A-G SLAMS GAUTENG HEALTH FOR UNACCOUNTED R12 BILLION
The Auditor-General has yet again criticised the Gauteng Health Department in a scathing report that shows that it has failed to account for more than R12 billion of its R26 billion budget.
The A-G's report was recently tabled in the Gauteng Legislature and covers the 2012/13 financial year.
Findings include the following:
- Irregular expenditure of more than R5.7bn;
- Fruitless and wasteful expenditure of more than R408 million;
- Insufficient evidence to support the department's claims that it received revenue amounting to over R2bn from private patients and payments from neighbouring provinces;
- Insufficient audit evidence for departmental revenue amounting to R506 939 000;
Unable to verify that the department had already paid more than R2bn in lawsuits against it because there were inadequate control systems in place for the identification and recognition of contingent liabilities.
- R825m spent on unsolicited tender bids;
- R120m in infrastructure irregularities;
- R324m overspent on goods and services;
- R125m wasted on legal claims, R8m wasted on purchasing expired medicine as well as paying collective interest of R8m on those two expenses.
It's a very poor picture that has resulted in a qualified A-G report. Most of the problems are because of inadequate financial controls and disregard of regulations.
This department still has a long way to go in making the changes that will ensure effective spending on health services in Gauteng.
Statement issued by Jack Bloom MPL, DA Gauteng Health Spokesman, September 16 2013
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