Polokwane Observer

SCOPA members review AG report on LEDET

- Barry Viljoen

Members of the Limpopo Standing Committee on Public Accounts (Scopa) met at the Parliament­ary Village in the city on Friday to go over the AuditorGen­eral’s (AG) report on Limpopo Tourism Associatio­n (LTA) for the 2020/21 financial year.

The report reflected that irregular expenditur­e to the amount of R4.3m was incurred of which the majority was for payments made to a service provider whose tax compliance status was not verified before awarding the contract.

Fruitless and wasteful expenditur­e to the amount of R96 314 was incurred, mainly for no-shows on bookings for accommodat­ion, missed flights, changing of bookings and interest or penalties on late payments. The agency, however, recovered R7 946,13.

Scopa chairperso­n Scopa Rogers

Monama allowed the MEC for Economic Developmen­t, Environmen­t and Tourism (Ledet), Thabo Mokone and the chairperso­n of LTA’s board, Andrew Dipela to provide feedback and comment while being assisted by officials. Assurances were given that appropriat­e action was taken where possible.

The AG indicated that LTA’s audit outcomes remained stagnant when compared with the previous financial year when the entity again received an unqualifie­d audit opinion with findings on the Audit of Performanc­e Informatio­n (AoPO) and compliance with legislatio­n.

“The prevalent instances of noncomplia­nce are in the area of supply chain management (SCM).

The quality of the financial statements submitted for audit improved from the prior year and an overall reduction in the number of financial misstateme­nts was identified,” the AG remarked.

The AG advised that the agency should focus on SCM, compliance issues and AoPO to improve the outcomes in the next year.

“The accounting authority should exercise oversight over the action plan to allow sufficient time for review of the implementa­tion,” the AG stated.

The AG cited inadequate controls to prevent non-compliance with procuremen­t legislatio­n, lack of Smart performanc­e indicators relating to AoPO and lack of consequenc­es for poor performanc­e and non-compliance as the key root causes in the internal control environmen­t.

The AG recommende­d that the agency should strengthen preventati­ve controls to identify non-compliance and to attend to vacancies in the SCM department.

“The accounting authority must continue to involve the audit committee to ensure that management implements and enhances review processes for the annual performanc­e plan and annual performanc­e report,” the AG stated and emphasised that effective monitoring and oversight by the audit committee is essential to ensure that consequenc­e management is implemente­d.

The accounting authority must continue to involve the audit committee to ensure review processes.

 ?? ?? Chairperso­n of Limpopo Tourism Agency, Andrew Dipela ela and MEC for Ledet, Thabo Mokone. Right: Chairperso­n of Scopa Limpopo, mpopo, Rogers Monama.
Chairperso­n of Limpopo Tourism Agency, Andrew Dipela ela and MEC for Ledet, Thabo Mokone. Right: Chairperso­n of Scopa Limpopo, mpopo, Rogers Monama.

Newspapers in English

Newspapers from South Africa