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The chairperson of Parliament’s Public Accounts Committee (PAC), Chalton Hwende, said that they will summon the Permanent Secretary in the Ministry of Finance, Economic Development and Investment Promotion, George Guvamatanga, over his criticism of the Auditor-General’s report.
The 2023 report presented to Parliament by Auditor-General Rhea Kujinga exposed how the government had paid substantial sums of money for a range of items, including 97 vehicles and medical and ICT equipment, but the suppliers had failed to deliver these goods to various government ministries and departments.
In response, Guvamatanga criticised the Office of the Auditor General (OAG), saying the findings were misleading and suggesting that the report should have clarified that the government was taking action on the matter.
However, speaking in an interview with <a href="https://www.newsday.co.zw/thestandard/news/article/200030201/guvamatanga-faces-censure-over-outburst">The Standard</a>, Hwende characterised Guvamatanga’s comments as an attempt to “intimidate and undermine the Auditor General.” Said Hwende:
<blockquote>
The attack on the OAG’s report by the permanent secretary is rather unfortunate and as a public accounts committee, we view it as an attempt to intimidate and interfere with the constitutional responsibility bestowed on the Office of the Auditor General.
We will soon be summoning him to Parliament so that he can appear before the committee. Parliament through our committee is seized with the 2023 Office of the Auditor General’s report and we must be allowed to perform our oversight role and ensure that public resources are properly accounted for.
</blockquote>
Transparency International Zimbabwe executive director Tafadzwa Chikumbu said:
<blockquote>
The secretary of Finance should respect the role of the auditor general as established by Section 310 of the constitution of Zimbabwe and the Audit Office Act [Chapter 22:18] which mandates the Office of the Auditor General to provide oversight and ensure accountability within the three arms of government, state-owned enterprises and local authorities.
As Transparency International, we value the role of supreme audit institutions in identifying corruption risks in the public sector.
Instead, the permanent secretary should work closely with the OAGs office to ensure that financial management systems are in place and being adhered to.
His utterances are quite concerning and worrying in view of the damning findings of the 2023 reports…
I concur that the public accounts commit to summon the secretary in there as Parliament to protect the constitution and safeguard public resources for the common good.
</blockquote>
Speaking during a familiarisation tour of the Finance Ministry by the Budget and Finance Parliamentary Committee on Monday last week, Guvamatanga said the Auditor General’s office “misdirected itself” in its report. He said:
<blockquote>
l can safely say that the auditor general misdirected themselves because, within the three pillars of control, those are regarded as issues known to management so l am not saying they should not have highlighted them but they should have mentioned them and say, government has discovered that there were undelivered vehicles.
</blockquote>
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Pindula News

Parliament is angry with a man named George for criticizing a report about the government wasting money. The report said the government paid for things like cars and equipment, but never got them. George said the report was wrong and the government was fixing the problem. But Parliament thinks George is trying to stop the report from showing the truth. They want him to explain himself in front of them. Another group called Transparency International also thinks George should respect the report and help make sure money is spent correctly. Everyone is arguing about who is right.

Parliament Set To Summon Guvamatanga For "Undermining" Auditor General

The Crisis in Zimbabwe Coalition (CiZC) has called on the government to launch comprehensive investigations into all the cases of corruption and financial mismanagement highlighted in the Auditor General’s report for the Financial Year ended December 31, 2023.
In a statement, CiZC said that the AG’s report exposes a culture of impunity, a lack of accountability, and a blatant disregard for proper procedures by those occupying public offices. Reads the statement:
<blockquote>
The Crisis in Zimbabwe Coalition is appalled by the damning revelations contained in the latest Auditor General’s report on the widespread corruption and financial mismanagement and calls on Zimbabweans to stand up to demand that those responsible be held accountable.
The latest report, which closely mirrors the previous ones by the AG, lays bare the culture of impunity, lack of accountability, and blatant disregard for proper procedures that have become the hallmark of governance in Zimbabwe.
The report exposes a disturbing pattern of corruption and abuse of public resources across these include:
<ul>
<li>Unfulfilled Contracts and Missing Assets,</li>
<li>Inflated Pricing and Suspicious Procurement,</li>
<li>Unaccounted Funds and Arrears,</li>
<li>Failure to Respond to Audit Findings</li>
</ul>
The government’s failure to address the financial rot has exacerbated the economic and humanitarian crises facing the country, leaving millions of Zimbabweans suffering.
The Crisis in Zimbabwe Coalition demands the following urgent actions: 
<ul>
<li>The government must launch comprehensive investigations into all the cases of corruption and financial mismanagement highlighted in the Auditor General’s report. Those responsible must be held accountable</li>
<li>The govt must urgently revamp its public financial management systems and procurement procedures to ensure transparency, competitive bidding, and effective oversight. All govt ministries and agencies must be required to promptly respond to audit findings and recommendations</li>
<li>Independent Oversight and Civil Society Participation: The govt must empower independent oversight bodies, such as the AG’s Office, and actively engage with civil society organizations to enhance transparency and public participation in the management of public resources.</li>
</ul>
</blockquote>
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

A group called Crisis in Zimbabwe Coalition wants the government to investigate corruption and financial mismanagement revealed in a report. They say people in public offices show no accountability and break rules. The report shows corruption and misuse of public money. This is making life hard for people in Zimbabwe. The group wants the government to take action by investigating, improving financial systems, and involving civil society. They want those responsible for corruption to face consequences. The group is asking people to speak up and demand justice.

