles Charges.
The Controlling Officer submitted that the over expenditure was caused by reallocation of funds
from this item to other items and the fact that the most of the fuel was charged under the Ministry’s
Administration instead of the respective centres which were drawing fuel.
Recommendation
The Controlling Officer is urged to ensure that officers from the Ministry draw fuel from the
correct centre, failing which he will be charged with contempt of Parliament.
The Auditor General reported under expenditures amounting to E3 942 210.37 incurred
by certain Responsibility Centres of the Ministry on CTA Vehicle Charges, Personnel Costs,
Travel, Transport and Communication, and Grants and Subsidies – External.
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Controlling Officer’s response
The Controlling Officer submitted that, under CTA charges, the under expenditure was due to the
fact that the current Minister of Agriculture decided against renting a vehicle for his official use.
On personnel costs, the Minister had still not engaged staff at the time while the 77% under
expenditure on travel was due to funds which had been reserved for the Minister’s travel, which
he ended up not undertaking.
Recommendation
The Controlling Officer is urged ensure that once the Minister starts using the official vehicle, the
Ministry should ensure that the expenditure is within limits.
The Auditor General reported that the Ministry had outstanding payments amounting to
E128,164,935.91 as at 31st March 2019.
Recommendation
The Controlling Officer submitted that the Ministry will continue recovering the debts and has
resolved that it will not extend further services to owing farmers until they settle their debts.
Recommendation
122
The Controlling Officer is urged to stop extending services to farmers before payment.
The Auditor General reported that an officer was allowed to resign from the civil service
while owing an outstanding Study Loan and overpayment of salary amounting to
E132,597.26 in relation to a Study Loan of E70,400.00 and salary overpayment of
E62,197.26.
The Controlling Officer submitted that the overpayment of salary has been fully recovered
through a deduction from pension contributions (E30, 185.78), cash payment through General
Receipt Number 09267104 (E28,580.00) and salary recalled of E3,443.00. On the outstanding
study loan of E70,400.00, the officer is paying back the money at the rate of E400.00 per month..
Recommendation
The Controlling Officer is commended for recovering part of the debt (overpayment of salary) and
he is urged to continue recovering the balance for the study loan and quarterly update the Hon.
Committee.
The Auditor General reported that three government institutional houses and land for the
Ministry of Agriculture were taken over by the traditional authorities of Mndobandoba area,
without authority from Government. It was gathered that the houses were in a dilapidated
condition which led to harbouring of thugs in the area, and subsequently the land and houses
were sold to an individual by authorities of the area. The individual has refurbished the
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land and the houses. At the time of the audit, one house was found to be occupied by
Mozambican Nationals working at the surrounding cane fields.
The Controlling Officer submitted that the Ministry has engaged the local authorities as well as
the Lubombo Regional Administrator on the matter and discussions are ongoing.
Recommendation
The Controlling Officer is urged to pursue the matter to its finality and quarterly update the Hon.
Committee on progress, failing which he will charged with contempt of Parliament.
The Auditor General reported that three two-bedroom government institutional houses
built at Maphobeni area were vandalized and were in a dilapidated state as a result of
poor supervision by the Ministry. The houses were reportedly taken over by the
authorities of Maphobeni community without authority from government. They are
alleged to be accommodating sugarcane cutters at the expense of government.
The Controlling Officer submitted that the houses at Maphobeni were also allocated by the same
traditional authorities of the area and the Ministry continues to engage the office of the Lubombo
Regional Administrator on the matter.
Recommendation
The Controlling Officer is urged to pursue the matter to its finality and quarterly update the Hon.
Committee on progress, failing which he will be charged with contempt of Parliament.
33.3 – Failure to register government houses in Regional and National Housing Register
The Auditor General reported that six government houses (two at Mndobandoba and four
at Maphobeni) did not appear in the Regional Register and National Register, which are
government asset registers. The Siphofaneni RDA Office only furnished the audit team with
an incomplete register, which did not reflect the house numbers required. In the absence
of the house numbers their traceability becomes impossible.
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Controlling Officer’s response
The Controlling Officer submitted that the Ministry will address the issue of the register.
Recommendation
The Controlling Officer is urged to register the houses within seven days after adoption of this
Report by the Hon. House, failing which he will be charged with contempt of Parliament.
The Auditor General reported that the Ministry incurred costs amounting to E1 435 343.97
in respect of repairing accident damaged vehicles.
The Controlling Officer submitted that the Ministry requested more time to engage with the CTA
and investigate the matter since there were a lot of inconsistencies in the CTA report regarding the
alleged accidents.
Recommendation
The Controlling Officer is urged to submit a progress report on the matter within 30 days after
adoption of this Report by the Hon. House, failing which he will be charged with contempt of
Parliament.
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ECONOMIC PLANNING AND DEVELOPMENT – HEAD 23
51. Under Expenditure on Project G60199 – Swaziland Household Income and Expenditure
Survey – E2 024 809.13
The Auditor General reported that two officers who were on study leave were overpaid their
salaries by E96 372.08 due to non-staggering of their salaries. Officer 9116188 who was
studying Japan was overpaid by E24 423.44 and Officer 7187203 who was studying in
Lesotho was overpaid by E71 948.64.
The Controlling Officer submitted that Officer 9116188 has settled his debt in full while Officer
was 7187203 was still paying back the money and has paid E29 576.00.
Recommendation
The Controlling Officer is urged to continue recovering the funds and quarterly update the Hon.
Committee on the recovery.
54.2 Fuel Charges and Maintenance Costs for Unserviceable Vehicles – E91 302.97
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54.4 Non-accountability for Fuel Expenditure – E1 153 957.70
The Auditor General reported that three (3) folding chairs, two tablets and a laptop worth
E54 182.60 could not be located during the audit.
The Controlling Officer submitted that the laptop has been recovered and so has been one of the
tablets (it had been taken by one officer who had undertaken a trip outside the country during the
audit). The other items had still not been recovered. He said the Ministry has since reported the
loss to the Losses Committee.
Recommendation
The Controlling Officer is urged quarterly update the Hon. Committee on the case pending with
the Losses Committee.
55. Under Expenditure on Project W37 570 – Water Sanitation for Nkhungwini, Mhlangeni
and Ntfonjeni
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56. Non-utilisation of Project Funds on Project G50999 – Poverty and Gender
Mainstreaming – E2 000 000.00
59.1 Ministry’s Capital Projects and Swaziland Local Government Projects wrongfully
accounted for under the Community Development Special Fund – E53 830 000.00
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AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR THE FINANCIAL YEAR
ENDED 31ST MARCH 2019
38.1 Non-utilisation of funds on Project G59999 – Multiple Indicator Cluster Survey (MICS)
– E1 530 266.00
The Auditor General that there was non-utilisation of capital project funds amounting to
E1,530,266.00, which were appropriated by Parliament.
The Controlling Officer submitted that the Ministry requested authority from the Ministry of
Public Service to conduct the MICS from November 2018 to February 2019. However, the
response granting the authority to conduct the MICS was received in February 2019, hence the
project could not be implemented in the requested period. The project finally commenced in
September 2019 and was completed in March 2020.
Recommendation
The Auditor General reported that there was under expenditure on four (4) Capital
Projects of the Ministry amounting to E82,229,931.16. These projects were G60999 –
Micro-Projects Infrastructure; G57599 – The Swaziland Agriculture Survey; G60599 –
Swaziland Population and Household Census; and G60199 – Swaziland Household
Income and Expenditure Survey.
The Controlling Officer submitted that the under expenditure on Project No. G60999 –
Infrastructure Development was caused by the fact that the Checking Department closed on 20 th
March 2019, which was earlier than usual and the request to disburse under an accrual was rejected
based on the provisions of the Public Finance Management Act, 2017.
With regard to Project G60199, the Controlling Officer stated that the finalisation, editing and
printing of the Swaziland Income and Expenditure Survey (SHIES) report took longer than
expected, hence the results were not disseminated in the financial year 2018/2019. He explained
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that the World Bank also assisted in conducting data processing and analysis workshop for the
MPI, hence Government funds were saved.
With reference to Project G60599, the Controlling Officer stated that the project funds were for
printing the thematic reports for the census, dissemination of these reports, procurement of
damaged and lost tablets belonging to Statistics South Africa that had been loaned to Central
Statistical Office for the data capture during the census, and allowances for officers that were
engaged in the census fieldwork. The tablets could not be procured as the office had been required
to submit a losses form to the Losses Committee, however, the committee was not in
existence during the financial year, hence the non-utilisation of the funds. Moreover, the printing
and dissemination of the thematic report for the census could not be undertaken because an
authority from Cabinet was not granted. The funds allocated to salaries and allowances could not
be utilised as some officers were classified as ineligible to receive an allowance for overtime.
Regarding Project G57599, the Controlling Officer explained that the Ministry had requested
for an authority from the Ministry of Public Services to conduct the EAAS from November 2018
to July 2019. However, the Ministry never got a response, hence the project was not implemented,
but the 20.93% of the funds was used for the preparation to start the project.
Recommendation
The Controlling Officer is urged to continue engaging the Ministry of Public Service on the early
signing of the authorities.
38.3 Over expenditure on Project W37570 – Water and Sanitation for Nkhungwini, Mhlange
The Auditor General reported that there was an over expenditure of E15,877,252.93,
incurred on Project W37570 – Water and Sanitation for Nkhungwini, Mhlange.
The Controlling Officer submitted that actual expenditure on project W37570 was
E15,718,455.39 and further mentioned that, additional funds were sourced locally from the
Community Development Special Fund. He explained that the reported over expenditure of
E15,877,252.93 was misstated by E158,797.54.
Recommendation
Since the Auditor General insists that the Government Accounting System still reflects actual
expenditure of E23,894,752.93 against the released funds of E8,017,500.00 yet the Ministry is
disputing this, the Controlling Officer is urged to meet the Auditor General and reconcile the
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discrepancies and thereafter submit a report to the Hon. Committee within 30 days after adoption
of this Report by the Hon. House, failing which he will be charged with contempt of Parliament.
The Auditor General reported that there were over expenditures amounting to
E6,093,309.42 on CTA Vehicle charges, Personnel Costs, and Professional and Special
Services.
The Controlling Officer stated that the Ministry had to attend at least four statutory external
meetings which were costly, hence the Ministry was forced to reallocate funds. The budget
allocation for external travel was only E821 478.00 yet the Ministry used a total of E3 020 747 00.
He further explained that CTA charges had a budget of E3 526 964.00 but only E1 695 415 00 was
released.
Recommendation
The Controlling Officer is urged to request a budget that will be enough to cater for all the
activities. He is further encouraged to establish effective controls on CTA charges.
The Auditor General reported that the Ministry had outstanding payments totaling E291
648,539.03 as at 31st March 2019.
The Controlling Officer submitted that the Ministry had cleared the arrears but for some reason
they had not been captured in the new system (Invoice Portal).
Recommendation
The Controlling Officer is urged to train his staff to be more familiar with the Invoice Portal.
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AUDITOR GENERAL’S COMPLIANCE AUDIT REPORT FOR THE FINANCIAL
YEAR ENDED 31ST MARCH 2019
The Auditor General reported that the Ministry incurred costs amounting to E242,265.23 in
respect of repairing accident damaged vehicles.
The Controlling Officer submitted that out of all the vehicles submitted, his Ministry only knew
of one which had been involved in an accident. He said some of the vehicles were taken to CTA
for routine maintenance but were classified as accidents while the Ministry also did not have some
of the cars in its register.
Recommendation
132
HOUSING AND URBAN DEVELOPMENT – HEAD 24
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST MARCH
2016
36.0 Non utilization of Project Funds on Project X20299 – Urban Development Project
The Auditor General found that an amount of E10 000 000.00 was approved for the project
and E49 000.00 was released. However, none of the funds were utilised
The Controlling Officer explained that the project was suspended in the 2018/19 financial year
due to cashflow challenges in government. A sum of E5 000 000.00 was allocated for the 2020/21
financial year but it is still awaiting Cabinet approval.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
The Auditor General noted an under expenditure of E6 200 000.00 on the above mentioned
project.
The Controlling Officer submitted that the project was suspended in the 2018/19 financial year
due to cashflow challenges in government. A sum of E5 000 000.00 was allocated for the 2020/21
financial year but it is still awaiting Cabinet approval.
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Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the project.
The Auditor General noted an under expenditure of E4 000 000.00 on the above mentioned
project.
The Controlling Officer submitted that this project has also been suspended, hence there is nothing
to report on.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the project
once it resumes.
The Auditor General noted an under expenditure of E6 200 000.00 on this project.
The Controlling Officer submitted that this is the same project cited in the 2017 and 2016 Audit
Reports for which the Ministry had no funds.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
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62. Unpaid Account Receivables – Outstanding Loan – E13 116 703.87
The Auditor General reported that the Swaziland National Housing Board had not been
repaying outstanding loans amounting to E13 116 703.87, which is made out of loans
extended to the Industrial Housing Corporation and the Swaziland National Housing Board.
The Controlling Officer submitted that he has requested the Ministry of Finance to write-off the
loan but there has not been a response yet.
Recommendation
The Controlling Officer is urged to provide proof within that the Housing Board is not making
profit and therefore failing to service the debt. If he fails, the Ministry should pay the debt.
The Auditor General reported that the Ministry overpaid two officers the sum of E88 557.08
while they had taken unpaid leave of absence to participate in the national elections.
The Controlling Officer submitted that one officer has settled his debt while the other one is still
paying.
Recommendation
The Controlling Officer is urged to continue recovering the money and update the Hon. Committee
on progress.
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AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR THE
FINANCIAL YEAR ENDED 31ST MARCH 2019
41.1 Non-utilisation of budget released funds on Project X50470 – Procurement of basic solid
waste management plant – E5 070 000.00
The Auditor General reported that there was non-utilisation of capital project funds,
amounting to E5,070,000.00, which were appropriated by Parliament. The entire amount
of budget released was not utilized.
The Controlling Officer submitted that there was an anomaly with the release of the funds as they
were erroneously released to CTA. The matter has since been corrected.
Recommendation
The Controlling Officer is urged to submit a comprehensive report on the financial status of the
project within 30 days after adoption of the Report by the House, failing which he will be charged
with contempt of Parliament.
41.2 Under Expenditure on Project X50770 – Manzini Autism Rehabilitation and Respite
Centre Rehabilitation, P34799 – Satellite Fire Stations and X50670 – Siteki Civic Centre
The Auditor General reported that there was an under expenditure on three Capital Projects
amounting to E1,738,619.57. The under expenditure on Project X50770 – Manzini Autism
Rehabilitation and Respite Centre Rehabilitation was E653,456.43, P34799 – Mobile
Satellite Fire Stations was E994,163.14, and E109,000.00 on Project X50670 – Siteki Civic
Centre.
The Controlling Officer submitted that all payments have been made for the Project X50770
Manzini Autism Centre, under a Special Account, and payment for this project was effected by
the Ministry of Economic Planning and Development following a request by the Ministry to
do so. The project is now complete and all payments have been made.
Regarding Project 347/99, Mobile Satellite Fire Stations, the Controlling Officer said only
E256,392.33 was requested for installation of electricity in Big Bend and Mankayane and this
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activity was undertaken, the balance was reverted to Treasury Department on account of a
Cabinet directive to freeze all capital expenditures due to financial challenges.
With reference to the Siteki Civic Centre Project, the Controlling Officer explained that the project
is complete and all payments have been made. Payment for this project was effected by the
Ministry of Economic Planning and Development following a request by the Ministry to do so.
Recommendation
Since the Auditor General was not satisfied with the responses as there was no documented proof
supporting the Ministry’s assertions, the Controlling Officer is urged to meet with the office of the
Auditor General and reconcile the anomalies and thereafter submit an update to the Hon.
Committee within 30 days after adoption of this Report by the Hon. House, failing which he will
be charged with contempt of Parliament,
The Auditor General noted an under expenditure of E2 941 599.62 on Personnel Costs.
The Controlling Officer attributed the under expenditure to vacant posts following the retirement
and passing away of some of the staff members.
Recommendation
The Controlling Officer is urged to apply for a waiver from Cabinet for the filling of the vacant
posts if they are critical.
The Auditor General reported that the Ministry had outstanding payments amounting to
E28,708,142.93 as at 31st March 2019.
The Controlling Officer submitted that during the financial year ended 2018/2019 the Ministry
managed to process almost all payments. With regards to un-submitted invoices and bills
amounting to E240,121.79, he stated that they managed to process all outstanding invoices and
bills, except for the few invoices that did not belong to the Ministry, amounting to E566,251.73.
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Recommendation
The Auditor General reported that there was an over expenditure of E5,921,637.89 on
CTA Vehicle Charges and E20,934,385.78 on Personnel Costs, which both amounted
to E26,846,996.67 over expenditure on Recurrent Vote.
The Controlling Officer submitted that initially the department was granted 105 personnel in the
financial year 2016/2017, which upon completion of their training, the personnel were transferred
to out-stations where they attracted housing allowance, 20% fireman allowance and overtime
allowance in line with the shift system, whereas there was no budget allocation of training positions
vs established posts. However, the situation is being normalized as, out of the 105 personnel, only
34 do not have posts. The Ministry has requested the filling of 34 existing posts and the creation
of 170 additional posts. So far, Cabinet has approved the filling of 26 posts which was approved
in March 2020.
The over expenditure of E5,912,637.89 on CTA Vehicle Charges was caused by the nature and
activities done, which depends on that particular incident attended and the extended
responsibilities given to the department, and specialised appliances for special equipment repairs
also uses fuel for the pumps to operate.
Recommendation
The Controlling Officer is urged to normalize the issue of the remaining eight officers who do not
have posts and quarterly update the Hon. Committee on progress, failing which he will be charged
with contempt of Parliament. He is further urged to put in place controls on the issue of CTA
charges.
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45 - Outstanding Payments – Arrears at year end: Fire and Emergency Services
Department
The Auditor General reported that that the Fire and Emergency Services Department had
outstanding payments amounting to E41,536.41 as at 31 March 2019.
The Controlling Officer submitted that there was a system error, otherwise the arrears had been
cleared and he produced evidence to support the fact.
Recommendation
The Auditor General reported that the Ministry incurred costs for repairing accident
damaged vehicles amounting to E1,153,838.73 comprising vehicles registered under the
Ministry of Housing and Urban Development (E124,011.19), and vehicles registered under
the Fire and Emergency Service (E1,029,827.54).
The Controlling Officer submitted that an investigation conducted by the Ministry revealed that
the vehicles were taken to the CTA for glass repairs and not accidents as stated by the CTA. He
further explained that GSD 031 HO, which was repaired for E100 071.19 was not involved in an
accident but the tipper fell off the vehicle due to a mechanical fault while it was delivering gravel.
