AGs report on Parastatals reveals financial irregularities

Auditor General Report on parastatals reveals financial irregularities

Auditor General Report on parastatals reveals financial irregularities

The Auditor General’s report on the accounts of Parastatal Bodies and other Statutory Institutions from 2013 to 2016 has reviewed non – remittance of Statutory Contributions ranking as high as K664, 155, 249.

The office says implication for this irregularity is loss of revenue to government in the case of non – remittances to the Zambia Revenue Authority and in the case of non – remittance to LASF and NAPSA the institutions run the risk of failing to pay dues to officers when they retire from employment.

In a statement issued to QTV News, Auditor General’s Office Head of Public Relations Ellen Chikale says the highest second highest ranking audit finding is the loss of non – revenue water at K196, 092, 932.

Ms Chikale says other highlighted irregularities in the report that remains of concern to the office include unaccounted for stores which stood at K22, 637, 485 followed by wasteful expenditure at K15, 435, 151 and an unretired imprest of K13, 116, 978.

She says in the there were 14 Statutory and Parastatal Bodies that had produced audited financial statements for the financial year ended 31st December 2013 to 2016.

On the IDC which serves as the holding company for the 25 State Owned Enterprises, only two in which IDC holds 60 to 100 percent shareholding, declared dividends for the year 2016 in amounts totaling K7, 600, 000.

Ms Chikale says Mulungushi Village Complex Ltd declared K0.2 million and Indeni Petroleum Producers Ltd declared K7.4 million.

She adds that out of seven institutions in which IDC had shareholding of between 14.2 percent and 50 percent, only two institutions namely Indo Zambia Bank Ltd and Nanga Farms Limited declared dividends in amounts totaling K16.76 million.

 

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