The Chairperson of the Standing Committee on Public Accounts (SCOPA), Mr Themba Godi and representatives from the Auditor-General (AG) today praised the leadership of the Department of Defence for the progress they have made in addressing audit qualifications identified in the 2009/10 Annual Report, improvements in managing the department and development of financial and management systems.
The Secretary for Defence, Ms Mpumi Mpofu accompanied by the senior management of the Department of Defence appeared before SCOPA to account on financial management of 2009/2010. The team was accompanied by the Minister of Defence and Military Veterans, Ms Lindiwe Sisulu to observe the proceedings and also understand concerns and recommendations of SCOPA.
The meeting focused on the progress being made to address irregular expenditure and assets management. The Secretary for Defence reported that progress has been made in capturing and accounting for all assets in the department.
“We are confident that in the coming months we would be able to account for all our assets which is the only qualification in this 2009/10 annual report and in line with the requirements of the Auditor General and the Treasury. It must be stated that we know where all our assets are, we have our systems, what the Auditor General is concern about is that our systems do not comply with treasury systems, together with the AG and treasury we are now implementing new systems that comply with AG and treasury requirements,” Mpofu said.
The Secretary for Defence added that what is important in the management of assets is stewardship and ownership at all levels. “ We are extending our training to all level of management, one of the problems was lack of training on systems, in this case we are taking all managers on board to ensure ownership and hands on stewardship,” she added.
Speaking at the conclusion of the meeting the Chairperson of SCOPA, Mr Godi, said the Auditor-General has conveyed his appreciation of the leadership of the Department in working with all stakeholders to reduce the qualifications from 16 to 1 over a short period of time. “The leadership of the Minister and the Secretary for Defence must be commended and encouraged, they set an example for other departments,” he said.
Commenting after the meeting, the Minister of Defence and Military Veterans said she is proud of the work done by the leadership of the Department in particular the Chief of the South African Defence Force (SANDF) and the Military Command Council and the Secretary for Defence and her team.
“I am proud of the progress made by the team, we want to reassure you Chairperson and members that we want a clean audit without any qualifications next year financial year, it is our commitment as a team, we are very capable and we have demonstrated. Our vision is of a department without audit qualifications, and our operation clean audit will achieve that,” she said.
The Minister also introduced the newly appointed Compliance Officer who will help the Minister to monitor compliance with all regulations and report to the Minister. “We are convinced that the Compliance Officer, working with the Inspector General together with the leadership of the Department will ensure that we are the best managed department very soon, we have begun the journey to greater heights,” she said.
The meeting also covered issues related to payments, performance management and management of contracts.
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