Recommendation
139
COMMERCE, INDUSTRY AND TRADE – HEAD 29
The Auditor General reported that an employee who was a Cleaner in the Ministry stole a
computer in the Ministry of Labour and Social Security and was paid E64 870.29 in respect
of his salary while on suspension with pay yet he should have been suspended without pay as
per Section 3 (III) of the Theft and Kindred Offences Act of 1975. Raising eyebrows was that
it was the Controlling Officer who requested the Civil Service Commission to suspend the
officer with pay.
The Controlling Officer submitted that the matter of the loss is pending before the Losses
Committee.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which he will be charged with contempt of Parliament.
58. Audit of Capital Project M32899 – Construction of New Industrial Estate in Matsapha
Phase II
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The House Resolution was fully implemented.
The Auditor General noted that expenditure amounting to E72 056 609.28 was paid without
supporting documents which included a valuation of the work done. This valuation is
supposed to be signed off by the client’s (government) project manager after visiting the site
and checking that indeed the work has been carried out.
The Controlling Officer submitted that the Ministry wrote to the Ministry of Public Service and
requested the deployment of the Engineers who have been sitting idle for two years in the Ministry.
These Engineers had ill advised the Ministry on the project and took advantage of the fact that the
Ministry officials were not well versed on technical matters.
Recommendation
The Controlling Officer is urged to meet with the Ministry of Public Service and the Ministry of
Public Works and Transport to discuss the possibility of the Engineers being deployed to the
Ministry of Public Works and Transport and thereafter submit a report on the decision from
tripartite meeting within 30 days after adoption of this Report by the House, failing which he will
be charged with contempt of Parliament.
The Auditor General reported that assets worth E986 000.00 used by the contractor and
government during the project were supposed to revert back to government but ended up
being taken by the contractor. These assets included two vehicles, survey equipment and
office furniture, among other equipment.
The Controlling Officer submitted that the Ministry referred the matter to the office of the Attorney
General for recovery of the funds. However, the Attorney General found that the company has
since been liquidated.
Recommendation
141
The Controlling Officer is urged to submit quarterly updates on progress from the Attorney
General.
The Auditor General reported that the initial contract for the project was supposed to be
E2 507 468.03 but the price ended up shooting to E8 900 000.00 without being supported by
a bill of quantities. Despite this increase, there were defects in the project and other
irregularities, which included:
142
The Controlling Officer submitted that the matter is under Police investigations.
Recommendation
The Controlling Officer is urged to report the matter to the Auditor General who will conduct an
indepth investigation into the how the anomalies occurred.
The Auditor General reported an over expenditure on CTA Vehicle Charges amounting
to E3,914,626.17.
The Controlling Officer submitted that the released budget allocation for CTA is only 41.6 % of
the appropriated budget which is not enough for the fleet of the cars in the Ministry. He further
highlighted that the Department of Industry hosted an international consultant for the Agriculture
Value Chain, which required the Consultants to undertake extensive national consultations,
which resulted in increased CTA Vehicle Charges.
Recommendation
The Controlling Officer is urged to monitor the use of fuel in the Ministry’s vehicle.
The Auditor General reported an under expenditure amounting to E1,160,233.58 under the
recurrent vote.
The Controlling Officer explained that the Ministry was faced with a delay in obtaining Authority
to commit the funds which caused a delay in the procurement process. He mentioned that when
the Ministry finally obtained the Authority, it was almost the end of the financial year.
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Recommendation
The Controlling Officer is urged to start procurement processes early in order to prevent a repeat
of a similar occurrence.
47. – Under Expenditure on Capital Project M35599 – Rehabilitation of SEDCO Estates and
Head Offices and M35199 – Market Access and Trade Facilitation
The Auditor General reported that there was an under expenditure on two Capital
Projects amounting to E4,112,349.73, these being an under expenditure on Project M35599
– Rehabilitation of SEDCO Estates and Head Offices (E3,489,283.00) and E623,066.73 on
Project M35199 – Market Access and Trade Facilitation.
The Controlling Officer explained that, on project M35199, the under expenditure was due to a
delay in obtaining the Tender Authority for single source which was obtained on the 12th February
2019, whilst the Treasury Department also issued Circular 2 of 2018/2019 which informed
all departments about a closing date for the submission of invoices and that carried forward
of budgets would not be allowed.
On project M35599, he explained that the previous financial year, the Ministry had transferred all
funds to SEDCO for the project but when the Ministry wanted supporting documents for all the
work done at the end of the financial year, these were not availed. As a result, the Ministry decided
that, as a control measure, it will no longer transfer funds to SEDCO all at once, hence the under
expenditure
Recommendation
The Controlling Officer is commended for exercising control over public funds and is urged to
closely monitor the projects.
The Auditor General reported that the Ministry had outstanding payments amounting to
E22,488,286.34 as at 31st March 2019.
The Controlling Officer submitted that all payments were made and produced proof.
144
Recommendation
The Controlling Officer is urged to conduct reconciliations on time and report to the Accountant
General..
The Auditor General reported that the Consolidated Statement of Outstanding Revenue
as at 31st March 2019, shows irrecoverable debt amount of E6,836,093.20. These debts
are from the year ended 31st March 2016, and have been outstanding for a period of over
four (4) years.
The Controlling Officer submitted that the outstanding revenue is in respect of the arrears of
trading licences revenue which is paid by business owners but highlighted that many Eswatini
businesses are facing closure, hence they do not renew their licences. He further explained that the
Government system for revenue collection does not capture arrears thus payments for previous
years are recorded in the current financial year.
Recommendation
The Controlling Officer is urged to submit a breakdown of the outstanding recoveries within seven
days after adoption of this Report, failing which he will be charged with contempt of Parliament.
The Auditor General reported that an amount of E11,866,185.07 was collected and receipted
under Responsibility Centre number 1901, which ceased to exist in the Ministry since
2009/2010 financial year. This Responsibility Centre was used when the Ministry was called
the Ministry of Enterprise and Employment and was discontinued when it was transformed
to the Ministry of Commerce, Industry and Trade. The Ministry, however irregularly
continued to utilize the Centre for revenue collection despite the change.
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Controlling Officer’s Response
The Controlling Officer submitted that the revenue was collected through the Treasury Department
at their Revenue Stations and that his Ministry had since written to the Accountant General
again reminding her of the correct centres. He further stated that as a corrective measure, his
Ministry had also written Minutes to the different Departments in the Ministry notifying them of
the correct centres. He has further requested the Ministry of Finance to close the centre.
In the meantime, the Ministry prepares Journal Vouchers in order to reconcile money collected
through this centre and deposit it into the proper centre (2101).
Recommendation
The Controlling Officer is urged to follow up the matter with the Ministry of Finance and submit
a report to the Hon. Committee within 30 days after adoption of this Report by the Hon. House,
failing which he will be charged with contempt of Parliament.
The Auditor General reported that eleven (11) general receipts were missing from the
sequence number 7214101 to 7214200 and hence revenue collected through these receipts
remained unaccounted for. Moreover, these missing receipts did not appear in the
Government Accounting System.
The Controlling Officer submitted that his office had managed to obtain only five of the missing
receipts from the Treasury Department and said the Treasury promised to furnish the Ministry with
remaining six receipts
Recommendation
The Controlling Officer is urged to follow up the matter with the Treasury Department and submit
an update to the Hon. Committee within 30 days after adoption of this Report by the Hon. House,
failing which he will be charged with contempt of Parliament.
The Auditor General reported that an amount of E109,860.00 was collected using General
Receipts which were not issued by the Accountant General to the Ministry for revenue
collection in the financial year 2018/2019 and gathered from the Ministry’s Accounting
146
personnel that the General Receipts numbered 7020798, 7020799, 7020800 and 7037268
were wrongly captured in the Government Accounting System and receipt number 703723
was non-existent, hence the anomaly. However, documentary evidence substantiating this
assertion was not availed.
The Controlling Officer submitted that receipts with sequence 7020798, 7020799 and 7020800
were correctly captured in the government accounting system while receipt number 737268 was
wrongly captured at the Treasury Department. Receipt number 703723 was also wrongly captured
and the correct number is 70037295.
Recommendation
The Controlling Officer is urged to improve the capturing of information in order to avoid the
distortion of government accounts. He is further fined E400 for negligence.
37.4 – Inconsistencies in birth dates between source documents and government human
resource system
The Auditor General reported inconsistencies in the dates of birth provided by four
employees to government as well as their dates of birth in their birth certificates. The
inconsistencies are as follows:
The Controlling Officer stated that the dates of birth in the HR System, though different from the
dates of birth as per the officers’ birth certificates, were consistent with the dates of birth as given
at first engagement. He explained that, according to Government General Order No. A635 together
with the advice of the Attorney General, the acceptable date of birth is the one an officer provided
at first engagement.
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Regarding Employment numbers 4426042 and 4337571, the Controlling Officer stated that his
Ministry wrote memoranda to the Principal Secretary Ministry of Public Service requesting
the correction of their birth dates in the Human Resource System and the responses were that the
officers’ correct dates of birth should be 3rd April 1963 and 11th October 1960, respectively.
Recommendation
The Controlling Officer is urged to be vigilant in monitoring the dates of birth submitted by officers
and then adhere to the provisions of the Public Service Charter, as provided in the Public Service
Act of 2018, which states that a public officer who makes an oral or written affirmation of a
position that the public officer knows to be false shall be guilty of gross misconduct.
37.5.1 and 2 - Rent paid prior to allocation dates and allocation slips without occupation
dates
The Auditor General reported that, for some officers, rent deductions were commenced
before the allocation dates depicted in the occupant profile sheets and the house
allocation slips were not authorised by the Head of Department or the Ministry of Public
Service as per standard Government procedures. He further stated that some house
allocation forms for officers had no occupation dates, which made it difficult to ascertain
when rent deductions and house benefit taxes should have been commenced.
The Controlling Officer stated that it was the Ministry of Public Service who are privy to the
information as to when the officers occupied and vacated Government quarters since they are
the ones who allocate Government quarters to Civil Servants, especially since the cited officers
were allocated the houses while they were still employed in other Ministries.
Recommendation
While the Hon. Committee acknowledges that the officers were allocated the houses when they
were working for other Ministries, the Controlling Officer is still urged to be vigilant on
information that is provided in officers’ personal files and urged to ensure that everyone housed in
government quarters pays the requisite rent.
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37.6.1 to 37.10– Audit of the National Handicraft Training Centre
While auditing the National Handicraft Training Centre, the Auditor General reported the
following anomalies:
The Controlling Officer submitted that authority to reallocate the funds was obtained and explained
that the reason the records were not properly kept was that the Ministry did not have a Store keeper.
He revealed though that all the anomalies have since been corrected.
Recommendation
The Controlling Officer is urged to assign the Storekeeper duties to accounts personnel in the
absence of a storekeeper. He is further fined E400.00 for diverting the funds and flouting
procedure.
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The contractor was offered Phase II construction works contract despite inefficient
implementation of Phase I construction works contract.
The same contractor, LILAWU CONSTRUCTION was again not charged
penalties amounting E 114,000.00 for non-completion of construction works for
Phase II.
During the public hearing, it transpired that the SEDCO Managing Director (MD) did not involve
the Board in approving the project yet the law states that the Board should approve any capital
project above E5 million. The Ministry further stated that the Project Initiation Document was
developed and given to the MD but he denied knowledge of it.
It was further gathered that, despite the underperformance of the contractor, he was awarded the
Businessman of the Year award by SEDCO while still engaged by SEDCO to undertake the
rehabilitation exercise.
Regarding the penalties, the Controlling Officer submitted that the penalties for late completion
were eventually charged on 19 December 2019 and they amounted to E257 588.40.
Recommendation
The Controlling Officer is urged to facilitate the conducting of a forensic investigation into this
project and provide an update during the next PAC sitting.
The Auditor General reported that an officer with Employee Number 4803135 was overpaid
a sum of E12,575.60 due to non-staggering of salary.
The Controlling Officer submitted that the overpaid amount has been recovered in full from the
officer.
Recommendation
The Controlling Officer is commended for recovering the funds and is urged to be more vigilant
in future.
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42.1 – Non-recovered costs of repairing accident damaged vehicles - E339 505.59
The Auditor General reported that the Ministry incurred costs amounting to E339 505.59 in
respect of repairing accident damaged vehicles.
The Controlling Officer submitted that the Ministry has since reported the accidents to the Losses
Committee for final determination.
Recommendation
The Controling Officer is urged to quarterly update the Hon. Committee on progress.
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EDUCATION AND TRAINING – HEAD 30
AUDITOR GENERAL REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2012
Paragraph 23.0 (a), (b) and (c): Mlindazwe High School – Unaccounted for Variance –
E28 802.42
The Controlling Officer submitted that the matter is pending before the Nhlangano Magistrates
Court under Case No. 283/17 and awaiting a trial date.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
Paragraphs 23.2 and 23.3 (a): Salary Paid While Officer On Study Leave and Salary Paid
Beyond Study Leave – E299 318. 83
The Controlling Officer submitted that the Teacher is currently paying back a sum of
E1 548.00 per month towards the debt and is left with an outstanding balance of E162 131.23.
Recommendation
The Controlling Officer is advised to follow up the payment of the debt and apprise the Hon.
PAC Chairperson and Auditor General quarterly on progress, failing which he will be charged
with contempt of Parliament.
Paragraph 23.5 (c): Unaccounted for Variance and Paragraph 23.5 (d): Unsupported
Expenditure – E27 342.62 – Hillside Primary School
The Controlling Officer submitted that on 20 November 2019 an out of court settlement was
reached between the office of the Attorney General, the Anglican Church and their former
Grantee where the church agreed that it would settle the debt on behalf of the former Grantee.
The church has so far paid E11 000 with the balance remaining being E10 000.
Recommendation
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The Controlling Officer is urged to continue recovering the money and quarterly update the
Hon. Committee on progress..
The Controlling Officer disclosed that the officer was dismissed from the Teaching profession
and the issue of the recovery of the misappropriated funds was deliberated in court wherein
the court ruled in favour of the former Teacher. The judgement was to the effect that the
provisions of Section 32 (2) of the Retirement Funds Act, 2005 (allowing a Retirement Fund
to deduct any amount from a public officer’s benefits in respect of any debt other than in
respect of maintenance) are inconsistent with the provisions of Section 195 (6) of the
Constitution of Swaziland Act, 2005.
The Ministry appealed the judgement and the Supreme Court ruled in the officer’s favour. The
Ministry has since decided to institute civil proceedings against the former officer and recover
the debt from him.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
Paragraphs 68.0 - 68.10: Audit of Embeka Primary School – Unaccounted for School
Funds - E47 414.65
The Controlling Officer disclosed that the issue has been concluded before the Teaching
Service Commission but a judgement has still not been issued.
Recommendation
The Controlling Officer is urged to closely monitor progress of the case and quarterly update
the Hon. PAC Chairperson and the Auditor General after adoption of this report by the Hon.
House, failing which, he will be charged with contempt of Parliament.
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Paragraphs 71.0 & 71.11: St. Marks Primary School – Misappropriation of Funds
The Controlling Officer disclosed that the case of the former School Committee Chairman is
pending in court.
Regarding the former Headteacher, the Ministry submitted that the Attorney General advised
the Ministry that it would be difficult to recover the owed funds due to the fact that nobody has
been able to track the former Principal since no one knows his whereabouts or even the fact
that he is still alive or dead. Further, it would be costly to recover the monies from him in
Europe due to the charges there being in either Pounds or Euros.
Recommendations
The Controlling Officer is urged to follow progress of the court case against the former School
Committee Chairman and quarterly update the Hon. Committee.
Following the legal advice from the Attorney General, the Controlling Officer is urged to report
the issue of the former Headteacher to the Losses Committee and quarterly update the Hon.
Committee on the progress.
The Auditor General noted a number of financial irregularities at the school worth over E1
million. Below are some of the anomalies:
Various payments amounting to E414 636. 34 from the school’s account were made
to individuals and companies without supporting documents such as receipts and
invoices.
An amount of E12 875.00 was incurred in favour of cheques drawn in the name of the
headteacher without supporting documents.
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A total of E27 457.90 was paid to some teachers at the school for unexplained services
supposedly rendered by the Teachers but there were no supporting documents
validating the payments.
A sum of E33 570 was drawn in cheques for various school committee members
without a convincing reason.
A sum of E340 733 was paid to various suppliers and individuals without supporting
documents and procurement procedures were flouted. There were also uncertainties
on the payees, services and goods paid for, hence the authenticity of the payment is
not guaranteed.
The school incurred expenditure amounting to E898 071.19 which was not authorized
by the School Committee as per Schools Accounting Regulations and Procedures.
The Headteacher failed to collect outstanding school fees amounting to E88 943.70
He also purchased school books for pupils which were never used due to the fact that
they were out of syllabus.
A payment of E5 070.00 was made to the former School Chairman’s wife
Controlling Officer’s response
The Controlling Officer submitted that the cases of the former school principal and the former
School Chairperson’s wife are pending in court.
Recommendation
The Controlling Officer is urged to follow the court cases and quarterly update the Hon. Committee
on the progress.
Paragraph 41.7- Audit Inspection Fundukuwela High School – Rent Owed - E22 248.00
The Controlling Officer submitted that the issue of the disparities in rent paid by Teachers
occupying government houses, community built houses and company houses is now at the Joint
Negotiation Table being discussed between government and the workers’ representatives.
Recommendation
The Controlling Officer is urged to follow up the matter to finality and update the Hon. Committee
on the outcome.
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Paragraph 41.8 – Nkanyenzini Primary School – Misappropriation of Funds - E2 928 428.64
The Controlling Officer submitted that the Nkanyezini Primary School Principal was found guilty
by the Teaching Service Commission and was suspended for 24 months without pay for his
transgressions. The Ministry was supposed to start recovering the owed monies from his salary
once he resumed work but he passed away before returning to work. The matter has since been
referred to the Losses Committee where it is pending.
Recommendation
The Controlling Officer is urged to follow up the matter with the Losses Committee and quarterly
update the Hon. Committee on progress, failing which he will be charged with contempt of
Parliament.
The Controlling Officer submitted that the High Court ruled in favour of the former Headteacher.
Recommendation
The Controlling Officer is urged to report the matter to the Losses Committee and quarterly update
the Hon. Committee on progress.
The Auditor General found that there were officers owing rent amounting to E93 219.00 at
Emlalatini Development Centre.
The Controlling Officer submitted that the issue of the officer (5273823) who passed away before
she could finish paying back the money has been referred to the Losses Committee but a judgement
has not been issued.
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Officer 5273823 who was owing E26 539.00 has fully settled his debt and while Officer 2205270,
who was owing E31 286.00 is paying E625.72 a month and is left with a balance of E12 514.40.
Recommendation
The Controlling Officer is urged to continue with the recovery and make sure there are no lapses
and update the Hon. Committee on progress at the Losses Committee..
