N$14 700 earner gets Aroab low-cost housing loan - audit

An auditor general's report on the Aroab Village Council says officials approved a municipal housing loan for an applicant earning N$14 700 a month.The approval breached the programme's eligibility limit, which restricts loans to disadvantaged households earning N$3 000 or less a month, the audit found.Under the heading 'ineligible Build Together loan applicant', the auditors wrote that their review found a Build Together loan application where "the applicant reported a monthly income of N$14 700, more than three times the prescribed low-income household threshold of N$3 000, yet the application was nonetheless approved."The low-cost housing scheme, governed by the National Housing Development Act, was also affected by irregular loan allocations and inadequate administrative controls, according to the report.The audit further reveals financial discrepancies between the village council's internal records and its submissions to the urban and rural development ministry."The audit identified inconsistencies in the Build Together loan amounts disclosed in the annual financial statements for the 2023/2024 financial year,” the auditors wrote.“The village council submitted a new applicants list totalling N$ 800 000 to the Ministry of Urban and Rural Development for funding, while the annual financial statements reflect new Build Together loans of N$854 090, resulting in an unexplained variance of N$54 090."In addition, auditors found that a year earlier, during the 2022/2023 financial year, “no evidence was provided of a submitted applicants list or funding request to the Ministry of Urban and Rural Development; however, the annual financial statements disclosed new Build Together loans of N$605 000”.Weak controlsBasic internal checks and authorisation protocols within the scheme have reportedly largely collapsed.AG Junias Kandjeke discovered that progress payment authorisation forms across all beneficiaries were signed solely by the preparer.The forms contained no proof of independent verification by supervisors or final approval from the chief executive officer before cash disbursements were made, the audit found.The documents indicate that the outstanding long-term loans under the housing programme grew to over N$4.1 million by June 2024.Although the loans are legally tied to the constructed houses as collateral, the auditor general cautioned that the council has never once exercised its power to repossess a defaulting property, leaving the municipality with zero protection against non-payment.The auditors also found that millions in public funds were omitted from the council’s general ledger, including a N$769 608 capital grant from the line ministry intended for streetlights, alongside hundreds of thousands in routine electricity transfer payments.Agricultural neglectLocal livestock farmers utilise the council's townlands for grazing, yet the municipality reportedly failed to execute formal lease agreements or maintain a townland register to track land usage, the auditors found.Furthermore, grazing fees went largely uncollected due to missing headcount records. The council also failed to enforce its own impoundment bylaws, allowing unauthorised livestock to roam freely on public land without penalties.rita@nmh-hub.com.na

N$14 700 earner gets Aroab low-cost housing loan - audit

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Namibian Sun 2026-10-08

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N$14 700 earner gets Aroab low-cost housing loan - audit

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Namibian Sun 2026-10-08

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