Compensation fund fails audit again
01 October 2014
The Auditor-General of South Africa has issued a disclaimer of opinion against the Compensation Fund - this is the worst possible finding the AG could make and follows four years of qualified audits.
The findings by the Auditor General confirm that the fund is in a state of chaos.
The situation is currently so problematic that the Fund cannot reconcile its revenue and debtors. Furthermore, the entity does not have a process in place to ensure that employers are properly registered with the Fund.
The entity racked up almost R139 million in irregular expenditure and over R15 million in fruitless and wasteful expenditure.