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Discrepancies in Provincial Development Accounts

October 22, 2014 1:06 am

The 2013 Trust Fund Account expenses by the Provincial Development ministry could not be ascertained by the Auditor General’s office.

The Ministry’s trust fund liability account shows a balance of $2.5M, the cash at bank recorded in the Financial Management system shows a balance of $5M – a difference of more than $3m.

The audit also couldn’t ascertain that all receipts and payments have been accurately accounted and disclosed in the main trust – while the ministry’s general ledger shows $5m cash at bank, the bank statement only accounts for $1.9m.

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The Provincial Development Ministry also did not reconcile the Prime Minister’s National Disaster Relief and Rehabilitation trust fund because no expense ledger was maintained.

Projects for individual communities that have given their one third deposits have been delayed for as much as ten years.

70 projects under the Rural Housing Assistance Scheme with more than $200,000 in contributions haven’t been implemented.

It’s the same for 9 projects under the Prime Minister’s Relief and Rehabilitation Project and 5 self help projects.

An inspection of stores at Top-Yard Walu Bay, revealed unaccounted building materials and other items stacked outside the yard, deteriorating due to wear and tear. Tropical Cyclone Rehabilitation materials received in 2011 were still not delivered to those affected in the Northern Division.

The audit report says the Provincial Development Ministry has poor control over the administration of Tropical Cyclone Evans Housing Rehabilitation operation in the West – blanket approvals were issued to suppliers without purchase orders – without any ceiling amount for costs.

Kasabia’s Ltd and R.C Manubhai were paid hundreds of thousands of dollars for supply of building materials which were not fully delivered to recipients.

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