Premier Mbhazima Shilowa yesterday highlighted the importance of sound
financial management and commended outgoing Auditor-General Shauket Fakie for
keeping government departments in line.
"The Auditor-General's stern leadership has demonstrated his commitment to
good governance, sound financial management, transparency and accountability,"
said Shilowa.
The Auditor-General's performance was applauded at the Gauteng legislature
where he addressed the provincial legislature on audit outcomes of departmental
financial statements for the financial year 2004/2005. The Auditor-General's
term of office ends in November this year after seven years in office.
In his report, the Auditor-General said that the Gauteng Provincial
Government's financial management had slipped. In 2004 the province had three
qualified audits and yet in 2005 this had increased to seven.
Fakie said issues of concern included asset management, transfer of
payments, and fruitless and wasteful expenditure. He also highlighted that some
municipalities in 2005 had not submitted financial statements.
In response, Shilowa said that he appreciated the report and that
municipalities needed to put strong controls to address weaknesses identified.
He reiterated that there were gaps in procedures as mayors did not have to
report to their constituencies first but they reported directly to the
legislature. "Mayors should be held more accountable by their constituents," he
said.
Shilowa said interventions to align the performance of municipalities should
be considered by the Auditor-General when receiving reports. He said it was
sometimes difficult to measure performance in monetary terms because one could
not always put a price on public satisfaction.
Issued by: Gauteng Provincial Government
24 August 2006
Source: SAPA