The following is the summary of the Auditor General’s concerns in the above cited school
with regard to allegedly mismanaged school funds:
Payments Made to the School Committee Chairperson (E13 845.00) and Deputy Principal
(E11 100.00)
The Auditor General found that payments amounting to E30 485.00 were made to the School
Committee Chairperson and the Deputy Principal allegedly to run school errands. However,
most of the cheque payments had no supporting documents. The Deputy Principal could not
provide supporting documents for E11 100 from a total amount of E12 590.00 made to him
while the School Committee Chairperson could not account for E13 845.00 from a payment
amounting to E17 895.00 made in his name.
The former Deputy Headteacher has fully settled his debt of E11 100.00 while the former School
Chairperson, who had a debt of E15 103.90 is left with a balance of E9 603.96.
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Recommendation
The Controlling Officer should continue monitoring the repayment from the former School
Committee Chairman until the debt is repaid in full.
The mysterious disappearance of official receipt books which were later replaced by
unofficial ones
Unsupported expenditure amounting to E214 198.31 which was made without any
form of supporting documents such as receipts and invoices.
Suppliers called Pockethailer Investments and Cornerstone Pharmacy, which were
owned by the same person, got privileges from the Principal. For instance, she was
paid a huge sum of money before delivery and some cheques were cashed in the names
of the directors. Other companies were not paid while cheques were cashed in their
names and monies withdrawn. For instance, Emavulane Transport is still owed an
amount of E25 000 for transporting pupils to a school trip in Durban yet there is a
cheque drawn the name of the company.
The Hon. Committee also observed favouritism of Pockethailer Investments and
Cornerstone Pharmacy as they would deal directly with the Principal who
unilaterally signed their cheques.
Sometimes payments to companies such as Pockethailer Investments were made
before items were delivered.
Signatures on delivery notes were forged.
The Principal failed to account for about E18 000.00 cash from cheques drawn in his
name and the change was not remitted to the school fund.
Some items were purchased for no visible use. For instance, the purchase of the pastel
software was a clear demonstration of this irregularity. The supplier, Zwemart
Investments, was supposed to deliver a software worth E17 395.12 but he only
delivered a software worth E7 395.12, which also did not function. He gladly accepted
the payment yet he had installed the wrong software.
One of the suppliers, Nokuvuyo Investments allegedly loaned the school money.
During her appearance before the Hon. Committee, although she admitted knowledge
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about the loan allegation, she denied having lent the school some money and claimed
to have supplied the school with dictionaries. However, all the Teachers from the
school, who appeared before the Hon. Committee, denied knowledge of the said
dictionaries. The Controlling Officer also revealed that it would have been improper
for the school to purchase the dictionaries since they are supplied by the Ministry of
Education.
The Principal would sometimes sign cheques on his own while schools were closed
and the accounts personnel only discovered the transactions when schools opened.
The Principal would also instruct the accounts personnel to process payments to
suppliers without supporting documents. When questioned, he would allegedly
threaten them and insist on processing the cheques.
The Principal refused to take instructions from the Ministry of Education. For
instance, he unilaterally charged top up fees and purchased stationery yet it was
supposed to be supplied by the Ministry of Education.
The Principal allegedly refused to report the case of missing cleaning material to the
police when it was reported to him by the Deputy Principal and said such things
happen.
The Principal allegedly bought electronic gadgets (Tablet and Laptop) for his
personal use using school funds
Controlling Officer’s Response
The Controlling Officer submitted that the former St Marks Primary School Principal was
dismissed from the Teaching Service on 30 August 2018 and the Attorney General is pursuing the
recovery of E520 452.73 which was misappropriated at the school during his tenure. He was also
arrested and charged with fraud.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on the recovery or the
money and the outcome of the court case.
The Auditor General found that Pockethailer Investments was paid E20 000 for cleaning
materials which were undelivered and Cornerstone Pharmacy was paid a sum of E7 000.00
for a medical aid kit supplies which were not delivered.
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Controlling Officer’s Response
The Controlling Officer submitted that the company only managed to pay E9 000.00 before it was
liquidated. The Ministry then engaged services of the office of the Attorney General and an out of
court settlement was reached that the company will pay E500 a month until the debt is fully settled.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on the recovery process.
The Auditor General found that the school purchased pastel software worth E17 395.12 from
Zwemart Investments but the supplier installed a software worth E7 000.00, which also did
not work.
The supplier has paid back E1 000.00 and undertook to settle the difference in three instalments.
However, he later disappeared before settling the debt. The Ministry has since referred the matter
to the office of the Attorney General who reported that the supplier is a fugitive from justice who
is being sought by the police and two warrants of arrest have been issued against him for two other
matters unrelated to the St Mark’s issue.
Recommendation
The Controlling Officer should quarterly update the Hon. Committee on the recovery process
The Auditor General found a number of financial irregularities at the school. Unfortunately,
the Principal passed away before appearing before the Hon. Committee. These irregularities
included:
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Operating an unauthorized bank account
Unauthorised Payments amounting to E410 574.32
An amount of E60 750.00 was found in the school’s Home Economics Bank Account
and it was allegedly deposited by the former Headteacher but there were no source
documents explaining where the funds came from.
School records revealed that between November 2013 and November 2014, the school
borrowed money from a certain lady amounting to E137 000.00 in various intervals
and repaid a sum of E177 000.00 without the authority of the School Committee. On
further perusal of the documents, it emerged that only E30 000 of the loan amount
was deposited into the school bank account.
Funds amounting to E224 000.00 were transferred from the school main account to
the Home Economics account, which was only operated by the School Principal and
Bursar without the knowledge of the School Committee.
The school paid a fuel bill of E166 751.53 for vehicles used by the Headteacher
An amount of E161 133.21 made up of E60 954.11 and E100 168.10 was paid from the
school’s main account and Home Economics accounts, respectively, without any
supporting documents and the services/goods paid for were unknown and
unaccounted for.
Various food items amounting to E35 560.98 were purchased by the school but there
was no record of such items at either the school kitchen or at the tuckshop, which
brought uncertainty about the items paid for
Controlling Officer’s Response
The Controlling Officer submitted that the Principal passed away before responding to the audit
queries and the Ministry sought legal advice from the Directorate of Public Prosecutions (DPP) on
what to do now that the Principal had passed away. The DPP said it could not pursue the matter in
court since the Principal had passed away.
The funds could not be recovered as well from his terminal benefits as he passed away on 14
August 2016 and the terminal benefits were paid out on 25 August 2016.
Following the PAC Recommendation, the matter was reported to the Losses Committee and the
Ministry appeared before the Committee on 3 September 2020 but a decision has not yet been
issued.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which he will be charged with contempt of Parliament.
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37.2 – Audit Inspection – Mafutseni Primary School – E309 026.00
The Controlling Officer submitted that the Audit was conducted after the Principal of this
school retired and uncovered a number of irregularities. The Headteacher was subsequently
reported to the police and he was criminally charged for the alleged theft of E309 026.00
worth of school funds. He is currently out on bail.
Controlling Officer’s Response
The matter is pending before the Manzini Magistrate’s Court.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the court
case.
The Auditor General reported that three teachers at the school were not paying rent and
their debts were as follows:
300247310 – E660.00
3726727 – E2 750.00
9750544 – E1 400.00
The Controlling Officer submitted that the Teachers were not paying the rent because the houses
they were occupying were dilapidated. However, Teachers 300247310 and 3726727 have fully
settled their debts while Teacher 9750544 has only paid E700.00 and the Ministry has sent a letter
of demand for the remaining balance..
Recommendation
162
The Controlling Officer is urged to recover the balance from the owing Teacher and also ensure
that the houses are fixed.
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Recommendation
The Controlling Officer, Ministry of Public Service, should facilitate a payroll audit to be
conducted by the Auditor General in the next financial year at the Teaching Service Commission.
51– Non-utilisation of funds on Project E42599 – Procurement of Teaching and Learning
Material for Special Education
Auditor General’s Findings
The Auditor General reported that there was non-utilisation of Capital Project Funds
amounting to E2,000,000.00, which were appropriated by Parliament.
Controlling Officer’s Response
The Controlling Officer submitted that the funds were released late and ended up being used the
following financial year.
Recommendation
The Controlling Officer is urged to start procurement processes on time in order to avoid a repeat
of such.
52– Outstanding Payments - E136,598,221.10
Auditor General’s Findings
The Auditor General noted that the Ministry had outstanding payments with a total
amount of E136,598,221.10 as at 31st March 2019.
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry has cleared the arrears.
Recommendation
The Controlling Officer should reconcile accounts on time.
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Auditor General’s Findings
The Auditor General reported that, according to the Government Human Resource System
HR090B01, there were 236 teachers that were employed by the Ministry of Education and
Training through the Teaching Service Commission, without authority during the period
from 1st August 2018 to 21st March 2019. Personnel expenditure of E31 848,994.00 was
incurred in respect of the unauthorised employment of the teachers. The recruitment of
these teachers was against Circular number 3 of 2018 which entailed freezing of vacant
posts and creation of new posts in all Government Ministries and Departments as at
1st August 2018.
He further observed that twenty-three posts were shared in various intervals starting from
21st July 1992 to 31st March 2020. As a result, invalid salary payments, excluding
allowances, amounting to E22,910,324.05 were incurred in respect of invalid post numbers.
As a result, 2018/2019 the Primary Education incurred an over expenditure of E87 950
990.00 and E236,203,492.64 was incurred in the Secondary Education. In the financial year
2019/2020, the Secondary Education overspent by E77,416,227.13. The budget appears
not to correspond with the actual number of teachers on the ground.
Lastly, the Auditor General noted that the Government Payroll System (Human Resource
System HR090B01 – Terminal, SE10) shows that there were permanently employed teachers
who either had no post numbers and/or posts which did not have corresponding post
codes. As such, from the audit sample, 18 teachers without post numbers and corresponding
employment post code were paid basic salaries amounting to E2,602,111.00, excluding
allowances, in the financial years 2018/2019 and 2019/2020
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry of Education had erroneously assumed that it
was exempted from following Circular No.3 of 2018 due to the fact that there was Establishment
Circular No. 9 of 2010 which had previously exempted the Ministry from the suspension of filling
vacant posts. However, after being alerted to the error, following the employment of the 236
Teachers, the Ministry then sought and got a waiver from Cabinet which normalised the
appointment of the Teachers.
On the sharing of posts and Teachers without post numbers, he said the Ministry of Public Service
was currently working on the issue.
NB: It was revealed through witnesses who appeared before the Hon. Committee during the public
hearing that this may have been the work of people with fraudulent intentions as some of the posts
were occupied but an officer at the Management Services Division (MSD) under the Ministry of
Public Service working together with officers from the Teaching Service Commission, would
temporarily remove the incumbents from their posts in order for the system to allow the hiring of
166
the new appointments. Once these new officers were in the system, the rightful occupiers of the
posts were then re-installed in their posts resulting the double payments.
One of the implicated officers from MSD confessed that she had removed some incumbents but
claimed that it was only for temporary posts. She further stated that posts could be shared by as
many as three officers if their qualifications do not permit them to permanently hold that positions
as their salary would be lower. She could not, however, explain how the over expenditure came
about if this was indeed the case.
An expert from the Computer Services Department also revealed that the system was manipulated
because it could not allow the sharing of posts but someone with access to the system had to
remove the incumbent officer first from the system before this unauthorised act could be
performed.
The anomalies noted by the Auditor General cost government approximately E458 932 138.13
Recommendation
The Controlling Officer, Ministry of Public Service, should facilitate a payroll audit to be
conducted by the Auditor General in the next financial year at the Teaching Service Commission
43.4– Unrecovered overpayments due to non-stoppage of salary E244,787.53
Auditor General’s Findings
The Auditor General reported that there were overpayments of salaries amounting to
E244,787.53 that were made to officers who had exited the public service due to either
resignation, retirement or death, but continued to receive their full salaries. The
overpayments were due to untimely stoppage of salaries.
Controlling Officer’s Response
The Controlling Officer submitted that out of the nine (9) cited officers, issues involving six of the
officers have since been resolved either through producing the relevant documentation and where
necessary payment of the overpaid salaries.
Regarding the three remaining officers:
Employee No. 39797571 was paid E14 150.51 – He was a Labourer and currently
unemployed but has indicated willingness to settle the debt once employed.
Employee No. 10191728 was paid –E26 169.98 – The officer is deceased.
Employee No. 6514082 was paid E6 956.20 – the former officer is reported to be in
Canada.
Recommendation
The Controlling Officer should recover the funds from the officers.
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43.5– Unrecovered outstanding debts from Teachers who exited the public service -
E442,306.71
Auditor General’s Findings
The Auditor General reported that there were unrecovered outstanding debts amounting
to E442,306.71 from seven officers who had already exited the public service, through
either resignation or death
Controlling Officer’s Response
The Controlling Officer submitted that one officer has settled his debt, another one died and
recoveries are ongoing from two officers while the other three have still not started paying the
debts due to various reasons. Their cases have been referred to the Attorney General.
Recommendation
The Controlling Officer is encouraged to recover the debts and is fined E400.00 for allowing the
anomalies to occur.
43.6 – Officers who exited the service without serving notice E254,316.48
Auditor General’s Findings
The Auditor General reported that an amount of E254,316.48 was owed to Government by
five officers who resigned from the Civil Service and exited without serving the required
three months’ notice or reduced notice period. The inspection of personal files revealed that
there was no authority for a lesser (reduced) period of notice from Ministry of Public Service.
Controlling Officer’s Response
The Controlling Officer submitted that:
one officer (Employee No. 2653075 who owes E62 061.00) has started paying at the rate
of E1 000.00 a month
Officer 8950435 who owes E62 061.00 actually owes E41 375.50 but has not yet started
repaying
Officer 9343502 who owes E46 884.00 is unemployed but has expressed willingness to
pay.
Officers 300488139 and 3004887743 who owe E41 655.24 each are both Zimbabwean
nationals who relocated to their country of birth without serving a notice.
Recommendation
The Controlling Officer is urged to recover the funds from the officers and submit quarterly
updates. He is further fined E400 for the anomaly.
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43.7.1 and 2– Unrecovered reimbursement due to breach of bonding agreements and
Abandonment of In-service Training E1,775,954.42
Auditor General’s Findings
The Auditor General reported that an amount of E1,775,954.42 was not recovered from
officers who had breached their bonding agreements and abandoned official in-service
trainings.
Controlling Officer’s Response
In his response the Controlling Officer promised to recover the amount of E296,932.00
from employee number 9343502. He also reported that employee number 8950435 absconded
from work having not paid back the amount of E744,750.00 and he was still tracing the
officer. However, he denied that employee number 2653075 was owing government the amount
E144,812.00. He reported that according to the Ministry’s documents the officer did not break
his bond agreement. The Officer was given a leave of absence from 10.09.2014 to 30.09.2016
and re-instated into payroll from 12th August 2016. The Officer resigned on the 13th December
2018 after compliance with Clause 6 of the Bonding Agreement.
Regarding 4780034 and 10094013 who abandoned in-service training, the Controlling Officer said
the former officer was still going to complete his studies while the latter has agreed to repay the
sum of E107 000 at the rate of E1 188.88 per month.
Recommendation
The Controlling Officer is urged to recover the funds from the officers who are liable and submit
a quarterly update.
43.8.1– Housed officer receiving housing allowance and not paying rent - E19,830.00
Auditor General’s Findings
The Auditor General that an officer with employment number 5244872 was not paying
housing rent while accommodated in a government quarter since September 2017 and
continued to receive a monthly housing allowance of E601.00. The officer received Housing
Allowance amounting to E18,030.00 for a period of 30 months and has rent arrears
amounting E1,800.00, as at 31st March 2020. As such the officer was overpaid a total amount
of E19,830.00.
Controlling Officer’s Response
The Controlling Officer submitted that the officer is paying back the money at the rate of E330.00
Recommendation
The Controlling Officer is urged to ensure the payment doesn’t lapse.
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43.8.2– Officer receiving housing allowance above entitlement threshhold - E8,879.39
Auditor General’s Findings
The Auditor General reported that an officer with employment number 3682854 was
receiving a monthly housing allowance of E811.03, which was above her entitlement
of E618.00, since June 2016. The housing allowance received by the officer was above the
normal threshold. As a result, an amount of E8,879.39 was unlawfully received by the officer
from June 2016 to 31st March 2020.
Controlling Officer’s Response
The Controlling Officer submitted that the housing allowance has been adjustment and the
recovery on the overpayment has commenced..
Recommendation
The Controlling Officer is urged to continue recovering the funds and is fined E400 for the
anomaly to occur.
43.9.1 to 5– Unlawfully paid allowances – E670 448.09
Auditor General’s Findings
The Auditor General officers noted that there were officers unlawfully paid Acting
Allowances amounting to E670,448.09. One officer was paid acting allowance for a
period for which she was on vacation leave, two officers claimed acting allowance for the
same post and for the same period, and while others claimed acting allowances for posts that
do not attract acting appointments. There were also officers whose instruments were issued
after they had already acted.
Controlling Officer’s Response
The Controlling Officer submitted that the officers did render their services during the periods
cited by the Auditor General and therefore were entitled to the payments.
Recommendation
The Controlling Officer is fined E400 for failure to follow procedure.
43.10 – Salaries paid to officers on suspension – E2 216 980.06
Auditor General’s Findings
The Auditor General reported that the Ministry has paid an amount of E2,216,979.76 in
respect of salaries to employees who have been suspended due to various offenses, as at
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March 2020, and their cases have not been resolved since 2014. The officers continued to
draw salaries from the public purse while not delivering any public service.
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry is still waiting for guidance from the Ministry
of Justice as per General Order A.910, which states that the Judicial Officer concerned with the
criminal proceedings shall ensure that the outcome is communicated.
Recommendation
The Controlling Officer is urged to follow the matter with the Ministry of Justice and
Constitutional Affairs.
43.11 – Non-confirmation of employment for officer on probation
Auditor General’s Findings
The Auditor General reported that an officer with employment number 3929645, who was
employed on 11st February 2004 on salary grade C5/01, was still on probation as at 31st
March 2020.
Controlling Officer’s Response
The Controlling Officer submitted that the officer resigned before she could be confirmed into the
position but continued drawing a salary until it was stopped in July 2020 after the audit because
she had simply been delinked from the civil service instead of having her salary stopped.
NB: The Hon. Committee assigned the Police to investigate the matter and it was discovered that
the officer indeed continued being paid until August 2020. However, she stopped withdrawing the
salary around the year 2011 when she relocated to South Africa. Further investigations by the
Police revealed that the salary paid from 2011 to date was E1 027 260.00, which was not
withdrawn. The money is being held by Standard Bank Matsapha.
