AG reports non-complying local authorities

18 March 2019 | Government

The auditor-general, Junias Kandjeke, has reported 24 local authorities to the National Assembly for their perennial failure to submit financial statements to his office as required by the law.

The information is contained in a special report on the non-submission of financial statements by some local authorities, regional councils and statutory bodies for the financial years ended 30 June 2016, 2017 and 2018.

The law requires local authorities to submit their financial statements three months after the end of a financial year or a period approved by the auditor-general.

The financial statements referred to include a balance sheet showing assets and liabilities; a statement of income and expenditure and any other statement that may from time to time be required by the auditor-general.

The special report was submitted to the National Assembly for further deliberation by the deputy finance minister Natangwe Ithete last week. The auditor-general is, in terms of Section 27 (3) of the State Finance Act of 1991, allowed to publish a special report where it is deemed in the interest of the government and public.

The report exposes 12 village- and 12 town councils who have failed to submit their financial statements.

Karasburg leads the pack as far as non-submission of financial statements is concerned. Its non-submission dates back to 2012/13. Since then, the council is yet to furnish the auditor-general with any statements.

Mariental failed to submit its financial statements for the 2017/18 financial year, while Outjo failed to make its submissions for three consecutive financial years from 2015/16.

Okahandja, the local authority that has been dominated by infighting and allegations of corruption, did not submit any statements for the 2016/17 and 2017/18 financial years, the report shows.

Furthermore, the Oshikuku, Okakarara, Ruacana, Rundu and Khorixas town councils did not submit their statements for the 2017/18 financial period.

The town councils of Okahao and Rehoboth did not submit financial records for 2016/17 and 2017/18, the report notes.

Katima Mulilo also failed to submit anything during the financial years 2015/16, 2016/17 and 2017/18.

The village councils implicated in the report include Bukalo, Gibeon, Kalkrand, Tsandi, Tses, Witvlei, Otjinene, Stampriet, Maltahöhe and Gochas.

“Non-submission of financial statements hampers the execution of my mandate, causes unnecessary delays and as such I express my concern to the National Assembly,” Kandjeke said in the report.


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