Purchase of 2010 FIFA World Cup tickets by government departments and public entities

Finance Minister, Pravin Gordhan, will soon meet with the Auditor-General and the chairman of the Standing Committee on Public Accounts (SCOPA) to discuss the issue of world cup ticket purchases by government departments, public enterprises, and municipalities.

While there may be legitimate reasons for buying tickets to advance the business case of public enterprises and government departments, concern has been raised as to what action may be taken should the Auditor-General deem this expenditure wasteful or fruitless.

The Public Finance Management Act (for national and provincial government) and the Municipal Finance Management Act (in the case of local government) clearly outlines that the responsibility to ensure that public funds are not wasted rests with accounting officers.

This would be the director-general in the case of a national department and municipal manager in the case of local government. Each director-general is in turn accountable to Parliament for the expenditure of public funds.

Parliament is the authority responsible for approving budgets and authorising the transfer of funds from the National Revenue account to the relevant departments.

The minister reiterates his call for civil servants to live up to their moral contract with citizens and for restraint and discernment to be exercised in the use of public funds.

Source: National Treasury (http://www.treasury.gov.za/)

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