Recommendation
The Controlling Officer is fined E400 for this anomaly and is urged to calculate how much the
officer was paid between 2004 and 2011 and then recover the funds. He is further urged to recover
the funds held by the bank in Matsapha.
43.12 – Missing personal file documents
Auditor General’s Findings
The Auditor General reported that there was essential information missing from files of some
of the officers. These include letters of appointment, birth certificates, posting letters, etc.
171
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry has requested all officers to submit the relevant
information for their files.
Recommendation
The Controlling Officer is urged to follow up the matter until all the files are submitted.
172
Recommendation
The Controlling Officer is fined E400.00 for failure to submit the documents.
44.1 – Non-recovered costs of repairing accident damaged vehicles
Auditor General’s Findings
The Auditor General reported that the Ministry incurred costs amounting to E1,707,955.81
in respect of costs for repairing accident damaged vehicles.
Controlling Officer’s Response
The Controlling Officer submitted that the Ministry is still waiting for a response from the CTA
as it discovered a number of anomalies in the charges such as cars not belonging to ministry being
charged under the Ministry of Education, alleged repairs being initiated by the CTA without the
knowledge and concurrence of the Controlling Officer and some vehicles were involved in
accidents while under the care of CTA.
Recommendation
See General Recommendation on CTA.
173
FINANCE – HEAD 34
Paragraph 27.6 (c) and (d): Audit Inspection – Revenue Collection – Mankayane Revenue
Office and Delayed Banking – E36 383.55
The Controlling Officer submitted that the ex-employee was served with summons and particulars
of claim for the sum of E19 212.38 on March 17, 2017. The matter is pending in court
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
174
F. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2015
Differences in External Debt Closing Balances on 31st March 2015 – E46 086 700.00
The Auditor General reported that the Swaziland Development and Savings Bank had
outstanding loans amounting to E476 027.31 as at 31 March 2017, which were repayable over
a period of 25 years but the repayments were not done.
The Controlling Officer submitted that the Ministry met with the bank where the issue of loans
given to it were discussed. While the bank acknowledged all the other loans presented by the
Ministry, they said they had no information relating to this particular loan as it is old, citing change
of personnel over the years and that some documents were burnt some years ago when the building
caught fire.
Recommendation
175
The Controlling Officer should report the debt to the Losses Committee and update the Hon.
Committee on progress.
The Auditor General found that under expenditure amounting to E12,416,881.32 was
incurred on Professional Services, Rentals, and Durables under the Ministry
Administration.
The Controlling Officer submitted that, under professional services, there was an allocation for
subscriptions to the World Bank which were not paid because the World Bank delayed submitting
the invoice. On rentals, the money was budgeted for paying rent at the Central Bank but the bank
delayed submitting invoices. Regarding the durables, the Ministry purchased laptops for senior
personnel in the Ministry but on delivery it was discovered that they were not according to
specifications. The payment was then reversed, hence the under expenditure.
Recommendation
The Controlling Officer is urged to respond to the Auditor General on time to avoid such matters
being reported.
176
54 – Outstanding payments
The Auditor General found that the Ministry had outstanding payments amounting to
E72,927,017.72 as at 31st March 2019.
The Controlling Officer submitted that the arrears were due to duplication of invoices due to the
fact that the Invoice Portal has just been launched and officers are still familiarizing themselves
with it.
Recommendation
The Controlling Officer is urged to train her staff on the invoice portal and also conduct timeous
reconciliations.
The Auditor General found that it is now a norm for Ministries, Departments and
Agencies to spend beyond the appropriated budget and/or on activities that have no budget
provision by Parliament, and to incur expenditure without seeking approval from the
relevant authorities. In the year under review, there was an over expenditure of
E1,130,181,076.00 incurred in excess of the recurrent expenditure released budget of
E15,284,926,429.00. Worse still was the incurring of unauthorised expenditure amounting
to E31,808,579.80, which was spent without following any budget line in the Estimates
Book. The Recurrent Operations reflects significant over expenditures incurred on CTA
Vehicles Charges of E279,893,045.46 (88%); Personnel Costs overspent by E822,383,332.60
(12%); Rentals including land, buildings and computer equipment overspent by
E10,411,337.85 (4%); and Public Debt overspent by E14,187,338.35 (2%).
177
31st March 2019, an amount of E602 196 943.46 was spent by the CTA without distinct
approved budget, appropriated by Parliament, in the Budget Estimates Book.
The Controlling Officer submitted that the funds for the enterprises are budgeted for and released
to their respective Ministries for disbursement to the enterprises; the Treasury Department
executes the budget on their behalf. As per section 104(a) of the PFM Act, 2017 the mandate of
auditing public enterprises lies with the Office of the Auditor General.
Regarding unauthorised expenditure, the Controlling Officer stated that budgetary control
enforcement is the responsibility of the Controlling Officers in the Ministries concerned,
since Warrants to incur expenditure are issued to them.
On deficiencies in budgetary controls and examples of no budget appropriation for the CTA
Operations, the Controlling Officer stated that CTA is a Public Enterprise and its budget is
prepared (undertaken) by the board of directors.
She further disclosed that two public enterprises (ESWADE and the Youth Enterprise Fund
submitted their audited financial statements on time while the University of Eswatini, Eswatini
Royal Insurance Corporation and Eswatini Youth Council submitted their statements after the
deadline.
Recommendation
178
TREASURY AND STORES – HEAD 35
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2016
The Controlling Officer submitted that government cannot access a grant funding from the World
Bank worth four million Euros because the grant agreement has not been finalized. Once finalized,
the grant agreement will run until December 2025.
Evaluations for potential suppliers of the programme were done but the Evaluation Committee
recommended that no contract be awarded. A team of officers was sent for benchmarking purposes
to countries where the programme had been used like Lesotho and Tanzania and it was found that
those governments no longer want to use the system because it has many challenges.
Recommendation
The Controlling Officer is urged to submit a comprehensive report on progress of the project and
a possible way forward in 30 days after adoption of this Report by the Hon. House, failing which
she will be charged with contempt.
The Controlling Officer stated that the Ministry has engaged the Ministry of Public Service to hire
extra-clerical staff to conduct reconciliations but no positive response has been received yet.
Recommendation
The Controlling Officer is urged to complete the reconciliation within the next two financial years,
failing which she will be charged with contempt of Parliament.
Recommendation
The Controlling Officer is urged to submit proof that the matter has been resolved effectively once
the reconciliation process has been concluded within the next six months.
180
72.3 – New Transactions Appearing on the Statement
The Controlling Officer submitted that the revenue amounting to E16 300 855.44 includes money
collected in respect of the scholarship recovery project by 31st March 2018 and boarded vehicles
sold at the CTA.
The scholarship funds were eventually transferred, as per the PAC Recommendation on 1 August
2019 and by that time they had accumulated an amount of E73 621 480.97. The Accountant
General’s office and the Ministry of Labour and Social Security have agreed that the funds should
be transferred annually.
Recommendation
The Controlling Officer is urged to ensure that the funds are transferred annually as per the
agreement, failing which she will be charged with contempt of Parliament.
181
Controlling Officer’s Response
Income Tax – Income Tax collected in 2018/19 was E334 million against a projection of E350
million. The target had been set with the hope that revenue collected would improve with the
approval to remove the tax exemption status of Swazi Bank, however this was not approved.
Pas As You Earn (PAYE) – PAYE collected amounted to E3.19 billion against a projection of
E3.29 billion. The projection was based on the assumption that there would be a cost of living
adjustment made to civil servants salaries but this did not happen.
Management fees – Management fees are paid by all companies that have franchises in the
country. A sum of E177 642 against a projection of E67 million was collected. The E67 million
was based on previous years collections. The Ministry is still investigating the low performance in
collections during the year under review.
Graded Tax- The collection was E1.28 million against a projection of E7.8 million. The projection
was based on the hope that Parliament, through the Finance Bill, would increase the rate of Graded
Tax but the increase was rejected by Parliament.
Property Rentals – This is income derived from the use of Mpophoma Conference Centre and
Somhlolo National Stadium. Government only collected E815 286 in rentals due to the fact that
Parliament did not approve the proposed increases in the Finance Bill.
Recommendation
Provide funding for the rehabilitation of the Malkerns Research Centre in order for
government to collect revenue through the leasing out of Mpophoma Conference Centre.
Provide the Auditor General with explanations on time on the reduction of revenue to avoid
these matters being reported yet the explanations are clear.
73 – Variances in Detailed Statement of Revenue and the Eswatini Revenue Authority (ERA)
Revenue Report
182
74.1 and 2 – Mistatement of Bank balances due to non-reconciliation and misstatement of
bank balance due to error
The Controlling Officer attributed the error to a backlog in reconciliation, which is still ongoing.
Recommendation
74.3 – Investment (Strategic Oil Reserve Fund) without Returns – E25 697 415.36
The Controlling Officer submitted that the funds are now invested in line with Legal Notice No.
75 of the Fuel Oil Levy Act of 1980. She revealed that the investment, after maturity, amounted
to E36 898 478.80 and was remitted to the Ministry of Natural Resources and Energy.
Recommendation
The Controlling Officer is commended for finally adhering to the law and remitting the funds to
the Ministry of Natural Resources and Energy.
77 – Unauthorised Exit from the Public Service – Employee 91255636 – E15 090.34
183
AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR FINANCIAL YEAR
ENDED 31ST MARCH 2019
The Controlling Officer submitted that Section 84(3) of the Public Finance Management Act, 2017
states that IPSAS will be adopted after the Minister for Finance has promulgated the move, which
he has still not done.
Recommendation
The Controlling Officer is urged to engage the Hon. Minister for Finance to begin the process for
the implementation of the PFM Act and quarterly update the Hon. Committee on progress, failing
which he she will be charged with contempt of Parliament.
The Controlling Officer stated that the Scholarship Recovery Loan collection amounting to
E60,668,148.06 held at Standard Bank and First National bank could not be recognized as revenue
184
since they are currently reporting on a cash basis, and revenue is recognised once it has been
received in the Government account. She disclosed though that the funds were eventually
transferred in the 2019/20 financial year.
Recommendation
The Controlling Officer is urged to transfer the funds to the government account annually as per
the arrangement.
The Auditor General noted a significant decline of E2,203,702,687.71 in the collection of some
revenue items was noted, while other revenue lines had nil collections despite being
active in revenue generation in previous years.
Controlling Officer’s Response
The Controlling Officer submitted that the revenue lines are under the control of the respective
Controlling Officers (Eswatini Revenue Authority as well as Ministries of Home Affairs, ICT and
Public Works) and the Ministry of Finance had no reason to doubt their authenticity.
Recommendation
The Controlling Officer is urged to provide timeous explanations to the Auditor General on
significant declines in revenue.
The Controlling Officer submitted that two of the accounts (Chinese Grant Investment and
Electronic Document and Record Management Systems) are still being reconciled.
185
Recommendation
The Controlling Officer should conclude the reconciliations within this financial year, failing
which she will be charged with contempt of Parliament.
The Controlling Officer explained that the I.M.F Special Drawing Right Account can either be an
asset or a liability in the books of account at Central Bank. As a result, the department receives a
fully audited financial statement from the institution showing the financial relationship between
I.M.F and the Government.
Recommendation
The Controlling Officer is urged to ensure that the Accountant General discloses all government
accounts in the financial statement.
The Controlling Officer stated that these balances had been reported as assets in the previous years
since they had bank balances until recently, where they had to be reclassified into liabilities due to
reconciliation backlog. They will be restated when fully reconciled.
186
Recommendation
The Controlling Officer is urged to conduct reconciliations timeously (before the close of each
financial year).
Recommendation
The Controlling Officer is urged to conduct reconciliations on time (before the close of each
financial year).
The Controlling Officer submitted that the account has since been reconciled.
Recommendation
The Controlling Officer submitted that that the accounts were being reconciled but there was a
challenge due to the unavailability of source documents.
Recommendation
The Controlling Officer submitted that reporting on arrears is a new concept which is incompatible
with the current reporting framework. She said the current financial management system was
meant for cash receipts and payments.
Recommendation
The Controlling Officer urged to engage Ministries on the new system (Invoice Portal) and report
the arrears in the accounting system, failing which she will be charged with contempt of
Parliament.
188
Controlling Officer’s Response
The Controlling Officer submitted that the Accountant General only accounts for all transactions
that have been captured into the government accounting system but the authority to spend is given
to Controlling Officers and they are accountable for those expenditures.
Recommendation
The Controlling Officer is urged to more vigilant and be accountable for the use of all public funds
as per the Public Finance Management Act.
The Controlling Officer submitted that the CTA Trading Account operates outside the structures
and regulations of a Trading Account since there are no limits and warrants to control the spending.
Recommendation
The Controlling Officer is urged to ensure that the CTA budget should be appropriated by
Parliament as from the next financial year.
189
The Controlling Officer submitted that the balances date back to more than 10 years ago and the
records are untraceable since the preservation of records is only five years. As a result, the Ministry
is considering reporting these debts to the Losses Committee.
Recommendation
The Controlling Officer is urged to report the irrecoverable revenue to the Losses Committee and
is further urged to ensure that future debts are properly recorded and reported.
The Controlling Officer submitted that the funds were not used because the budget allocation was
not enough to cater for the external transfer subscription.
Recommendation
The Controlling Officer is urged to ensure that all in future the department requests an adequate
budget for this activity.
The Controlling Officer explained that these arrears were in relation to medical referral for civil
servants. The invoices amounting to E5,231,383.25 were not paid due to insufficient budget
since the allocation was only E10 million, yet the outstanding payments amounting to
E1,235,235.26 are due to cash flow problems.
Recommendation
The Controlling Officer is urged to clear the debt as soon as possible to avoid a situation where
Emswati are denied medical assistance due to government debts.
190
AUDITOR GENERAL’S COMPLIANCE REPORT FOR FINANCIAL YEAR
ENDED 31ST MARCH 2019
The Controlling Officer stated that the Department is still investigating about the costs and facts
of the matter since some officers retired from service. She further mentioned that a memorandum
dated 27th January 2020 was forwarded to the General Transport Manager requesting police reports
to identify officers who were involved in the accidents and detailed breakdown of the costs so that
responsible officers can own the costs with no complaint, since they were not involved when the
vehicles were repaired but there was no response.
Recommendation
191
LABOUR AND SOCIAL SECURITY – HEAD 40
The Auditor General found that government paid twice for the same accident and a further
attempt was made to claim for the third time. On top that, the employee was paid a
Temporary Disability Compensation yet he did not suffer any temporary loss of earnings
since he continued earning his salary during the period of absence due to the injury.
Therefore, he was not entitled to compensation for loss of earnings.
The Controlling Officer submitted that the Police investigated the matter and found that there was
no act of fraud involved. The investigation has been closed.
Recommendation
192
AUDITOR GENERAL’S REPORT FOR FINANCIAL YEAR ENDED 31ST
MARCH 2018
80.3 Unlawful Payment of Housing Allowance and Defaulted House Rent – E4 965.00
193
80.9 – Hiring of Extra Clerical Officer to Perform duties of a suspended Localisation Officer
– E126 250.00
The Auditor General reported that there were over expenditures incurred on CTA Vehicle
Charges, and External Grants and Subsidies amounting to E3 438 568.85 under Recurrent
Vote.
The Controlling Officer submitted that the Ministry’s budget for CTA charges was inadequate yet
the Ministry performed a number of duties including conducting aptitude tests in pupils and
inspections in all workplaces.
On the grants and subsidies, he attributed the over expenditure to the exchange rate as the funds
are paid in Pounds.
Recommendation
The Auditor General reported that the Ministry had outstanding payments totalling to
E11 423 788.88 as at 31st March 2019.
The Controlling Officer submitted that the Ministry has been able to settle all the arrears.
Recommendation
The Auditor General reported about non-recovered costs incurred in repairing accident
damaged government vehicles registered under the Ministry of Labour and Social Security,
amounting to E442 540.65.
The Controlling Officer explained that the Ministry was in the process of submitting Loss Report
Forms to the Losses Committee for its recommendations to be implemented by the Ministry in
consultation with the office of the Attorney General.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress, failing
which he will be charged with contempt.
195
PUBLIC SERVICE – HEAD 41
A. AUDITOR GENERAL’S REPORT FOR FINANCIAL YEAR ENDED 31ST
MARCH 2015
(a) unlawful scholarships awarded to members of the public (E3 131 929.80)
(b) unlawful in-service scholarship awarded to school leavers (E1 756 634.17)
(c) scholarships awarded to public enterprises employees (E1 787 105.36)
There were also additional in-service scholarships amounting to E785 679.75 which were
awarded to some civil servants before they had served the mandatory period before they
could be eligible for another scholarship. Section 3 of the Government Training Policy
stipulates that an officer who has undertaken a long term training programme should return
and serve a minimum of two years before being considered for an additional scholarship.
196
It was further gathered that some of the beneficiaries did not complete the scholarship award
forms, which helps to provide details about the beneficiaries and some of the beneficiaries
did not sign bonding agreements with government. The bonding agreement is made to ensure
that government retains the officer’s newly acquired skill/expertise.
The Controlling Officer is urged continue recovering the money and update the Hon. Committee
quarterly on progress. He should seek the Attorney General’s assistance on those refusing to pay
the money.
The Controlling Officer is urged to continue recovering the money and continue looking for those
who disappeared with the assistance of the Police. He should refer the debts of those who died to
the Losses Committee
197
AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR FINANCIAL
YEAR ENDED 31ST MARCH 2019
The Controlling Officer should ensure that the accounts personnel are trained on the invoice portal.
198
INFORMATION, COMMUNICATION AND TECHNOLOGY – HEAD 43
The Auditor General reported that 20 executive desks, amounting to E219 600.00 were
purchased from PSD Investments. However, during a physical verification she discovered
that only four desks were delivered at the Manzini Library instead of 20. She further noted
that the delivery note was signed to acknowledge delivery yet the furniture was partly
delivered resulting in furniture amounting to E95 680.00 missing and untraceable.
The Controlling Officer stated that the matter is still under investigation by the relevant
government agencies (Anti Corruption Commission and the Royal Swaziland Police Fraud and
Commercial Crimes Unit).
The ACC informed the Ministry that investigations are ongoing but advised the Ministry to also
conduct its own internal investigations. The Police, on the other hand, informed the Ministry that
they have failed to trace the batch and original documents from the Treasury Department. In the
absence of these documents, the Directorate of Public Prosecutions said it could not prosecute the
case. The investigation remains open
The Ministry has encountered challenges trying to conduct internal investigations as most of the
officers who were around when the incident occurred are no longer employed by the Ministry.
Recommendation
The Controlling Officer is urged to report the matter to the Losses Committee and submit quarterly
updates to the Hon. Committee, failing which he will be charged with contempt of Parliament.
