Auditor-general Tsakani Maluleke has welcomed the withdrawal of an appeal by the Road Accident Fund (RAF) against a Gauteng High Court ruling that it was inappropriate to interdict the auditor-general of South Africa (AGSA) from exercising its constitutional obligations to audit and report.
The appeal had been set down for argument in the Supreme Court of Appeal (SCA) on May 8.
The court judgment, handed down on February 24 2022, was a challenge against the AG tabling the RAF audit report in parliament, as prescribed by the Public Audit Act, which mandates the AG to do so within a particular time frame after completing the audit.
“This is a step in the right direction and a welcome development that confirms our long-held view that the constitutional function of the AGSA, as the country’s independent supreme audit institution, should not be interfered with,” said Maluleke.
“Furthermore, we remain convinced that airing accounting and auditing matters before the courts is not in the best interest of audit and financial accountability. We are now preparing for the review application brought by the RAF in the high court, which is set down for argument on October 4 and 5.”
Auditor-general welcomes withdrawal of Road Accident Fund court appeal
Image: Freddy Mavunda
Auditor-general Tsakani Maluleke has welcomed the withdrawal of an appeal by the Road Accident Fund (RAF) against a Gauteng High Court ruling that it was inappropriate to interdict the auditor-general of South Africa (AGSA) from exercising its constitutional obligations to audit and report.
The appeal had been set down for argument in the Supreme Court of Appeal (SCA) on May 8.
The court judgment, handed down on February 24 2022, was a challenge against the AG tabling the RAF audit report in parliament, as prescribed by the Public Audit Act, which mandates the AG to do so within a particular time frame after completing the audit.
“This is a step in the right direction and a welcome development that confirms our long-held view that the constitutional function of the AGSA, as the country’s independent supreme audit institution, should not be interfered with,” said Maluleke.
“Furthermore, we remain convinced that airing accounting and auditing matters before the courts is not in the best interest of audit and financial accountability. We are now preparing for the review application brought by the RAF in the high court, which is set down for argument on October 4 and 5.”
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In its withdrawal, the RAF committed to pay the AGSA’s legal costs, including the cost of two counsels. The AGSA demanded this relief on the basis that the legal challenge was not necessary or in the interest of public accountability.
“The AGSA reiterates that while any auditee may approach the courts to seek relief, the institution’s dispute resolution processes should be used to resolve audit disputes,” said the AG.
“For many years, the AGSA has successfully used these processes to settle audit disputes in a fair manner, as guided by the Public Audit Act and the International Auditing Standards. The AGSA dispute resolution process has recently been updated and is available to all auditees.
“The national audit office is committed to carrying out its constitutional mandate in a manner that is fair and without fear, favour or prejudice to all those it audits.”
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