Political groups failing to make timely submission of statements

AUDITOR-GENERAL Kimi Makwetu has warned about the inherent risk of parties not adhering to the requirements for their parliamentary funding in the National Assembly and provincial legislatures.

Makwetu stated this in his audit report for the Represented Political Parties’ Funding (RPPF) annual report, submitted by the Electoral Commission of South Africa to Parliament.

He found that five political parties did not submit their audited financial statements for the 2017-18 year within the specified time frames.

“While there are legislated requirements for the complete and accurate preparation and submission of financial statements and audit reports by the political parties, an inherent risk remains for the RPPF that the political parties will not adhere to the legislated requirements,” Makwetu said.

He named the embattled PAC as having failed to submit an audit report and audited financial statements to the IEC within three months of the end of that financial year.

“Four political parties submitted an audit report and audited financial statements after the prescribed time period,” he also said.

Makwetu named these as the African Independent Congress (AIC), Agang, African People’s Convention (APC) and Bushbuckridge Residents Association (BRA).

Yesterday, the PAC factions confirmed they failed to meet the deadline as stipulated in the Public Funding of Represented Political Parties Act.

Newly expelled MP Luthando Mbinda blamed the problem on the party’s internal wrangling.

“There was money given to another group, which did not want to account for it. We eventually explained it to the auditors,” Mbinda said.

He said the amount involved about R100 000 paid to the faction of his rival, secretary-general Narius Moloto, before Mbinda took control of the bank account in July.

The RPPF annual report showed that R140.7 million was allocated to 15 parties in the National Assembly and legislatures.

The ANC received the lion’s share of R83.5m, followed by the DA with R30.4m and EFF R11.4m. The IFP received R3.9m, National Freedom Party R2.2m, Freedom Front Plus R2m, Cope R1.9m and UDM R1.5m. Other parties were allocated less than R1m, with the ACDP and AIC receiving R954 035 each, the Minority Front R588 969, BRA R398 056, Agang R305 196, and the PAC and APC R152 598 each.

All the parties received full amounts except the PAC, which had R38 150 withheld. Of all the funds allocated to the parties, R11.8m was unspent.