HIGHLIGHTS OF AG’s 2017 REPORT
SULTAN ABDUL HALIM MU’ADZAM SHAH BRIDGE FAILS TO MEET GOAL OF EASING CONGESTION ON FIRST PENANG BRIDGE EFFECTIVENESS OF PROJECTS THAT RECEIVED RM120m THROUGH NATIONAL CREATIVE INDUSTRY POLICY QUESTIONED
THE National Audit Department has questioned the effectiveness of projects that received RM120 million in grants through the National Creative Industry Policy (DIKN).
The Auditor General’s 2017 Report Series 1 said the projects were found to be severely lacking in terms of their ability to spur the growth of the nation’s creative industry.
The report said these projects lacked a proper evaluation system, thus making it difficult for auditors to gauge their effectiveness in boosting the industry.
The blame, said the department, fell on the Communications and Multimedia Ministry, which it said had failed to implement an effective assessment mechanism.
The report said a review was needed to ensure that the funds’ effectiveness with regard to export of creative content could be properly gauged.
“Improvements must be made with regard to financial management and project output.
“This can be done by ensuring that the central committee improves the grant distribution process and its use, and monitors each project to ensure that DIKN’s objectives are met. “Project management of the DIKN grants, especially on payment and revenue handling, can be improved by complying with financial regulations.
“This is to ensure that payare ments made in a proper manner.”
The report found several weaknesses in several agencies. They are the National Film Development Corporation (Finas), National Department for Culture and Arts (JKKN), National Visual Arts Development Board (LPSVN), National Handicraft Development Board (Kraftangan) and National Arts Culture and Heritage Academy (Aswara).
“The first discovery shows that two Finas projects, worth RM2.4 million and carried out since 2012 and 2013, were not finished up to the audit date.
“The second discovery involves three projects under JKKN worth RM3.61 million, which did not meet their objectives.”
The third point, said the department, involved an unspent balance of RM7.59 million from the grants for Finas, LPSVN, Kraftangan and Aswara.
The fourth discovery involved three payments of RM300,000 for two JKKN projects, valued at RM1.98 million. The department said JKKN was not fined despite the projects having failed to meet its goals.
The report said this could cause the government to suffer RM400,000 in losses.
Finally, seven Kraftangan projects, worth RM250,000, were found to have been acquired via direct purchase when they were supposed to have three quotations, as they had a value of more than RM50,000.