Business Day

Audit chief’s man there all along

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ITHOUGHT I had seen it all, but there are times when even I am nonplussed by the antics of this government.

A little while ago I applied in terms of the Promotion of Access to Informatio­n Act (Paia) for sight of a forensic report conducted by accounting firm Sizwe Ntsaluba Gobodo into the affairs of SA Express, the state-owned short-haul airline. In particular, the report was to examine the withdrawn annual financial statement for last year. Readers will know I have suggested there is a R500m hole in the accounts.

The applicatio­n was forwarded to the Department of Public Enterprise­s. It declined to let me see the forensic report because, among other things, the informatio­n passed to Gobodo was confidenti­al and because an individual was named. Then, anticipati­ng my next move, which was to apply to the courts, the agile minister, Malusi Gigaba, announced he had asked the auditorgen­eral to examine SA Express.

That stopped any legal applicatio­n because a court would logically say, wait for the auditor-general’s opinion. But it also suggests Gigaba is sufficient­ly concerned to want the state’s highest accounting officer to tell him what’s going on. Then, extraordin­arily, Gigaba announces that SA Express’s board has approved the 2011 financial statements.

Chairwoman Lillian Boyle says a representa­tive of the auditor-general has been attending meetings of SA Express’s audit and risk management committee since February, which raises still more eyebrows.

In other words, the auditorgen­eral knew all along about the decisions to withdraw the annual financials and to appoint a forensic investigat­ion. And if his representa­tive was present during directors’ risk meetings, why did Gigaba find it necessary to ask the auditor-general to examine the company? Boyle has declined to release the financials.

It is all very peculiar and getting to the bottom of it is proving to be quite an exercise.

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