DA cautiously welcomes Scopa investigation into R7 million fraud case
22 May 2017
The Democratic Alliance cautiously welcomes the decision taken by the North West Standing Committee on Public Accounts (Scopa) to summon two police officers before the committee to come forward and explain why a fraud case of nearly R7 million was finalised, without anyone being charged.
We would have fully supported the decision if the Acting Provincial Commissioner, as the primary law enforcement Officer in the Province, was also called to account on this specific case.
The R7 million fraud was exposed by the Auditor-General who determined that they were irregularly spent by the North West Provincial Arts and Culture Council (CATA).
The Auditor-General’s report indicates that:
- Quotations were awarded to suppliers whose tax methods were not declared to SARS.
- Goods and services amounting to R500 000 were procured without obtaining the required price quotations as required by the Treasury regulation 16A6.1.
- An amount of R151 000 in cash, that was withdrawn from Waterfall Mall in Rustenburg, could not be accounted for.
- An amount of R2 559 561 was reported as irregular and wasteful expenditure for the current year.
- On 28 April 2012 an amount of R130 674 was paid for Freedom Day activities and no payment vouchers could be presented.
It has been reported that CATA is in the process of winding down. The DA will keep a close eye on these new developments to ensure that effective steps are taken to deal with outstanding issues of irregular expenditure.
Perhaps the most scathing finding made by the Auditor-General is that CATA had no supply management procurement policy aligned with legislation.
The DA will not stand by while millions of rands allocated to social upliftment are looted by unscrupulous individuals motivated by their own greedy interests. We hope the SCOPA inquiry will help us get to the bottom of this matter and bring those responsible to book.
Issued by Joe McGluwa, DA North West Leader, 22 May 2017
