The FW de Klerk Foundation welcomes Public Audit Amendment Bill

The FW De Klerk Foundation has welcomed the passing of the Public Audit Amendment Bill‚ which will give the Auditor-General more powers.

“The Bill will empower the Auditor-General to refer adverse findings in its reports to investigative bodies at all levels of government‚ as well as state-owned entities‚” the foundation said in a statement.

On Tuesday‚ the National Assembly unanimously passed the Public Audit Amendment Bill‚ which seeks to give the office of the Auditor-General more teeth. The Bill will now be referred to the National Council of Provinces for concurrence.

The new law will give the Auditor-General the power to refer adverse findings in its reports to investigative bodies‚ as well as recover funds lost due to non-adherence to the Public Finance Management Act. This includes fraud‚ theft or any breaches of fiduciary duty where significant harm to the general public or a public entity occurs.

According to the foundation‚ the Bill will permit the office of the Auditor-General to refer gross irregularities to authorities‚ including the National Prosecuting Authority‚ as well as the Public Protector.

“While the enactment of legislation such as the Bill is a welcome development‚ it is not enough to stem public sector maladministration.

“It is vital that bodies such as the Directorate for Priority Crime Investigation (the Hawks) have the skill and expertise to investigate and bring to book individuals complicit in maladministration. However‚ the unanimous passing of the Bill is indicative of parliament’s recognition of the need to curb public spending‚ as well as to mete out sanction to those responsible‚ and is an important step in the right direction.”