LEGISLATION
New audit rules for public entities hinge on fees, says Treasury
The process of amending the Public Audit Act to give the office of the auditor-general more teeth is under way in Parliament, with the Treasury the latest department to make inputs. Inputs have largely focused on how to compel underperforming auditees to get in line with government procurement standards. But a delegation from the Treasury told MPs that in some cases the subjects of audits were in such financial distress that they could not even pay for the service. One of the aims of the process, which is being handled by Parliament’s standing committee on the auditor-general, is the introduction of penalties for state-owned entities and government departments that repeatedly flout Treasury guidelines and regulations on supply chain management. Auditor-General Kimi Makwetu said in November that irregular expenditure had ballooned to R45.6bn, representing a 55% rise. At the same time, more departments and entities were resisting the authority of Makwetu’s office and had intimidated h...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.