199
Auditor General’s findings
The Auditor General observed that the project underspent by E1 247 413.94
The Controlling Officer submitted that the pilot project was 98% complete and it covers the
following Ministries and departments: ICT, Cabinet, Police, Treasury and Internal Audit.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the project.
41.3 Under Expenditure on Project E38199 – Swaziland National Library and Bibliographic
Network – E1 039 510.80
The Auditor General noted an amount of E274 781.46 was reflected by the Ministry as
outstanding revenue for advertising fees yet Treasury records reflected that the outstanding
fees were E1 197 355.50.
Also, among the payments made, fees amounting to E588 765.64 were reflected as paid
through the Electronic Funds Transfer (EFT) system but there was no proof that these funds
were deposited into government account.
The Controlling Officer reported that his Ministry was actively recovering the outstanding revenue
and a balance of E60 954.71 is currently outstanding from the initial amount of E274 781.46. The
Ministry said it was engaging the implicated company to pay the money but the company insists
that it paid government.
Recommendation
The Controlling Officer is urged to continue recovering the funds and quarterly update the Hon.
Committee on progress. He is also urged to improve the reconciliation.
200
76.1 – Outstanding Loan of E2 588 775.31
The Auditor General reported an under expenditure of E5 944 778.89 under the above
mentioned project.
The Controlling Officer submitted that the pilot project was 98% complete covering the following
Ministries and departments: ICT, Cabinet, Police, Treasury and Internal Audit.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on the project’s progress.
201
86. – Unauthorised Resignation from the Civil Service – Employment No.3829027 –
E757 848.27
The Auditor General reported that an officer employed as a Senior Information Officer
under the Ministry exited the service without authority. The officer wrote a resignation letter
on 16 August 2018 but the resignation was denied due to the fact that she was still serving a
bonding agreement and was required to settle all outstanding debts due to government
before exiting the civil service. However, the officer went ahead and left the civil service. She
was supposed to serve her bonding agreement from March 2018 to February 2023.
The Controlling Officer submitted that the former officer, after her appearance before the PAC in
2019, made only four payments amounting to E28 000.00, thereafter she stopped. The Ministry
then decided to reinstate the legal proceedings against her which were withdrawn after she had
made the undertaking to pay before the PAC.
The officer appeared before the PAC against in 2020 and submitted that she was willing to use her
pension (about E60 000.00) to pay part of her debt and settle the rest through instalments.
However, she said she had a challenge because she believes the Ministry was overcharging her
since she had not studied for four years but had studied for three years after she was exempted
from studying one of the years as she had a certificate related to her field of study.
While acknowledging that this may be so, the Controlling Officer submitted that the officer had
not engaged them on the issue but she simply stopped paying and only approached them when
they were due to appear before the PAC. He explained that the issue of years of study was a policy
matter which could not be decided overnight. He emphasized that, as far as the current policy on
bonding agreements is concerned, the officer has to pay the money stated above.
Recommendation
202
Given that the Hon. Committee had given the officer another extension and she failed to stick to
it, the Controlling Officer is urged to reinstate the matter in court and give a quarterly update on
progress.
The Auditor General reported that there was non-utilisation of Capital Project Funds, on
two projects, amounting to E14,375,000.00, which were appropriated by Parliament.
The Controlling Officer acknowledged the Auditor General’s observation and submitted that the
Ministry has since established a system for reconciling donor funded projects.
Recommendation
The Auditor General noted under expenditures on two Capital Projects of the Ministry,
amounting to E 6,952,858.04. These Projects were G55799 - Development of a Document
Management System, and M34299 – Construction of IT Park.
The Controlling Officer submitted that the Ministry requested authority to commit the funds during
the first quarter of the 2018/19 financial year but it was not granted, hence the under expenditure.
Recommendation
The Controlling Officer is urged to engage the Ministry of Finance for the early release of funds.
203
70.1 – Unauthorised over expenditure on recurrent vote
The Auditor General reported that there were over expenditures amounting to
E7,485,059.32, incurred by the Ministry in various Responsibility Centres. The over
expenditure incurred on: CTA Vehicle Charges amounted to E4,624,392.56; personnel
Costs amounted to E1,796,919.62; Professional and Special Services amounted to
E687,666.00; and Travel, Transport and Communication amounted to E376,081.14.
The Controlling Officer submitted that the released budget was far below what the Ministry
requested. The over expenditure on Personnel Costs was caused by acting allowances that
were unbudgeted for. Further, some officials are paid under Administration instead of their
respective centres, where there is an allocated budget for the posts. He denied that there was
an over expenditure on Travel, Transport and Communication.
Recommendation
The Auditor General reported that there were under expenditures amounting to
E3,379,158.46, despite that the budget had been released to carry out activities in various
Responsibility Centres.
On CTA charges, the Controlling Officer explained that the under expenditure was due to the fact
that fuel costs for the Minister were charged under the Ministry’s administration instead of the
Minister’s office. The savings made under Travel, Transport and Communications were as a result
of invoices not submitted on time and some external trips either not being undertaken or being
sponsored.
Under durables, the budget had been set aside for procuring ebooks for the Department of Library
Services but due to the late release of funds, they were not purchased.
Recommendation
The Controlling Officer is urged to engage the Ministry of Finance for the early release of funds.
204
71 – Outstanding payments E229,947,773.54
The Auditor General stated that the Ministry had outstanding payments amounting to
E229,947,773.54 as at 31st March 2019.
The Controlling Officer submitted that the Ministry will ensure that all invoices are captured in
the invoice portal; keep close control on all its commitments within a reasonable time; and report
to Treasury Department all its outstanding debts at the end of the financial year.
Recommendation
The Controlling Officer is urged to train his staff on the invoice portal.
The Auditor General reported that an Officer under the Ministry whose employment
number is 39929158, was overpaid a total amount of E65,559.90. This was due to failure to
effect salary staggering and hence violating General Order A370(c) of the Eswatini
Government General Orders. The Officer had been granted authority for paid study leave
by the Ministry of Public Service to pursue a Bachelor of Arts Degree in Library and
Information Science at the University of Zululand, with effect from 18th January 2016 to 31st
December 2019.
The Controlling Officer submitted that the officer is paying back the money and has so far paid
E39 502.90 with an outstanding balance of E26 057.00.
Recommendation
The Controlling Officer is urged to continue recovering the funds until the debt is fully settled.
205
49.1,2 and 3 – Audit of salaries paid to ICT Director of Science and Technology –
E1 062 127.18
The Auditor General conducted an audit of salary payments made to an Officer whose
employment number is 3657405 and employed under pensionable terms as a Director
of Science and Technology in the Ministry of Information, Communication and
Technology and found that:
The Officer falsified the date of resumption of duty as a teacher at St Marks High
School after completing her Doctor of Philosophy in Chemistry at the University of
South Africa (UNISA). The Officer had been granted authority for extension of study
leave from 1st March 2009 to 1st October 2010 and her date of resumption of duty was
4th February 2011 yet according to border entry and exit records sourced from the
Ministry of Home Affairs, she was out of the country on that date, hence she could
not have been able to resume duty. The falsified resumption of duty document was
abnormally signed by both the School’s Principal and Regional Education Officer on
13th July 2012 which was 18 months after the purported resumption of duty.
undeserved salaries amounting to E851,181.18 were paid to the officer despite
that she was often out of the country without authority even on working days,
therefore making it impossible for her to duly execute her duties at her duty station.
Despite the fact that the Officer was often out of the country and therefore absent
from duty without authority, she was from time to time irregularly nominated for
external travel and paid subsistence allowances which cost E210,946.00. On certain
instances, she was not in the country on the Cabinet approved departure dates and
did not return on the approved return dates. It was therefore unclear as to how she
was able to sign the pre-required tour advance certificate, collect the tour advance
letter, and submit it to a bank for payment in her absence.
The Controlling Officer submitted that the Ministry wrote several letters to the officer regarding
her absence from duty but she never showed up to discuss the matter. In the end the Ministry
sought and was granted authority by the Civil Service Commission (CSC) to stop her salary
effective November 2019. This was meant to coerce her to come back to the country so that her
matter could be discussed but she did not. The ministry set up an internal committee to investigate
the matter but, after reading its Recommendations, the Attorney General advised that a new
Committee be set. The Ministry has duly done so.
206
The officer also appeared before the Hon. Committee where she claimed that she was willing to
return to the country but there were still outstanding issues that needed to be solved, even though
she did not specify them. She alleged that she was badly treated by officers from the Ministry of
Public Service when she returned home and ended up going back to South Africa where she has
been working at the University of Limpopo. She claimed to have been working on government
business during the day and her South African employers at night. She admitted that indeed she
undertook external trips and often asked her subordinates in the Ministry to facilitate her tour
advance. She claimed that, although government paid her a salary, she has never used that money
and it is still in the bank where it is paid.
The Controlling Officer explained that what the officer was doing was moonlighting (working for
two different employers at the same time), which is not allowed in government.
The Controlling Officer later submitted that the officer has been charged with absenteeism and
insubordination and the matter has been reported to the CSC.
Recommendation
The Controlling Officer is fined E400 for paying the officer while she did not come to work. He
should quarterly update the Hon. Committee on the outcome of the case from the CSC.
The Auditor General reported that the officer resigned from the Civil Service through a
letter dated 1st May 2019 and was allowed to leave the service before paying her
outstanding pre-service loan amounting to E22,339.53 and an outstanding in-service loan
of E464,526.51. He further reported that a letter signed by the Ministry’s acting Under
Secretary was sent to the Public Service Pension Fund directing it to pay the officer her
terminal benefits because she did not owe government yet she owed E464 526 51.
There was also falsified information in the officer’s file which indicated that she started
serving her notice in May 2019 until July 2019 yet other documents proved that she was no
longer with the Ministry during this time. One of these documents was her letter of
appointment from her current employers, the University of Swaziland, which stated that she
was expected to assume her new duties on 1 July 2019 yet the Ministry claims she was serving
notice during that period. As a result the officer was paid a salary of E27,252.08 for the
month of July 2019 yet she was already working for her new employer.
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Controlling Officer’s response
While acknowledging the officer’s debt, the Controlling Officer insisted that the officer had served
her notice for the full three months as required by government regulations. He, however, said he
did not know about the arrangements she made with her new employer regarding her starting date
at her new place of employment. He said there was no mechanism in government to prove that the
officer was indeed at her work station during the notice period.
The officer also appeared before the Hon. Committee and concurred with the Controlling Officer
that she indeed served her notice. She said she was willing to pay the debt and had already paid
E22 000.00 towards the debt and is currently paying E2 000.00 a month.
Recommendation
The Controlling Officer is urged to recover the funds and ensure that the collection does not lapse.
The Auditor General reported that when examining the proof of payments for debt
recoveries from employees formerly employed under the Ministry of Information,
Communication and Technology, he observed that recoveries amounting to E25,000.00 were
deposited into an unknown account whose purpose was also unknown. There was no
evidence in the form of a Government Receipt to substantiate that the recoveries were
received and receipted into the appropriate Government account.
The Controlling Officer submitted that the payments are known to the Ministry and the account
number used was given to it by the Treasury Department while proof of payment is sent to the
Ministry of Public Service.
Recommendation
The Auditor General noted that entries made under deductions in the Government
Accounting System in respect of deductions towards the repayment of an officer’s
E442,186.98 debt for breaching a training bond agreement with Government, were
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misleading. The entries made in the system falsely indicated that E385,927.98 was
recovered from a principal amount of E420,186.98. Furthermore, the balance was not
indicated hence giving the impression that there was no balance. According to evidence
gathered during the audit, the principal amount was supposed to be E442,186.98 and
the only repayment received from the Officer was E22,000.00 leaving a balance of
E420,186.98.
The Controlling Officer submitted that this was an error which has since been corrected.
Recommendation
The Controlling Officer is fined E400.00 for allowing the anomaly to occur, payable within seven
days after adoption of the Report.
The Auditor General reported about non-recovered costs incurred in repairing accident
damaged government vehicles registered under the Ministry of ICT, amounting to E158 926
23.
The Controlling Officer submitted that Ministry only knew of three vehicles which were involved
in accidents and the rest were only taken to the CTA for routine maintenance. There was another
vehicle registered GSD 003 IA, which the Controlling Officer said does not belong to the Ministry
but was charged under ICT.
Recommendation
The Controlling Officer is urged to recover the funds from those found liable.
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ELECTIONS AND BOUNDARIES COMMISSION – HEAD 44
The Auditor General reported that the Elections and Boundaries Commission had
outstanding payments amounting to E24,875,357.10 as at 31st March 2019.
The Controlling Officer submitted that the arrears were eventually cleared in the next financial
year.
Recommendation
The Auditor General reported about non-recovered costs incurred in repairing accident
damaged government vehicles registered under Elections and Boundaries Commission
(EBC), amounting to E229,046.90.
The Controlling Officer submitted that the Commission was unaware of some of the accidents
while some of the listed vehicles either did not belong to the Commission or they had been
borrowed by other Ministries when the accidents occurred. Some of the vehicles were taken from
the EBC and given to the King’s Office in the year 2015 but still bear the “EC” registration number
and fuel under the EBC vote. In 2017, the EBC wrote to the CTA requesting it to change the
registration but this has still not been done to date.
Recommendation
210
The Controlling Officer is urged to recover the vehicles from his department which are in other
Ministries/Department.
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HEALTH – HEAD 45
Paragraph 32.0.6: Penalty Payment of E676, 000.00 at Santa Lucia Funeral Services
The Controlling Officer submitted that the matter was referred to the office of the Attorney General
who discovered that the company offices were closed. A letter of demand was served on the
company Director but he disappeared after receiving it.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
The Controlling Officer disclosed that the officer repaying the debt at the rate of E1 516.50 and is
left with a balance of E29 199.35.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the
repayment.
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AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2012
Paragraphs 28.0 (a), (b) and Paragraph 28.1: Audit Inspection – Piggs Peak Government
Hospital – Unexplained Cash Surplus and Illegal Hospital Tickets and (c) and (d): Cash
Shortage and Unexplained Cash – E88 530.00
The Auditor General found an amount of E9 980.00 consisting of illegal and forged tickets,
which had no logical sequence but ranged from 671034 to 67998, which were sold to the
public at E10 per ticket. These tickets were neither issued by the Pigg’s Peak Revenue Office
nor the Government Stores Department.
The Auditor General further found a revenue shortage of E78 550.00, which resulted from
the sale of tickets, whose proceeds could not be accounted for and there was no evidence of
their banking.
The Controlling Officer disclosed that the officer implicated in the matter passed away in 2018.
The death occurred before the Ministry could recover the money from the officer. The matter has
since been reported to the Losses Committee where it is pending.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress and also
ensure that there controls in the collection of funds.
The Controlling Officer submitted that one of the officers passed away and his debt was referred
to the Losses Committee and the Ministry, with the assistance of the Police, is pursuing the three
other former officers who are still alive. The breakdown of their debts is as follows:
Recommendation
213
The Controlling Officer is urged to quarterly update the Hon. Committee on the recovery of the
debt.
Paragraph 28.2 (a) and (c): Audit Inspection: Mbabane Government Hospital –
Unauthorised Expenditure on Utilities (Electricity and Water) for Staff Houses and Hospital
Catering Services
The Auditor General found that government was paying utility bills for the Mbabane
Government Hospital staff and the company providing catering services at the hospital
because the meters were not separated from those of the hospital and those of the staff houses
as well as the kitchen used by the catering company.
The Controlling Officer submitted that the Ministry has finally been allocated a sum of E5 million
to undertake the project this financial year and has engaged the Micro Project Unit to do the project.
However, the funds have still not been released despite the Ministry requesting the release of the
funds to Micro Projects in May 2020, hence the project has still not commenced.
Recommendation
The Controlling Officer is urged to engage the Ministry of Finance on the release of the funds and
quarterly update the Hon. Committee on progress.
Paragraph 28.2 (e): Unbanked Revenue of E125, 000.00 – Mbabane Government Hospital
The Controlling Officer submitted that the matter remains unresolved and the implicated officer
who was suspended has since been reinstated even though he was transferred to another
department where he does not handle funds. Investigations are still ongoing.
Recommendation
The Controlling Officer is urged to follow up the matter with the police and quarterly update the
Hon. Committee with progress.
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Paragraph 28.3: Payment of Salary to an Officer Who Absconded – Employment No.
4867315 – E830 240.16
The Controlling Officer disclosed that the Police managed to locate the absconded officer who
was then brought to the ministry where he made an undertaking to repay the debt. However, he
then disappeared again. The latest information received on the matter suggests that the officer is
now based in South Africa where he has also changed his name.
Recommendation
The Controlling Officer is urged to follow up the matter and quarterly update the Hon. Committee
on progress.
Paragraph 28.4 (a), (b) and (c): Audit Inspection – Ministry of Health Headquarters –
Salaries Paid to Officers on Paid Study Leave, Recovery Risk and Unauthorised Interest
Free Loans
The Controlling Officer disclosed that the recoveries are in progress. The payment status is as
follows:
Officer 6503996 who owes E673 049.61 acknowledged his debt and agreed to settle out of
court. However, he is no longer forthcoming with the payments, hence the Ministry has
instructed the Attorney General to start the process of litigation.
Officer 6353014 who owes E845 270.30 has undertaken to pay in one lump sum payment
and then settle the balance in monthly instalments but she never paid.
Recommendation
The Controlling Officer is urged to recover the money and update the Hon. Committee with
progress and engaged the Attorney General if the officers refuse to pay.
The Auditor General reported that the officer was granted paid study leave to pursue a
Master’s Degree in Intensive Care Nursing from 2009 to 2011 but she did not return to the
country for her bonding agreement after completion of her studies.
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Controlling Officer’s response
The Controlling Officer stated that the officer acknowledged owing the Ministry some money but
she then disappeared and stopped responding to emails from the Ministry. She was last reported
to be in Canada. The Ministry has since engaged the services of the Police to try and locate the
officer.
Recommendation
The Controlling Officer is urged to continue looking for the officer and quarterly update the Hon.
Committee on progress.
The Controlling Officer revealed that Officer 9526075 was paying back the money at the rate of
E2 528.10 per month but after she had only paid E5 000.00 she changed tune and claimed that she
had received authority to go on study leave from the Ministry of Public Service and was, therefore,
not liable to pay back the money. The Ministry has since engaged the services of the Attorney
General to get the balance.
Officer 3386792, has started paying back the money at the rate of E1 500.00 a month and has so
repaid E12 000.00, leaving a balance of E75 551.52.
Recommendations
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the
recovery.
216
B. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2014
The Auditor General reported that an amount of E426 504.07 was owed to government by
an officer who resigned from the Public Service after signing a bonding agreement.
The Controlling Officer stated that the matter has been concluded in court but judgement has still
not been delivered.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. PAC Chairperson and the Auditor
General on progress of the matter, failing which he will be charged with contempt of Parliament.
