Not one Eastern Cape municipality has obtained a clean audit, according to a report on Monday.
The Dispatch Online reported provincial Auditor-General Singa Ngqwala as stating that municipalities in the province had regressed further in their 2011-2012 audit outcomes since the 2010-2011 financial year.
Nine municipalities had unqualified audits but with findings.
There were 19 councils with a qualified opinion, eleven remained unchanged and five improved from disclaimers and adverse opinions.
Local government MEC Mlibo Qoboshiyane said he was disturbed by the regression and by the fact that once again none of the four municipalities had clean audits.
He said he would work with all mayors to address the situation but where there was no alternative he would use the powers bestowed on him by the constitution and other laws of the land.