ATC240229: First Report of the Standing Committee on Public Accounts on the unauthorised expenditure of the Department of Cooperative Governance dated 14 February 2024.
Public Accounts (SCOPA)
First Report of the Standing Committee on Public Accounts on the unauthorised expenditure of the Department of Cooperative Governance dated 14 February 2024.
The Standing Committee on Public Accounts (the Committee) considered and heard evidence on the unauthorised expenditure of the Department of Cooperative Governance (the Department) in relation to previous years and reports as follows:
- Background:
The Committee notes that unauthorised expenditure totalling R1.123 million which consists of R430 000 in Programme 1 and R693 000 in Programme 7 incurred 2006/07 financial year, higher than budget expenditure on travel and subsistence in respect of the Commission on Traditional Leadership Disputes and Claims and legal fees associated with disputes.
2. Mitigating actions and steps taken to prevent unauthorised expenditure
- No budget provided by the Department for the operations of the Commission.
- The Department did not request any virement as the only underspending in the budget was on the Municipal Infrastructure Grant, which is specifically earmarked.
- No indication of remedial action provided for by the Department.
Recommendation
Having considered the above matter the Committee recommends that an amount of R430.000 in Programme 1 and R693 000 million in Programme 7 should be financed as a reduction of the Department’s future allocation in terms of section 34(1)(b) of the PFMA, 1999.
5. Conclusion
The Committee further recommends that the Auditor-General should follow up on all matters raised above and report thereon in its audit outcome on unauthorised expenditure after the end of the 2023/24 financial year.
Report to be considered.