Actual expenditure from released funds amounting to E13 126 000.00 was E11 454 209.49
resulting in an under expenditure of E1 671 790.51
The Controlling Officer submitted that the structural defects which were found in the completed
structure have now been fixed and the facility is now being used as a COVID – 19 treatment centre
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currently accommodating about 80 COVID positive patients. There is also an ongoing construction
of a 100-bed ward for COVID 19 patients at a cost of E29.4 million.
He further disclosed that the Ministry has rehabilitated the incinerator and the Ministry will
construct a Level 3 biosafety laboratory, which will expand the testing capacity for the national
response. The laundry, central sterilization and sorting department is also completed through the
assistance of the Micro Project Unit.
Recommendation
The Controlling Officer is urged to be more vigilant in future and ensure that such structures are
completed.
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76.1– Unverified and abnormal increase of obsolete stock E6 741 219.61
Auditor General’s Findings
The Auditor General reported that there was unverified obsolete stock by the Board of
Survey amounting to E6 741 219.61, which was included in the closing stock figure of E113
753 105.86 for the financial year ended 31st March 2019. He also noted that the obsolete
stock had an abnormal increase of E4,809,686.21 which was 249%, as compared with
the previous financial year’s figure of E1,931,533.40.
Controlling Officer’s Response
The Controlling Officer submitted that the obsolete stock was due to a number of reasons like
some medicines being abolished by the World Health Organisation (WHO), slow uptake of other
medicines and changes in WHO Guidelines.
Recommendation
The Controlling Officer is urged to ensure that there is an effective inventory management system
in place to prevent the increase of obsolete stock and all obsolete stock should be verified and
approved by the Board of Survey.
76.2– No stock (inventory) count at year end
Auditor General’s Findings
The Auditor General reported stock (inventory) count was not carried out at the end of the
financial year, however it was done between 21 April and May 2019. There were no
adjustments made in the closing stock for the stock movements that took place after the year
end, hence the reported closing stock amount of E113,753,105.86 may not be a true
representation of the actual stock level on the - date
Controlling Officer’s Response
The Controlling Officer submitted that there was a warehouse management system breakdown in
February, and interruptions that included fuel shortages, and delayed deliveries due to late
payments. When the situation normalized in March, the distribution was so behind schedule such
that facilities were running out of critical medical supplies. As such, Central Medical Stores (CMS)
could not close for stock take and ignore the back log of deliveries.
Recommendation
The Controlling Officer is urged to have backup system to prevent a recurrence of a similar issue.
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77– Irrecoverable outstanding revenue E410,650.00,
Auditor General’s Findings
The Auditor General reported irrecoverable debts amounting to E410 650.00, which have
been outstanding for a period of over four (4) years, without being recovered by the Ministry.
Controlling Officer’s Response
The Controlling Officer submitted that these debts were created by a number of factors such as
people running away without paying after receiving assistance, others having no money to pay and
the loss of information. The Ministry has since directed Hospital Administrators to prepare the
lists of all outstanding debts to see if the debtors cannot be tracked down.
Recommendation
The Controlling Officer is urged to put in place control measures to avoid a repeat of such and
continue recovering the funds from those found to be still alive.
78– Outstanding payments E285 979 824.09
Auditor General’s Findings
The Auditor General reported that the Ministry had outstanding payments amounting to
E285 979 824.09 as at 31st March 2019.
Controlling Officer’s Response
The Controlling Officer submitted that the outstanding invoices which were not submitted to the
Treasury Department, before the financial year ended, were mainly for purchase orders from the
Central Medical Stores which had partial deliveries, thus payment could not be processed. There
were also telephone bills which could not be processed for payment because the budget was
insufficient.
Recommendation
The Controlling Officer is update the Hon. Committee on whether the payments were finally made.
He should also improve controls in the use of utilities.
53.1– Unwarranted charges for undelivered drugs – Mahlangatsha Clinic E2,410.25 Auditor
General’s Findings
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The Auditor General reported that the Central Medical Stores (CMS) charged the Clinic
E2,410.25 for undelivered drugs.
Controlling Officer’s Response
The Controlling Officer submitted that this was due to theft of the drugs by a CMS Driver and an
orderly from the clinic. They were arrested, charged and are currently out on bail.
Recommendation
The Controlling Officer is urged to upscale monitoring of the deliveries and also quarterly update
the Hon. Committee on progress of the court case.
53.2– Overcharging by the Central Medical Stores – Nhlangano Health Centre and Horo
Clinic E397,795.04.
Auditor General’s Findings
The Auditor General reported the Central Medical Stores overcharged Nhlangano Health
Centre and Horo Clinic for medical supplies by a total amount of E397,795.04. The
Nhlangano Health Centre was charged a unit price of E391.74 per 100 capsules for 624 10mg
Nifedipine capsules at a total cost of E244,445.76 on 16 May 2018. Surprisingly, the same
drug was supplied to the Health Centre on 19 July 2018 at a reduced unit price of
E13.03 per 100 capsules. Therefore, the 624 10mg capsules should have only cost E8,130.72
and not E244,444.76 hence the variance of E236,315.04 was an unjustified overcharge.
Controlling Officer’s Response
The Controlling Officer attributed the overcharge to a system error in the charging system which
has since been corrected.
Recommendation
The Controlling Officer is urged to put in place an effective inventory management system.
53.3– Poor records management system and storage of drugs – Hluthi Clinic
Auditor General’s Findings
The Auditor General reported that Hluthi Clinic had a poor filing and records management
system. The movement of drugs was not efficiently managed as tally cards were out of stock,
hence drug disbursements and receipts were not recorded for about three months. He also
observed that the air conditioning where the drugs were stored was not functional
which compromised their quality and life span.
223
Controlling Officer’s Response
The Controlling Officer submitted that the clinic was visited and staff trained on how to record
drugs without tally cards but the tally cards have now been provided.
Recommendation
The Controlling Officer is urged to put in place an effective inventory management system.
53.4– Drugs supplied free of charge – Dvokolwako Health Centre
Auditor General’s Findings
The Auditor General reported that some drugs were supplied by the Central Medical
Stores to Dvokolwako Health Centre without being charged. For instance, two packages
of 188 tablet Bedaquiline 100mg drugs were not charged in the Invoice number SD -
0009115 dated 26th November 2018 yet the same drug was charged when supplied to the
Health Centre on 28th January 2019 through invoice number 9490, at a unit price of
E13,716.00 per 188 tablets.
Controlling Officer’s Response
The Controlling Officer submitted that the drugs which were not charged were those which are
donated by the country’s development partners like Global Fund, PEPFAR and the Government
of India. Their batches are marked differently.
Recommendation
The Controlling Officer is urged to properly label the medication for identification purposes and
also ensure that officers responsible for dispatching and receiving medication maintain effective
records.
53.5– Unsupported drugs and medical supplies – Pigg’s Peak Hospital
Auditor General’s Findings
The Auditor General reported that drugs and medical supplies from the Central Medical
Stores to Pigg’s Peak Government Hospital were not invoiced and also not supported
with delivery notes. The only available supporting document was a picking list.
Controlling Officer’s Response
The Controlling Officer submitted that this delivery occurred during the warehouse system
reconfiguration and the drugs had to be dispatched without the invoices and delivery notes because
they were needed urgently.
Recommendation
The Controlling Officer is fined E400 for allowing this anomaly to occur.
224
54.1 and 2 – Mankanyane Government Hospital – Cash surplus and shortage
Auditor General’s Findings
The Auditor General reported that revenue amounting to E1,664.00 was collected but not
receipted and a follow up audit was made on 11th November 2019 where again cash was
reconciled against receipts issued and a shortage of E6,201.30 was discovered.
Controlling Officer’s Response
The Controlling Officer submitted that the collected amount was eventually receipted and the
Ministry engaged the Hospital Administrator to get the Accountant to account for the shortage of
E6 201.30.
Recommendation
The Controlling Officer is urged to update the Hon. Committee on the outcome of the Hospital
Administrator’s investigation within seven days after adoption of this Report by the Hon. House,
failing which he will be charged with contempt of Parliament.
226
JUSTICE AND CONSTITUTIONAL AFFAIRS – HEAD 46
The Auditor General raised a concern on the secondment of an officer, employee 3611348,
who was entitled to a pensionable gratuity and at the same time entitled to a secondment
gratuity.
The Controlling Officer submitted that the matter of the officer, who is the ex-Anti Corruption
Commission Commissioner – Operations, is still pending in court.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. PAC Chairperson and the Auditor
General on progress of the court case, failing which she will be charged with contempt of
Parliament.
The Auditor General expressed concern about the reinstatement of the officer who was
awarded a pre-service scholarship which she did not deserve as she was already employed
by government. She was employed as a Clerical Officer and was awarded a pre-service
scholarship to pursue a Bachelor of Law Degree (LLB), a course which was not relevant to
her duties and she was also not in the ministry’s training plan.
227
Controlling Officer’s Response
The Controlling Officer submitted that the officer is paying back the money owed to government
at the rate of E2 155.00 per month and has so far paid back E125 025.96 leaving a balance of
E30 178.83.
Recommendation
The Controlling Officer is urged to monitor the repayment until the debt is fully recovered and
quarterly update the Hon. Committee on progress.
91. 2 Deletion of Obsolete Stores of Statutes Without Proper Authorisation – E135 960.00
The Auditor General reported there were over expenditures amounting to E14,317,997.08:
over expenditure on CTA Vehicle Charges of E3,837,254.22, and Personnel Costs of
E10,480,742.86.
228
Controlling Officer’s Response
The Controlling Officer submitted that the over expenditure on CTA charges was due to an
inadequate budget for this item yet there are many activities that require fuel like the travelling of
Magistrates and Prosecutors to different regions for trials. On the personnel costs, they were due
to overtime allowances paid to prosecutors and magistrates who worked on weekends as well as
other Prosecutors who were hired during the course of the year but had not been budgeted for.
Recommendation
The Controlling Officer is fined E400.00 for the over expenditure. She is further urged to request
an adequate budget for the expenditure.
The Auditor General reported there was under expenditure amounting to E959,880.06 in the
financial year under review.
The Controlling Officer submitted that a proper reconciliation of all accounts was not properly
performed at the end of the financial year to ensure that financial figures were correctly posted.
She stated that this was mainly due to the shortage of staff in the Accounts Section resulting
in improper handling of responsibilities.
Recommendation
The Controlling Officer is urged to conduct timely reconciliations, failing which she will be
charged with contempt of Parliament.
80 – Outstanding payments
The Auditor General reported that the Ministry had outstanding payments amounting to
E4,795,269.33 as at 31st March 2019.
The Controlling Officer submitted that that the arrears to the amount of E4,078,992.36 held by the
Ministry were not submitted to the Treasury Department for processing, mainly due to
insufficient funding for Travel, Transport and Communication.
229
Recommendation
The Controlling Officer is fined E400.00 for the anomaly. She is further warned against incurring
expenditure when there is no budget, failing which she will be charged with contempt of
Parliament.
The Auditor General reported that the salary stoppage for an officer with employment
number 8570552 was not effected on the last day of notice, which was on 31st October 2019.
As such, the Officer was paid full monthly salaries of E10,835.00 for a period of four
months, from November 2019 to February 2020, after she had exited the public service
without authority from the Civil Service Commission. The total salary that should not
have been paid to this Officer was E43,340.00.
The Controlling Officer explained that the officer took an early retirement but the Civil Service
Commission refused to issue the exit instrument because of allegations of impropriety in the
officer’s conduct and the salary continued being paid for four months. This is despite the fact that
the Ministry of Public Service had issued authority for the officer to retire early. About E19 694.82
of the E43 340.00 was recovered from the officer.
The Ministry of Public Service informed the Hon. Committee that the officer asked for authority
to retire early on 19 September 2019 and it was issued on 6 October 2020. However, on the 12 and
13 October 2019, there were newspaper reports alleging that the officer had conducted herself
improperly while executing her duties. For instance, it was alleged that she had fraudulently used
her office’s official stamp for personal business. The CSC then wrote to the Ministry of Justice
instructing it to investigate the matter before the officer could be issued with the instrument
releasing her from the civil service.
The Ministry (Public Service) explained that, in the absence of the instrument, the officer is
considered to have absconded from work.
230
Recommendation
The Controlling Officer is urged to calculate how much the officer should repay and start
recovering the money, failing which she will be charged with contempt of Parliament.
The Auditor General reported about unrecovered costs incurred in repairing accident
damaged government vehicles registered under the Ministry of Justice and
Constitutional Affairs, amounting to E1,050,435.02.
The Controlling Officer denied knowledge of some of the vehicles and said some belong to the
Judiciary.
She also revealed that GSD 000 JU, a BMW X5, which was charged for E102 226.53 was never
involved in an accident but it was taken to the CTA for painting. The CTA General Transport
Manager (GTM) confirmed the painting but said the painting was expensive because it was not an
ordinary paint job but the vehicle was being changed from its original colour (silver grey) to black.
Ásked why the colour was changed two months before Parliament was dissolved (11 April 2018),
the GTM said the vehicle had been purchased earlier but the then Minister of Justice refused to
use it until the colour was changed to black like all other Cabinet Minister’s vehicles.
However, the former Minister denied this and said he never asked for the colour of the vehicle to
be changed. He said it was the CTA, which changed the colour and even then, the vehicle was
never repainted. Instead, it was covered in a black plastic coating. He said he was presently using
the vehicle and it was silver grey in colour after the plastic coating peeled off.
Recommendation
231
JUDICIARY – HEAD 48
The Auditor General found that the Judiciary could not account for 34 missing laptops which
were purchased as part of a consignment of 45 laptops.
The Controlling Officer disclosed that the matter was reported to the Police as per the House
Resolution. She further disclosed that the Judiciary conducted its own internal investigations and
interrogated three officers but the investigation did not yield any positive results.
Recommendation
The Controlling Officer is urged to quarterly update the Auditor General and Hon. PAC
Chairperson on progress after the adoption of this Report by the Hon. House, failing which, she
will be charged with contempt of Parliament.
The Auditor General found several discrepancies during a surprise audit of the Standing
Cash Advance under the Judiciary. These included a shortage of cash amounting to
E1 663.92, replenishment of standing cash advance, claims overdue which were processed
after 10 months, double claims amounting to E747.50, a ficticious certificate of attendance
amounting to E480.00, lump sum reimbursements amounting to E1 026.00 and frequent
absenteeism.
The Controlling Officer submitted that the matter was reported to the Police for investigations.
Regarding the internal disciplinary proceedings against the officer, the Controlling Officer
232
reported that the proceedings were halted after the officer was bereaved following the death of her
husband.
The officer has since been charged by the Police and she is currently out on bail. The hearing of
her matter commenced but the Magistrate and Prosecutor who were handling it were transferred
to other region. The case is awaiting new officers to proceed with it.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the court
case.
92.3.1 – Poor Controls in the Registry and Storeroom – E60 498 805.85
The Controlling Officer acknowledged the Auditor General’s findings and submitted that the
Ministry has requested posts for officers who will be responsible the proper management of the
files. In the meantime, the Master of the High Court has assigned officers in-house to man the
Registry and Storeroom.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on the progress of
recruiting the proper staff.
The Auditor General reported that an amount of E160 407.66 was paid against a missing file
referenced EH178/2002. The file was amongst two files which were reported missing and
were not availed for audit.
The Controlling Officer submitted that the matter was reported to the police for investigations and
an officer from the Master of High Court was arrested in connection with the disappearance of the
files. The officer is currently out on bail pending trial.
Recommendation
The Controlling Officer is urged to monitor the case and quarterly update the Hon. Committee on
progress. Should the officer be found guilty, she is urged to recover the money from the officer.
234
AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR THE
FINANCIAL YEAR ENDED 31ST MARCH 2019
82.1 – Unauthorised over expenditure on recurrent vote
The Auditor General that there were over expenditures amounting to E9,073,571.07
incurred: on CTA Vehicles Charges of E2,579,860.96; Personnel Costs of E4,073,340.04;
and Professional and Special Services of E2,420,370.07.
The Controlling Officer submitted there are inadequate funds for CTA charges, hence the over
expenditure.
The over expenditure on personnel costs was caused by the overtime for Magistrates and Clerks
of Courts who preside over drunken driving cases during weekends, and the appointment
of acting Judges of the Supreme Court, Industrial Court and Magistrates in a bid to reduce the
backlog of cases experienced in the Courts. Weekends court proceedings are in compliance
with section 21 of the Constitution and the rules of natural Justice, which makes it mandatory for
matters to be heard within 48 hours.
The over expenditure on Professional and Special Services was as a result of an inadequate
budget to cater for utilities for the Judges in all the regions. Adding on to the over expenditure are
the pro-deo payments to Attorneys which are too high. The budget also caters for security services,
and the sitting allowances for both the Judiciary Service Commission and Industrial Court
Members.
Recommendation
The Controlling Officer is fined E400 for the over expenditure on CTA charges.
The Auditor General reported that there was under expenditure amounting to E5,296,400.00
on Durables Material and Equipment incurred by Registrar of the High Court
The Controlling Officer submitted that the approval of the authority to pay was granted on 14th
May 2019, which was after the financial year had elapsed.
235
Recommendation
The Controlling Officer is urged to submit requests on time to avoid the late granting of authorities.
83 – Outstanding payments
The Auditor General reported that the Judiciary had outstanding payments amounting to
E6,460,735.07 as at 31st March 2019.
The Controlling Officer attributed the outstanding payments to duplication of invoices in the
invoice portal, which has since been corrected.
Recommendation
The Auditor General reported about repair costs amounting to E752,946.18 relating to
accident damaged vehicles incurred by the Judiciary.
The Controlling Officer submitted that some of the accidents were duplicated and further denied
knowledge of some vehicles with accidents costs amounting to E 193,130.61. These vehicles were
also denied by the Ministry of Justice and Constitutional Affairs.
She also confirmed knowledge of two vehicles which were involved in accidents. These were GSD
017 JU whose driver passed away and GSD 071 was involved in an accident whilst it was
under the control of a CTA officer. She said the rest of the vehicles incurred maintenance costs
rather than accident costs.
236
Recommendation
The Judiciary and Ministry of Justice Controlling Officer as well as the CTA should meet to
resolve the issue of the cars whose ownership is being disputed and thereafter submit a report on
the outcome within 30 days after adoption of this Report by the Hon. House.
237
CORRECTIONAL SERVICES – HEAD 49
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2012
Paragraph 31.0 (a): Unauthorised Study Leave – Employee number 9001194 - E232 745.81
The Controlling Officer submitted that the officer continues repaying his debt and has asked for
deferred retirement but will continue paying.
Recommendation
The Controlling Officer is urged to update the Hon. Committee semi-annually on the recovery.
