Resolving issues noted on Procurement 0

Issues noted on Procurement 1 1.Section 17(1)(4)(b)(c) of the Public Procurement and Disposal Regulations, 2006 requires that inspection and acceptance certificates be issued for verification of technical standards for every purchase. This was not availed. 2. Contracts were varied both in terms of the duration/length and the cost without justification. 3. Despite poor performance, contractor’s certificates and retention fees are fully paid. 4. Some Tender documents are not typed and alterations are made to these documents, casting doubt on the credibility of the process.

Issues noted on Procurement 2 5. Some ministries were involved in irregular payments, against what was stipulated, e.g. Paying more than the stipulated amount to contractors without justifications. Payment of higher board or committee allowances than recommended. 6. Ministry irregularly used restricted method of procurement to avoid competition. 7. Cash purchases in excess of authorized ceiling. 8. Quoted prices were higher than the market prices.

Issues noted on Procurement 3 9. Procurement of goods & services without authority of accounting officer. 10.No technical evaluation was done during awarding of the contract.

Questions? 4

5

Resolving Budget related issues noted by OAG 6

Budget related issues noted by OAG 7 1.Financial statements that would have reflected an over expenditure had the pending bills been paid. 2.Pending bills brought forward relating to several financial years back. 3.Pending bills that were incurred without authorisation of the Accounting Officer. 4.Records and documents to support the pending bills not availed. 5. Re-Allocation of budget without parliamentary approval. 6. Excess AIA which has not been remitted to Exchequer. 7. Expenditure over and above approved budget.

Questions? 8

9

Resolving internal controls issues noted by OAG 10

Internal control issues noted by OAG Lack of disaster recovery program and backups for data security and integrity. 2. Irregular Audit Committee meetings of the in some MDAs. In some cases, the committees met less than the minimum number of meetings required in a year while in other cases, no evidence of meetings was availed due to lack of reports. 3. Some MDAs had not resolved internal audit issues raised in previous years. 4. Cash was dispensed in paying for undelivered goods in some projects, long after the delivery period had lapsed.

Internal control issues noted by OAG Many infrastructure projects had been abandoned at various stages of completion (some less than 50% complete). Further some of the abandoned civil works had several defects and poor workmanships. In some instances, it was not possible to confirm if and when the remaining works will be completed. 6. Some projects were unable to physically verify some assets, while for those disposed of, their proceeds were never accounted for. Progress reports relating to motor vehicles that were grounded in a garage were not availed for physical verification.

Internal control issues noted by OAG In some cases, bank reconciliations for projects, receivers of revenue and CFSs were not prepared. Further, for project bank reconciliations prepared, they were not reviewed as they had long outstanding stale cheques, payments in bank that had not been recorded in the cash book and receipts in cashbook that were not banked, hence missing in the statement.

Questions? 14

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