AMOUNTS totalling K8.1 million deducted from employees of 17 local authorities were not remitted to pay statutory obligations, the latest Auditor General report has revealed.
Auditor General Anna Chifungula’s report showed that the local authorities owed K7.6 million in Pay As You Earn (PAYE), K220, 642 was owed to the Local Authorities Superannuation Fund (LASF) while K217, 440 was owed to the National Pension Scheme Authority (NAPSA).
The affected local authorities were, Mansa, Milenge, Kawambwa, Samfya, Nchelenge, Ndola, Mufulira, Kitwe, Luwingu, Kaputa, Mporokoso, Mongu, Senanga, Livingstone, Sinazongwe, Mazabuka and Siavonga.
The report on the management of CDF and grants to local authorities also stated that the Livingstone City Council inflated retirement package and fraudulently paid, Oscar Nyaywa, who was not a former council employee but an acquaintance of accountants in charge of processing payments.
A review of cheque counterfoils, cash books, ledgers and payment vouchers revealed that three payments in amounts of K6, 840 were made to three retirees from June to September 2012.
She said a scrutiny of the paid out cheques with the same cheque numbers revealed that instead of the approved amounts of K6, 849 being processed, the figure was inflated to K16, 340 and paid to a Mr Nyaywa.
“Inquires with the Town Clerk revealed that a Mr Oscar Nyaywa was actually an acquaintance of the accountants who were in charge of processing the payments,” she said.
In Nalikwanda Constituency, the council irregularly paid K13, 840 from the CDF to cater for rentals of Nalwei Police post and accommodation for three police officers.
In Senanga District, the council irregularly transferred K83, 390 involving 14 transactions, from the CDF account to the district fund account and applied on the daily operations of the council, contrary to the guidelines.
In Monze District, the council neglected CDF guidelines by purchasing furniture for the chamber and new offices, using K54, 588 CDF. In Lusaka Province, the Lusaka City Council and their Chilanga counterparts spent K13, 889 from the CDF to insure an ambulance and a grader, contrary to guidelines.
She said 42 payment vouchers in amounts totalling K479, 951 processed at five local authorities, were not availed for audit.
On unsupported payments, 324 payments involving K3 million processed at 33 local authorities, were not supported with relevant documents such as quotations, cash sale receipts and local purchase orders among others.
The University of Zambia (UNZA) does not pay statutory obligation also. What is said is that they don’t even pay employees’ loan deductions. Audit them also.
It is easy to see why Zambia will take a very long time to develop. The reason is that we have no systems to help us manage situations. CDF for example, is a wrong way of spending public funds. CDF is given to the MPs and their constituencies, but does the constituency have an office with officers with plans and approved budgets? No. So instead this money is ‘held’ by the council on behalf of the MP and no one knows whether the councils or the MP decides what how this money will be used.
With that background do you want to ask how useful they will make of that money? The answer is obvious. Lets use our brains and SCRAP CDF PLEASE!!!
My zambia. The way zambians still is like their is no tomoro
its steal….that word still has a different meaning
What is new? What we need is a measure to curb this nonsense. As far back as the 80s and 90s this rot has been going on. Of course we had no CDF to talk about earlier, but the mechanism of siphoning funds and uttering documents to pilfer is as old as collective memory can serve.
Stealing by government employees has now become a norm in Zambia…..Cant we do something, the country is being destroyed. Please let us have better leaders. Zambians let us rise up, icalo chaonauka!!!!!
In the examples of councils given above the only clear case of corruption or stealing is in Livingstone. In the Nalikwanda for example the constituency saw it fit to pay for a police post and accommodation for police officers. They took the initiative where central govt failed. It seems a police post was a priority to them.
mwempupu mwe !!!….This is why we are just taking ” Five steps forward and five steps back”. These self centered people are the reason why our country will take a very long time to develop. They are always thinking about themselves and not the future for all Zambians.
Corruption is the biggest disease crippling our government.
When it comes to tax payers money doesn’t matter which party you belong to. Those thieves must pay back or be sent to Chimbwakaila prison……Enough is enough ba pompwe !!!