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST MARCH
2017
88.1 - 3 Operating Deficit and Other Losses incurred from the Prison Poultry Extension
Trading Programme – E4 119 629.72
The Auditor General noted that the Prison Poultry Extension Trading Programme
continued to make a loss in the 2017 financial year amounting to E4 119 629.72 which showed
a significant increase from the loss made the previous financial year amounting to
E131 013.96.
238
NB: Following a request by the Department, through its Portfolio Committee, to reconsider the
Recommendation for the cutting of the project’s subvention, the Hon. Committee conducted a site
visit on this project on 23 October 2020 in order to get firsthand information on what is happening
on the ground. The Hon. Committee found that the project is indeed struggling due to lack of funds.
For instance:
Some projects have been stopped. These include egg production and leather tanning where
the Service could manufacture shoes for its staff instead of the current situation where it
spends almost E3 million buying shoes.
There is lack of fencing which has resulted in neighbouring communities unlawfully
helping themselves to the farm produce.
Recommendation
The Hon. Committee recommends that the Controlling Officer should request authority to operate
a Trading Account for the operations of this project in order to sustain it and submit a quarterly
update on progress.
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST MARCH
2018
239
Auditor General’s Findings
The Auditor General reported that eight (8) vehicles belonging to the Department were
involved in accidents and were repaired but, although accident reports for the damaged
vehicles were available, the repair costs were not recovered and the matters were not
reported to the Losses Committee to review the cases on whether the losses should be written
off or the officers involved in the accidents could be surcharged.
The Controlling Officer submitted that the matter is still pending before the Losses Committee.
Recommendation
The Controlling Officer is urged to follow up the matter and update the Hon. Committee on the
verdict from the Losses Committee on whether the officers should be surcharged or not.
The Auditor General reported that about 40 officers under His Majesty’s Correctional
Services were underpaying rent. The officers were supposed to pay E52.00 a month but were
either paying E26.00 or E13.00 monthly. The Auditor General highlighted that the 40 officers
cited in the report were just a sample, which means more officers could be underpaying rent.
The Controlling Officer submitted that there are conflicting Circulars from the Ministry of Public
Service on the subject and they met with the Ministry to resolve the impasse but could not resolve
it. The Ministry promised to revert back to them once the issue has been resolved.
Recommendation
240
AUDITOR GENERAL’S FINANCIAL AUDIT REPORT FOR THE FINANCIAL YEAR
ENDED 31ST MARCH 2019
The Auditor General that there were over expenditures of E48 562 303.11 incurred on CTA
Vehicles Charges, Personnel Costs, and Travel, Transport and Communication Costs.
The Controlling Officer submitted that the over expenditure of E14 562 554.82 on CTA Vehicle
Charges was due to an insufficient budget. A recommendation of the Public Accounts Committee
to the effect that an Issues Paper be presented that will seek to assist in terms of ensuring an
increase in the budget so to avoid incurring of over expenditure on these items was submitted
but nothing has come of that. On travel, this item was insufficiently allocated funds, whereas some
of the trips are not within the ambit of the department and by their nature are unpredictable.
On personnel costs, she reported that the scope of work has increased to cover other assignments.
Recommendation
The Controlling Officer is fined E400.00 for the over expenditure. She is urged to seek a budget
increase to cover the extended scope of works.
The Auditor General reported that there was under expenditure amounting to
E1,945,754.84 on Travel, Transport, and Communication.
The Controlling Officer submitted that the Ministry actually overspent by E1,868,028.44 under
this item.
Recommendation
241
85 - Under expenditure on Capital Project P31599 – Rehabilitation of Prisons
The Auditor General reported that there was an under expenditure incurred on Capital
Project P31599 – Rehabilitation of Prisons, amounting to E1,764,709.10
The Controlling Officer submitted that the project was eventually completed the following
financial year.
Recommendation
The Controlling Officer is urged to engage the Ministry of Finance to release funds on time.
86 – Outstanding payments
The Auditor General reported that the Ministry had outstanding payments amounting to
E14,934,993.85 as at 31st March 2019.
The Controlling Officer submitted that the arrears were cleared through a supplementary budget.
Recommendation
The Auditor General reported irrecoverable outstanding revenue of E394,385.74, which was
also disclosed in the notes.
The Controlling Officer submitted that most of the debts were recovered with an outstanding debt
of E56 000 which cannot be recovered.
Recommendation
The Controlling Officer is urged to report the irrecoverable debts to the Losses Committee.
242
AUDITOR GENERAL’S COMPLIANCE AUDIT REPORT FOR THE FINANCIAL
YEAR ENDED 31ST MARCH 2019
The Auditor General reported about non-recovered costs incurred in repairing accident
damaged government vehicles registered under the His Majesty’s Correctional Services,
amounting to E1,697,266.25,
The Controlling Officer submitted that the organisation was waiting for legal opinion from the
Attorney General on what to do to the officers involved in the accidents after one of the officers
took the institution to court and won.
There are other accidents which the Service is not aware of and have written to the CTA seeking
clarity but have not received a response.
There are, however, four other accidents that the Department is aware of and have asked the
Regional Commissioners to get more details on these accidents.
There are also other cars registered PR which did not belong to the Department.
Recommendation
243
HOME AFFAIRS – HEAD 50
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED 31ST MARCH
2010
The Controlling Officer is urged to update the Hon. Committee on the response from the Losses
Committee.
Citizenship Board – Claims Paid whilst no Meetings were Held and Allowances Paid Where
Board Members were Absent – E115 477.12
244
AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR
ENDED 31ST MARCH 2017
The Controlling Officer submitted that his office was finding it difficult to implement the House
Resolution of recovering the unsupported overtime claims from the officers because it was
discovered that in the past the authorities related to overtime payments were open-ended and
possibly prone to abuse as reported by the Auditor General. He stated though that, going forward,
the relevant authorities have decided to rectify that gap through issuing authorities that will have
the name of the officer, date, hours worked and amount to be paid.
Recommendation
The Controlling Officer is urged to clear overtime payments for officers who worked during the
50/50 celebrations within the next financial year and urged to be more vigilant in future regarding
the payment of overtime.
The Auditor General found that the Ministry paid acting allowances amounting to
E25 004.74 to officers who acted for different posts. However, there was no evidence that the
acting appointments were reported to the Civil Service Commission with justifications and
the positions for which the officers were supposedly acting were not stated.
245
Controlling Officer’s Response
The Controlling Officer produced the authorities for the acting allowances and apologized that
they were not produced during the audit.
Recommendation
The Auditor General found that the Ministry paid an amount of E1 048 968.33 in respect of
salaries to four Immigration Officers who have been suspended since June 2014.
Recommendation
The Controlling Officer should quarterly update the Hon. PAC on progress regarding the officer
whose case is pending, failing which he will be charged with contempt of Parliament.
90.6 – Officers who are Neither Paying Rent nor receiving Housing Allowance – E3 990.00
The House Resolution was fully implemented.
246
90.9 – Underpaid Allowances: Employee 3464933 – E146 396.90
The House Resolution was fully implemented.
90.11 and 12– Untraceable Electrical Items (E593 048.14) and Undelivered Items
(E43 505.10)
Auditor General’s Findings
The Auditor General reported that electrical items worth E593 048.14 purchased by the
Ministry for the King’s Birthday in 2015 were not availed for physical verification and the
Stores Officer was not aware of their whereabouts and did not know whether there was a
short delivery or non-delivery or theft of the items. The items were purchased from LSM
Distributors.
There was also equipment valued at E43 505.10, which was not delivered.
NB: The Hon. Committee conducted a site visited on the warehouse and found some of the
material. It was then agreed that the Auditor General and Ministry Storekeeper will arrange a day
when a follow-up audit will be conducted to verify if all the material was indeed available.
Recommendation
The Controlling Officer is urged to submit an update after the follow-up audit by the audit office.
98. Under Expenditure on Project G61 370 – Improved Signage at Ports of Entry and Exit
Auditor General’s Findings
The Auditor General reported an under expenditure of E180 631.48 on the above project.
Recommendation
The Controlling Officer is urged to conclude the project within the current financial year and
quarterly update the Hon. Committee on progress.
The Controlling Officer is urged to ensure that his officers are familiar with the new system for
capturing invoices.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
Regarding the balance of E327 655 45, the Controlling Officer explained that the account will be
closed and the funds transferred to the consolidated fund after an audit has been conducted.
Giving his side of the story, the Accountant General stated that the main problem was that the
guidelines that were used had not been approved but they were still in draft form. He said the
Ministry did not even follow the said draft guidelines when making withdrawals from the account.
For instance, they would use orders for other items with the same amount, which is illegal. When
they were confronted about all the anomalies, the Ministry would claim that they were under
pressure as the event was happening in a few days’ time. When everything had been messed up, it
was later taken to the tender board for “ratification” and approval.
Recommendation
The Controlling Officer is fined E400 for allowing this anomaly to occur. He is further urged to
ensure that there are Regulations for the operation of the funds.
Recommendation
250
The Controlling Officer is fined E400.00 for this anomaly.
The Controlling Officer should be vigilant not to engage companies owned by civil servants.
Recommendation
251
The Controlling Officer is urged to ensure that no service provider is engaged without the approval
of the Central Tender Board.
Moreover, the cited date of delivery in one of the individual delivery notes did not correspond
with the dates of delivery as per the catering committee’s schedule. It was dated 15 th March
2018 yet according to the catering committee’s schedule, delivery
of food items commenced on 12th April 2018, which was almost a month later.
There was also an unexplained discrepancy of E44,008.00 when comparing the value of
groceries supposedly delivered by the supplier, as per the consolidated delivery note and the
actual payment made. The deliveries were strangely valued at E679,246.00 yet the
tender award was for groceries amounting to E635,238.00.
Recommendation
The Controlling Officer is fined E400.00 for this anomaly and is urged to ensure that no supplier
is paid without supplying all necessary source documents. The oversupply should also be rectified.
Recommendation
The Controlling Officer should desist from purchasing excess groceries and buy as per the needs.
Furthermore, the number of performers cited in the requests do not reconcile with
the quantities of meals delivered on the relative dates. For instance, on 5 th April 2018 the
request was for 645 performers yet the actual deliveries were breakfast and lunch for
700 participants, resulting in excess breakfast and lunch provision for 55 people
Recommendation
The Controlling Officer fined E400.00 for failure to maintain proper records.
64.8– Non-availability of contract for supply of street pole branding, signage, stage banners
and related branding services – E8 522 640,00
The Controlling Officer is fined E400.00 for this anomaly and is urged to ensure that there is a
contract for services and a purchase order for goods.
The Controlling Officer is fined E400.00 for this anomaly and warned not to repeat it again.
The Controlling Officer is fined E400.00 for this anomaly and warned against failure to follow
procurement procedures.
There were also seven people who were issued with the uniforms yet they were not ushers.
Controlling Officer’s Response
The Controlling Officer submitted that the seven officers were also part of the staff from the
Ministry of Home Affairs who served as ushers but were erroneously omitted in the memo sent to
the Ministry of Foreign Affairs for accreditation purposes.
He also stated that the uniforms given to officers from the King’s Office as well as the security
forces were collected by individuals on behalf of the other officers, hence they could not be
individually signed for. He said, for security reasons, these offices could not be approached for
finer details on the matter.
Recommendation
The Controlling Officer is fined E400.00 for this anomaly and is urged to keep proper records
Recommendation
256
PUBLIC WORKS AND TRANSPORT – HEAD 53
Paragraph 51.0 (a, b and c) – Audit Inspection Central Transport Administration – E381
850.43
The House Resolution was fully implemented.
Paragraph 51.2 (a) Misappropriation of fuel at Mkhuzweni Health Centre – E99 708.75
Auditor General’s finding
The Auditor General reported that fuel amounting to E99 708.75 was misappropriated and
not accounted for at Mkhuzweni Health Centre.
Controlling Officer’s response
The Controlling Officer reported that the matter of the officer is still pending in court. The
prosecution has closed its case and the matter was set for 8 October 2020 for the defence to start
presenting its case.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
257
C. AUDITOR GENERAL’S REPORT FOR THE FINANCIAL YEAR ENDED
31ST MARCH 2017
92. Audit Inspection – Capital Project H31199 – Construction of Lubombo Regional Hospital
Phase 1 – Package D
92.1 – Non-Completion of Works by the Contractor – E275 000.00
Further, government failed to recover about E275 000.00 from the contractor, which was in
respect of penalties worth E25 000.00 a week, which the contractor was supposed to be
charged for each of the 11 weeks it absconded from work.
A meeting was held between the Ministry of Public Works and Transport as well as the Ministry
of Health regarding the material found lying idle by the PAC and it was resolved that the material,
worth about E5 million, be kept at a warehouse belonging to the Ministry of Public Works in Piggs
Peak.
The Ministry further revealed that it later learnt that the Ministry of Health decided to complete
the project with the assistance of the Micro Projects Unit behind their (Ministry of Public Works)
back.
The Ministry of Health confirmed the submissions by the Ministry of Public Works and said the
material will be installed in the Covid 19 ward currently under construction. The Controlling
Officer (Ministry of Health) also confirmed that the Ministry ended up engaging the Micro Projects
Unit because they were not happy with the quality of service provided by the Ministry of Public
Works. He listed a number of projects which he said were undertaken by the Ministry of Public
Works but were either not completed or started falling apart a few months after completion.
258
NB: The Hon. Committee conducted a site visit at the warehouse in Pigg’s Peak where the
existence of the material was confirmed. The Hon. Committee further engaged the two Ministries
to try and mend their differences.
Recommendation
The Controlling Officer is urged to be more vigilant on such payments and quarterly update the
Hon. Committee on progress.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress.
259
Controlling Officer’s response
The Controlling Officer submitted that the budget for CTA is submitted through the Ministry of
Public Works and Transport but it cannot run concurrently with the trading account belonging to
the CTA. Bilateral meetings have been held with the Ministry of Finance to solve the issue.
Recommendation
The Controlling Officer is urged to engage the Ministry of Finance to provide a budget for the
CTA.
260
101 – Audit of Central Transport Administration (CTA) – Appendix 81
102.1 – Overpayment of Salaries and Housing Allowances due to Unpaid Leave of Absence
– E35 841.68
102.2 – Salaries and Housing Allowances Paid to retired Officers –E15 247.12
An amount of E15 247.12 was paid to 3 employees who had retired from the civil service
through the non-stoppage of their salaries.
The Controlling Officer submitted that two of the officers have passed away and one is still alive
but retired on medical grounds. The Ministry has engaged the office of the Attorney General on
how to recover the money from the estates of the deceased officers and the alive officer, however
there are some difficulties.
The office of the Master of the High Court requested further particulars regarding the deceased
officers, which the Ministry has not been able to get from the deceased officers’ families.
Regarding the officer who is still alive, the office of the Attorney General tracked him down and
he acknowledged the debt. A deed of settlement was prepared but when it was served on him, he
disappeared and his phone was unavailable on the MTN network. His family was contacted and
they said he left the country and went to Mozambique to look for work.
Recommendation
The Controlling Officer is urged to recover the money from the officer who is still alive and refer
the debt owed by the deceased officers to the Losses Committee.
261
103. Audit of the Construction of Nhlangano to Sicunusa (MR – 13) Road – Project
T50010/93/99 – E576 101 574.86
The Auditor General reported that, at inception, this project was supposed to cost
E465 990 202.85 and take only 24 months to complete but over 60 months later it was still
not complete yet payments made had already exceeded E576 101 574.86. He further noted
that, before the project stopped, there were a number of irregularities noted like loan
requirements, contractual obligations and construction standards.
262
The material that was found lying idle is being collected and will be stored at Gege Police
Station together with the plant that is in the process of being demobilized from the site. An
inventory list will then be compiled once everything is on site at the police station.
Government has allocated a sum of E8 million in the 2020/21 financial year budget to
conduct a forensic audit on the project. The funds are under the custody of the Ministry of
Finance but the process of hiring the auditors has started.
Recommendation
The Hon. Committee is urged to institute and conclude the forensic audit before the end of the next
financial year, failing which she will be charged with contempt of Parliament.
The Auditor General reported that a sum of E177 637 372.00 allocated for this project was
not utilized.
The Controlling Officer submitted that the non-utilisation of the funds was due to a dispute
between the local contractor and the foreign contractor who was part of the joint venture. The
dispute was then referred to a Dispute Adjudication Board (DAB), which ruled that the contractor
was within contractual right to terminate the contract. The contract for the consultant was also
terminated and the joint venture was dissolved. The Ministry has since relaunched the project and
the tender to complete the remaining works has been awarded to Inyatsi Construction.
107 – Under Expenditure on Project T35470 – CMR and Fleet Management System –
E2 156 823.35
The Auditor General noted an under expenditure of E2 156 823.35 on the above project.
263
Controlling Officer’s Response
The Controlling Officer submitted that the CMR Project was launched and blue books were now
automated.
On the Fleet Management System, she explained that the project is ongoing and the Ministry is
working with other stakeholders (CTA and Roads Department) to roll out the project to other
government ministries and departments.
Recommendation
The Controlling Office is urged quarterly update the Hon. Committee on progress.
108 – None – utilization of Project Funds on Project T51555 – Manzini – Mpandze (MR 3
Lot 1) – E165 563 712.00
The Auditor General noted over expenditures amounting to E52,246,171.00 that were
incurred by the Ministry: over expenditure on CTA Vehicle Charges was
E40,474,481.00; and on Personnel Costs was E11,771,690.00.
The Controlling Officer submitted that the CTA billing system for long term hire and maintenance
charges is too high and they also include non-serviceable vehicles which incur these charges until
they are sold by auction.
The budget over expenditure on personnel costs under the Minister’s office was caused by the non-
release of the appropriated budget as per the budget request.
Recommendation
264
The Controlling Officer is fined E400 for the over expenditure and is urged to improve controls
on CTA charges.
The Auditor General reported that there was non-utilisation of budget funds released
amounting to E50,483.00 allocated to Civil Aviation Centre, on Personnel Costs, and
Professional and Special Services,
The Controlling Officer submitted that the Ministry used to have a Civil Aviation Department,
which was later transformed into a parastatal. The Ministry has engaged the Ministry of Finance
to remove the responsibility centre from the Ministry of Public Works.
Recommendation
The Controlling Officer is urged to conduct reconciliations on time to detect such anomalies
earlier,
The Auditor General reported that a firefighting specialised vehicle worth E4,766,489.18 was
purchased without being ordered by CTA. According to the analysis book which is used to
register new Government Vehicles, this vehicle a Mercedes Atego model, with registration
numbers GSD104FE, its chassis number being WDB97636420110708 and engine number
906916C1125264, was delivered on the 25th February 2019 through delivery note number
1856. The vehicle was bought through Project P.349/70 which is a donor fund from the
Republic of China on Taiwan, but an official purchase order was not issued by CTA to
adhere to the Stores Regulations Part II, as a control measure and further to draw
out the specifications and fixtures of the vehicle, which can be compared with its Delivery
Note upon delivery of the vehicle.