CSOs Urge Govt to Probe Corruption Detailed In Auditor General's Report

The National Social Security Authority (NSSA) has come under scrutiny for controversially issuing a total of ZWL$12 billion in loans and advances that lack any supporting loan agreements or formal arrangements.
This finding was revealed in the Auditor-General’s report for the Financial Year ended December 31, on State-owned Enterprises and Parastatals.
The absence of proper loan documentation raises questions about the legitimacy and purpose of these ZWL$12 billion in disbursements, which appear to have been made in a murky and unstructured manner. Acting Auditor-General Rheah Kujinga said:
<blockquote>
The Group disclosed an amount of ZWL$13.1 billion as loans and advances. In this amount, ZWL$12 billion was not supported by any loan agreements or loan arrangements.
As a result, I could not satisfy myself on the recognition, measurement and disclosure of these loans in the 
financial statements.
</blockquote>
By disbursing loans amounting to ZWL$12 billion without the support of loan agreements, NSSA is risking significant losses to pensioners’ funds.
The Auditor General’s report further disclosed that NSSA board members are flouting the law by neglecting to declare their assets, which raises critical concerns about their integrity.
According to Section 37 of the Public Entities Corporate Governance Act [Chapter 10:31], board members and senior staff are required to declare their personal assets within three months of their appointment. This requirement is crucial for maintaining probity, transparency, and accountability.
Acting Auditor-General Rheah Kujinga has warned that the failure of NSSA board members to declare their personal assets poses a risk to the board’s oversight role, transparency, and accountability.
She has instructed NSSA to enforce annual updates of asset declarations by board members. Said Kujinga:
<blockquote>
The Authority’s Board members did not declare assets within three (3) months of appointment. This was contrary to the Public Entities Corporate Governance Act [Chapter 10:31] Section 37 which requires declaration of assets to be done by the Board and senior members of staff.
Senior members of staff and the Board should declare their assets in line with Section 37 of the Public Entities Corporate Governance Act [Chapter 10:31].
</blockquote>
NSSA has been plagued by financial scandals over the years, where privileged managers have received generous loans and perks, while pensioners endure severe poverty.
Currently, pensioners receive a paltry US$50 per month from NSSA.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

The National Social Security Authority (NSSA) made $12 billion in loans without proper documentation, according to the Auditor-General's report. This raises concerns about where the money went and if it will be paid back, risking pensioners' funds. The report also found that NSSA board members are not declaring their assets as required by law, which affects transparency and accountability. The Auditor-General instructed NSSA to enforce asset declarations to ensure proper oversight. NSSA has a history of financial scandals, where managers receive benefits while pensioners struggle. Pensioners currently receive only $50 per month from NSSA.

NSSA Made Unsubstantiated $12 Billion Loans And Advances In 2023 - AG Report

The Auditor-General’s Office has found that several state-owned enterprises in Zimbabwe paid millions of dollars for goods and services that were never delivered.
In her latest report for the financial year ending December 31, 2022, the Acting AG Mrs Rheah Kujinga, revealed that public entities also suffered significant financial losses. For instance, the <a href="https://www.pindula.co.zw/Zimbabwe_Revenue_Authority/">Zimbabwe Revenue Authority (ZIMRA)</a> experienced a loss of $209 million after purchasing vehicles that were not fully delivered, <a href="https://www.sundaymail.co.zw/parastatals-pay-for-undelivered-goods">The Sunday Mail</a> reported citing Kujinga’s report. Despite making the payment in February 2022, only 15 out of 35 Toyota Hilux vehicles were received, and none of the 50 Toyota Corolla vehicles were delivered by December 2022. Read the report in part:
<blockquote>
The authority paid $209 million for procurement of 35 Toyota Hilux double-cabs and 50 Toyota Corolla vehicles on February 24, 2022. However, the supplier had delivered 15 of the 35 Toyota Hilux and none of the 50 Toyota Corolla vehicles.
</blockquote>
ZIMRA’s internal system for managing travel and subsistence expenses was found to have weaknesses that could be exploited. As a result, the authority was owed a total of $73.8 million by staff members for travel and subsistence allowances as of December 31, 2022.
Even the <a href="https://www.pindula.co.zw/Zimbabwe_Anti-Corruption_Commission/">Zimbabwe Anti-Corruption Commission (ZACC)</a> faced issues with its procurement process. They spent $345,918 to buy 10 motor vehicles but only received five. The Acting Auditor-General also mentioned that ZACC didn’t provide reconciliations with their creditors and didn’t provide supporting documents for expenses totalling $353,472 (valued at US$21,078 at that time). She added:
<blockquote>
There were no invoices and or supplier statements to support the expenditure.
</blockquote>
Managers at the <a href="https://www.pindula.co.zw/National_Social_Security_Authority/">National Social Security Authority (NSSA)</a> were criticised for not considering the tax implications on allowances and benefits. This led to the authority including school fees and fuel allowances in the gross income for tax purposes. Additionally, one manager received a gym subscription of US$200 and various allowances outside of their employment contract, without proper tax remittance. Read the resort:
<blockquote>
The manager also received a holiday allowance amounting to US$ 15,000 and a retention allowance amounting to $ 120,994, which was also processed outside the payroll net of tax. The tax thereof amounting to $80 663 was not remitted to ZIMRA.
</blockquote>
The report also highlighted issues at Air Zimbabwe, where unrecorded aircraft were found, and at the <a href="https://www.pindula.co.zw/ZINARA/">Zimbabwe National Road Administration (ZINARA)</a>, where tollgate exemptions were given without proper approval.
Furthermore, some parastatals have not submitted financial statements for up to five years. The Acting Auditor-General reported a total of 170 governance issues, compared to 81 in the previous year, including unsupported expenditures, accounting policy non-alignment, inadequate controls, and non-compliance with tax laws.
<h3><a href="https://www.pindula.co.zw/">More Pindula News</a></h3>

Zimbabwe's State-Owned Enterprises Paid Millions For Goods And Services That Were Never Delivered

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