Auditors of SA municipalities say they are intimidated and threatened

Some audit teams were pressured to modify conclusions to avoid negative audits outcomes, AG says.
Auditor-General Kimi Makwetu. Picture: Elmond Jiyane, GCIS

South Africa’s Auditor-General said his staff are threatened and intimidated when they audit municipalities as the finances of local governments, service delivery and infrastructure maintenance deteriorates.

In some municipalities audit teams were pressured to change their conclusions to avoid negative audit outcomes or the disclosure of irregular expenditure, Auditor-General Kimi Makwetu told reporters Wednesday in Pretoria at the presentation of local government audit results for the year through June 2018.

“The audit environment became more hostile with increased contestation of audit findings and pushbacks whereby our audit processes and the motives of our audit teams were questioned,” Makwetu said.

Debt to utilities

Former finance minister Nhlanhla Nene said last year some South African cities are “on the brink of collapse” and need to be pulled back from the cusp of financial ruin. Delinquent cities have wracked up massive debts to utility companies, hampering the delivery of services. Municipalities’ outstanding debt to power provider Eskom was R20 billion ($1.4 billion) by March 2019, the utility’s spokeswoman Dikatso Mothae said by phone.

The report shows irregular expenditure dropped to R25.2 billion in the 12 months through June 2018 from R29.7 billion in the previous year. That’s the first decline since 2015 but the amount could be higher because 46% of the municipalities didn’t completely disclose irregular spending or disclosed in their financial statements that they did not know the full extent of irregular expenditure, Makwetu said.

Of the 257 audited municipalities, the outcomes of 63 regressed while those of 22 improved. Only 8% received a clean audit.

The positive outcomes are “dwarfed by the pervasive control and monitoring failures evident at a significant numbers of other municipalities,” Makwetu said. “The impact is that the fiscal resources placed at their disposal are either misused of not properly accounted for.”

© 2019 Bloomberg L.P.
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So if we have 10 crooks per municipality = 2570 divided by 10 = 257 crooks per year that needs to be locked up to get it done in 10 years. That is one every working day for the next ten years.

I don’t see that happening and what about the rest.

I guess our beloved chief justice will have to pull the finger out.

R 20 billion is unpaid locally to Eskom. What is being done about this? If its not collectible( my view) write it off. And when can we expect Eskoms final results? They are due for March 2019? Last year the audit report was dated 23 June 2018. Where are the numbers? What is being being concealed?


Welcome to ANC ruling Africa style. Loot and loot.

SOEs – bankrupt
Municipalities – bankrupt
Goverment – bankrupt
Citizens – up to their ears in debt
ANC (so-called ruling party) – morally bankrupt

I wonder if the IMF and the ratings agencies are seeing the same pattern that I am…

=> buy gold or forex now

Pretty much in line with the thug-culture that is South Africa.

Gangster nation. Past the point of no return? I think so. I see no evidence of a chance of rehabilitation. Please say it aint so….

“South Africa’s Auditor-General said his staff are threatened and intimidated when they audit municipalities as the finances of local governments, service delivery and infrastructure maintenance deteriorates.”

May I be so stupid as to ask why these threats were not reported to the SAPS Fraud section?

Because they are useless?

Same old, same old…… fishpaste. Same as last years auditors report and what happens….absolutely nothing.
So why have the auditor general in the first place?????

This is exactly the type of people that rise to the top in a socialist system. Those who are morally bankrupt enough to hide their actions through lies and intimidation become the leaders in this kind of political system. That is why each and every state institution is infected by them.

“There is, in a competitive society, nobody who can exercise even a fraction of the power which a socialist planning board would possess. The principle that the end justifies the means is in individualist ethics regarded as the denial of all morals. In collectivist ethics, it becomes necessarily the supreme rule. The power which a millionaire, who may be my neighbour and perhaps my employer, has over me is very much less than that which the smallest functionaire possesses who wields the coercive power of the state, and on whose discretion it depends whether and how I am to be allowed to live or to work.” – Frederic Bastiat “The Road to Serfdom”

To sum up:

The future of the country hangs in the balance, as a result of the internal struggle of the two factions in the ruling ANC, the “good ANC” of Cyril and others and the “bad ANC” of Ace and others.

The bad ANC wants to destroy the country.

The good ANC wants to save the country by destroying it.

On one thing they agree: the ANC must have total control of this destruction.

The ANC has known for 25 years that the waste of public money is not a good idea.

What have they done about it? Nothing

Now you see them wringing their hands over it. Not a clue why, it’s what they’ve tolerated and promoted.

To the rest of South Africa, please pay your taxes to sustain our wonderful democracy.

Thank you and goodnight.

Another “good ANC story” resulting from their kakistocracy.

The auditors of SA municipalities are up against the gangster ANC and the gangster state.

“..staff threatened and intimidated…”

I’m speechless!

End of comments.





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