The CTA General Transport Manager submitted that, while he was aware that the vehicle was
purchased and delivered, he was not involved in its purchase. He requested for some time to
investigate how the transaction occurred.
Recommendation
265
The Controlling Officer is urged to submit a report on the purchase within 14 days after the
adoption of this Report by the Hon. House, failing which she will be charged with contempt of
Parliament.
The Auditor General reported that the CTA Department continues to operate without a
budget (and had raised this matter in previous audits 2017 and 2018 financial years). An
amount of E602,196,943.46 was spent by CTA in the 2018/2019 financial year as per the
annual financial statement issued by the Treasury Department. This effectively means
that these funds were not budgeted for, as there was no formally approved budget for CTA
for the financial year ended 31 March 2019.
The Controlling Officer submitted that the Ministry was working on the matter but there was some
resistance from the CTA, which has resulted in the union representing CTA staff taking the matter
to court. She stated that she could not, therefore, delve into the merits of the matter as it was still
pending in court.
Recommendation
The Controlling Officer is urged to ensure that the CTA budget is appropriated by Parliament as
from the next financial year, failing which she will be charged with contempt of Parliament.
90.3 – Unsupported receipt and issue of government vehicles and mechanical plant –
E52 522 082.59
The Auditor General reported that purchased Government vehicle and mechanical plant
amounting to E52,522,082.59 were received and issued without appropriate stores
records. There were no signed delivery notes showing the name, designation and
signature of the receiving officer as well as personal details for the officer authorising and
issuing the assets to Transport Officers of various Ministries and Departments. There
is no documentary evidence showing that the vehicles and mechanical plant were
indeed received and rightfully distributed, hence the capital expenditure figure in the
CTA Trading Account is unsupported.
266
Records indicate that the vehicles were 42 in and distributed to the Ministry of Public Works
and the army between April and September 2018.
The CTA General Transport Manager requested for some time to compile a response and submit
it to the Hon. Committee on Friday 2 October 2020 but he had not done so by the time this Report
was compiled.
Recommendation
The Controlling Officer is fined E400.00 for this anomaly. The failure by the CTA General
Transport Officer to compile the report shows incompetence on his part and the Controlling Officer
is urged to recommend someone competent to be appointed to the post..
The Auditor General noted an under expenditure on two Capital Projects amounting to
E22,025,051.00. The under expenditure on Project T50699 – Construction of Bulembu-PPK
Road was 1,163,000.00, and E20,862,051.00 on Project T51555 – Manzini-Mphandze MR3
Lot 1.
The Controlling Officer first clarified that funds released for the Bulembu – Piggs Peak project
were E15 million and they were supposed to be utilized for the payment of project-affected people
along the Pigg’s Peak- Bulandzeni corridor as well as payment of design review. The total payment
made was E3 844 444.00 and there was a shortfall of E1 163 000.00 which was supposed to be
paid to the consultant after submitting his design review project but he delayed submitting it until
the financial year had elapsed.
On the Manzini-Mphandze Road, the under expenditure was attributed to the slow implementation
of the project due to right-of-way issues due to disputes over compensation for one of the property
owners, which was referred to court for adjudication. As a result, there were delays in the project,
which led to the money not being paid until it was paid the following financial year.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress and also
kickstart the Bulembu – Pigg’s Peak – Bulandzeni Road.
267
92 – Outstanding payments E509,270,017.00
The Auditor General reported that the Ministry had outstanding payments totalling
E509,270,017.00 as at 31st March 2019.
The Controlling Officer submitted that the Ministry was working on the matter.
Recommendation
The Controlling Officer is urged to submit an update within 30 days after adoption of this Report
by the Hon. House, failing which she will be charged with contempt of Parliament.
The Auditor General report about the non-recovered costs incurred in repairing accident
damaged government vehicles, amounting to E10,030,517.52.
The Controlling Officer submitted the Ministry had noted certain anomalies in the charges and had
requested the CTA General Transport Manager to provide some clarity but he had still not done
so by the time this Report was compiled.
Recommendation
The failure by the CTA General Transport Officer to compile the report shows incompetence on
his part and the Controlling Officer is urged to recommend someone competent to the post.
The Auditor General reported that the CTA never informed Ministries about the costs for
alleged repairs done to their vehicles between the 2016 and 2018 financial. Instead, a memo
268
was circulated to them after the Auditor General started making enquiries about the non-
recovered costs for the accidents.
The Controlling Officer is urged to fix the relationship between the Ministry and the CTA.
The Auditor General reported about non-recovered costs incurred in repairing accident
damaged government vehicles, amounting to E10,030,517.52.
The Controlling Officer submitted that the Ministry had noted certain anomalies regarding the
charges and had requested the CTA General Transport Manager (GTM) to provide clarity but he
did not. The GTM appeared before the Hon. Committee and promised that he was still compiling
a report on the matter but he had still not submitted it when the PAC report was compiled.
Recommendation
269
SPORTS, CULTURE AND YOUTH AFFAIRS – HEAD 56
99. 1 – Unaccounted for Revenue – Gate Takings and Vendors’ Fees – E477 217.90
The Auditor General reported that that the Ministry had outstanding payments amounting
to E9,402,865.07 as at 31st March 2019.
Recommendation
270
AUDITOR GENERAL’S COMPLIANCE AUDIT REPORT FOR THE
FINANCIAL YEAR ENDED 31ST MARCH 2019
The Auditor General reported that an Officer under the Ministry whose employment
number is 4324823, was overpaid her February 2019 salary by E7,645.10.
The Controlling Officer submitted that all the overpaid funds have been recovered.
Recommendation
The Auditor General reported that about non-recovered costs incurred repairing accident
damaged government vehicles registered under the Ministry of Sports, Youth and
Culture, amounting to E98,821.98.
The Controlling Officer submitted that some of the vehicles were with the CTA when the accidents
occurred, hence the Ministry had no responses as to how they had occurred.
Recommendation
271
AUDIT OF SCHOOLS – MINISTRY OF EDUCATION AND TRAINING
About 22 public schools were audited during the year under review and the Auditor General
noted some serious control weaknesses in the system. Six major weaknesses were noted in
the schools.
A. Unauthorised Expenditure
Thirteen (13) schools had unauthorised expenditure amounting to E20 342 549.20, which
means the expenditure was not authorised by the school committees.
B. Unsupported Expenditure
Sixteen (16) schools were found to have incurred expenditure amounting to E14 986 326.60,
which was unsupported. The Headteachers in most of the schools claimed to have paid
individuals instead of companies, hence it could not be readily ascertained whether the funds
were properly used or not.
C. Unsettled School Debts
Two schools were found to be owing various suppliers a combined sum of E2 181 716.67.
Some of the suppliers ended up taking legal action against the schools.
D. School Fees Due to Schools
Two schools were found to have uncollected school fees amounting to E409 282.19.
E. Unlawful Housing Allowances and Defaulted Rentals
A sum of E239 645.00 was owed to government in respect of unlawful housing allowances
paid by government and defaulted rent where Teachers did not pay rent.
F. Payment of Salaries to Teachers Not at Work
It was further reported that government lost a lot of revenue through paying Teachers who
were not working. The teachers were either:
Absent
Physically present but not teaching
Running their own errands during working hours or
Absent due to various health conditions
The Controlling Officer submitted that the Ministry has revised the Schools Accounting
regulations and they have been sent to the office of the Attorney General for their input. After
receiving Cabinet approval, the document will then be tabled in Parliament.
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Recommendation
The Controlling Officer is urged to quarterly table the Regulations within the first quarter of the
2021/22 financial year..
SHISELWENI REGION
112.1 – Teacher Receiving Full Salary While Not Rendering Any Services to Government –
E875 648.77
The Auditor General reported that a Teacher with employment number 4714561 had
received a full salary for seven (7) years (since to April 2011 to date) due to ill-health and in
the process government paid her a salary amounting to E875 648.77. Despite the fact that
the Teacher’s doctor had recommended that she retires on medical grounds, the Teaching
Service Commission granted her sick leave of six months with full pay from September 2012
to March 2013. When the leave elapsed, the Teacher did not return to school.
The Controlling Officer submitted that the Ministry is of the view that the matter be referred to the
Losses Committee since the Teacher has been retired grounds by the Medical Board (through a
decision communicated in July 2019). Thereafter, the Teaching Service Commission authorized
the Public Service Pensions Fund to release the Teacher’s pension, so the money can no longer be
recovered.
Recommendation
The Controlling Officer is fined E400 for the anomaly and report the loss to the Losses Committee.
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The House Resolution was fully implemented.
The Auditor General reported that a Teacher who resigned from the school in October 2015
and notified the Ministry about his resignation continued receiving a salary until August
2017, by which time he had been paid E243 694.11.
The Controlling Officer submitted that the matter of the Teacher has been referred to the Teaching
Service Commission for consideration. In the meantime, the Ministry has served the former
Teacher with a letter of demand for the overpaid salary..
Recommendation
The Controlling Officer is fined E400 for the anomaly and is urged to recover the money from the
Teacher.
MANZINI REGION
LUBOMBO REGION
The Auditor General reported that the audit team went to the school to conduct an audit
from 7 August 2018 and requested a number of documents from the School Principal
covering the period from January 2016 to August 2018. However, the Principal did not avail
these documents and claimed that his Deputy and the School Secretary had tampered with
the documents during his absence from the school. Nonetheless, the audit team continued
with the audit based on the few documents available.
On the second day (8 August), the Principal disappeared and claimed that he had to see a
doctor since he was not feeling well. The Audit team continued with the audit in his absence
until the following day (9 August). When they returned on the 10th, they found that the
Headteacher and Deputy’s offices had been burned down.
In the two days the team had been at the school, it had found, among others, the following
irregularities:
The Controlling Officer concurred with the Auditor General’s findings and submitted that the
Headteacher, although still lawfully the Principal of the school, he has not been to office since July
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2018 after being chased away by the parents who were complaining about a litany of offences
allegedly committed by the Principal. She said the matter of the Principal is pending before the
Teaching Service Commission (TSC) and the burning of the school has been reported to the police
for investigations. She also revealed that the school offices at the Principal’s former school
(Nyakatfo Primary) were also burned down under unclear circumstances when certain financial
irregularities were discovered. That matter is still under investigation as well.
Giving his side of the story, the Principal confirmed that he was chased away by the parents and
he suspected them of burning the school since most of them owed school fees. While admitting
that he had refused to open the school offices for the audit team, he denied that this was because
he had something to hide. He claimed that the reason was that while he was away from the school
after being chased by the parents, someone had access to his office yet, as far as he knew, he was
the only one with the office keys.
He also claimed that the School Committee member was nominated by the parents to sign cheques
on behalf the School Chairman.
Recommendation
The Controlling Officer is urged to quarterly update the Hon. Committee on progress of the TSC
case against the Principal and the investigation into the arson at both Nyakatfo Primary and
Tsambokhulu Primary Schools.
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GENERAL RECOMMENDATIONS
I. All Controlling Officers are advised to include in their reports a breakdown of the
status of repayment progress made by civil servants who owe government. The
breakdown should include the principal debt, the repayments per month, the total
amount repaid to date and the balance outstanding.
III. All Controlling Officers should conduct internal investigations regarding the
unrecovered costs for repairing accident damaged vehicles and, where there are
police reports confirming that the vehicles were damaged due to negligence by the
Ministry/Department Drivers, surcharge the Drivers. Where the Drivers were not
at fault, the losses should be reported to the Losses Committee within 30 days after
adoption of this Report by the Hon. House.
IV. All Controlling Officers should ensure that their Ministries have Entity
Procurement Boards in line with the Public Finance Management Act in order to
prevent the current problems experienced by Ministries associated with
procurement.
V. All Controlling Officers are urged to involve the Ministry of Public Works and
Transport in their construction/building projects, especially when it comes to the
use of new and untested technology. This is to prevent a situation similar to what
is happening currently where a number of Ministries engaged an Egyptian company
which uses new technology, which, after millions of Emalangeni were spent on the
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projects, the technology was found to be incompatible with the local climatic
conditions and the buildings constructed are now falling apart.
VI. The Hon. Committee has observed that Ministries and Departments continue
spending beyond the released budget on the premise of the appropriated budget.
Controlling Officers are, therefore, urged to spend as per the released budget
instead of the appropriated budget and request a supplementary budget in the event
funds are not enough, instead of overspending.
VII. All Controlling Officers are reminded that once PAC Recommendations have been
passed and adopted by the Hon. House, they become House Resolutions, which
means their implementation becomes mandatory. Therefore, no one has the right
not to implement or change the Resolutions. Failure to comply, will result in a
charge of contempt of Parliament.
The Controlling Officer is urged to recover the overpayment of E531 000. 00 for
vehicles to Woodford Car Hire within 30 days after adoption of this Report by the
Hon. House. The supplier received payment from both the CTA and the Event
Management Company (Africa Drum Events) that had engaged her for the same
job.
The Controlling Officer is urged to stop releasing funds to wrong ministries and
departments. For instance, funds were allocated to the Ministry of Tinkhundla for
department that is under the Ministry of Agriculture. Another allocation belonging
to the Ministry of Housing was given to CTA and another one was allocated to the
Ministry of Public Works and Transport for a non-existing department.
The Controlling Officer is urged to release funding on time for all projects that are
co-funded with donors in order to prevent the loss of funding from partners. For
example, for the past three years, government has failed to allocate funding to the
expansion of the Mbabane Government Hospital such that the donor, Republic of
China on Taiwan, ended up exhausting its share of funding while government had
still not paid its portion of the co-funding.
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Complaints by numerous Ministries who alleged that there are a number of vehicles
registered and charged under their Ministries yet these vehicles were never allocated to
these Ministries while others were temporarily given to the Ministries and then recalled but
continued being charged under these Ministries.
Disappearance of vehicles from government system
(ii) The Ministry of Public Works, Finance and Treasury Controlling Officers should review the
formula for calculating CTA charges and submit a report on the decision within 30 days after
adoption of this Report by the Hon. House, failing which they will be charged with contempt of
Parliament.
(iii) During the public hearing on audit queries involving the Ministry of Public Works and
Transport, a matter involving the use of new technology by a company called Mar and Dar to
construct houses emerged. It was alleged that, despite the fact that this technology was not suitable
for local climate conditions, the company was engaged by more and more government Ministries
to undertake projects for them.
During the tour of some of the projects, it was indeed discovered that the work in some of the
projects was sub-standard. One such project was at Sikhuphe where the contractor had constructed
15 housing units for Eswatini Civil Aviation Authority (ESWACAA) and the houses were failing
apart. As a result, ESWACAA has decided to demolish the houses after they were declared as unfit
for human occupation by the relevant government department. There was a bit of improvement in
some of the projects like Matata and Mankayane Fire Stations but even then there were some
shortcomings.
Given that government had already spent over E6 million in the construction of the ESWACAA
houses, demolishing them should be the last resort. Therefore, the Controlling Officer is urged to
exhaust all possibilities to salvage the houses. The contractor should, as per the agreement during
the site visit, renovate one house (the most dilapidated) at Sikhuphe at his own cost and if
ESWACAA is satisfied with the work, decide whether to engage the contractor to renovate the
rest of the houses. Government should then only engage the company for other projects only after
it attains the correct accreditation certificates allowing it to operate in the country.
It was also alleged that there was political pressure on ESWACAA by the former Minister of
Public Works and Transport to engage this company to build the houses at Skhuphe. The Hon.
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Committee invited the former Minister, who is currently the Senate President, to appear before the
Hon. Committee to shed some light on the project. Even though she declined to appear before the
PAC, the Hon. Committee did not pursue the matter further because there was no evidence linking
her to matter as alleged.
(iv) The Controlling Officer should report the CTA General Transport Manager (GTM) to the Civil
Service Commission for collusion with a supplier, professional misconduct and dishonesty in
relation to his conduct with the hiring of vehicles from Woodford Car Hire. The GTM paid the
company over E531 000.00 despite that there was no contract for the alleged supply of cars. The
car hire company had been hired by Africa Drum Events to supply vehicles for an event organized
by the Ministry of Finance. However, seeing that payment was being delayed, she then approached
the CTA and she was paid. She should further refer the payment to the Anti Corruption
Commission.
(v) The Controlling Officer should conduct an auction of all boarded vehicles this financial year.
(vi) The Controlling Officer should look into the possibility of forging a relationship with oil
companies in order to assist with rehabilitation of government fuel depots, which are an eye sore
and an embarrassment.
(vii) A number of Ministries reported that their vehicles were taken by the CTA years ago but have
still not been returned and there is no explanation forthcoming from the CTA. It is, therefore,
recommended that the Controlling Officer should facilitate the return of these vehicles to their
relevant Ministries within 30 days after adoption of this Report by the House.
The Auditor General should conduct an audit into all the tenders awarded to Africa Drum
Event Management after numerous anomalies were discovered in the way the company
was awarded over E50 million worth of single source tenders and several questionable
payments were made to it over the past two years.
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MINISTERIAL STANDING COMMITTEES ON
PUBLIC ACCOUNTS
Following General Recommendation/Resolution No. 15 of the Public Accounts Committee
Recommendations on Auditor General’s Report on Government Accounts for Financial Year
Ended 31st March 2012, that all Ministries/Departments establish PAC Ministries Standing
Committees, the following were submitted:
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DEPUTY NATIONAL COMMISSIONER – MR. P.F.R.
MASEKO (CHAIRPERSON)
283
BEATRICE MDLULI – PRINCIPAL ACCOUNTANT
284
NONHLANHLA TSABEDZE – DECENTRALIZATION
PROGRAMME OFFICER
285
LUYANDA KHUMALO - DIRECTOR LIVESTOCK
SERVICES
286
BHEKITHEMBA GAMA– UNDER SECRETARY
ADMINISTRATION
287
13. HEAD 40 – MINISTRY OF UNDER SECRETARY – NORMAN GAMEDZE
LABOUR AND SOCIAL SECURITY (CHAIRPERSON)
288
MKHULULI MAKHUBU – ACTING PRINCIPAL
ACCOUNTANT
289
18. HEAD 46 – MINISTRY OF GUGU SIBANDZE – UNDER SECRETARY
JUSTICE AND CONSTITUTIONAL (CHAIRPERSON)
AFFAIRS
GUGU SIMELANE - CROWN PROSECUTOR -
ADMINISTRATION
290
MRS. NOMKHOSI MASEKO – CHIEF ASSISTANT
COMMISSIONER – FINANCE AND BUDGETARY AFFAIRS
291
LORRAINE MTSETFWA – SENIOR ACCOUNTANT
(SECRETARY)
292
NONHLAHLA NDLANGAMANDLA – SENIOR
ACCOUNTANT
293