The latest Auditor Generals report for the year 2014 has revealed that a total amount of K73.6 million was misapplied.
This shows an increased amount of misapplied funds compared to the figure of K65 million recorded in 2013.
The report of the Auditor General on the Accounts of the Republic for the financial year ended 31st December 2014 is out with an unvouched expenditure of K390 million compared to a figure of K67 million in 2013.
The report also shows issues related to the failure to undertake activities that were funded in amounts totalling K55 million under the Constituency Development Fund.
It further highlights the failure to remit statutory contributions by various institutions in amounts totalling K54 million.
Unvouched expenditure is where payment vouchers are either missing, unsupported or inadequately supported by relevant documents such as receipts and purchase orders.
The Report has also highlighted Misapplication of funds as the second highest irregularity.
Misapplication arises when Controlling Officers apply resources on activities other than those for which the funds were appropriated by Parliament and for which no authority was sought from the Secretary to the Treasury to vary funds.
The failure to remit statutory contributions mainly comprise the non-remittance of taxes to ZRA and non-remittance of NAPSA contributions both of which attract penalties. The report also highlights infrastructure projects that were either delayed in being completed or whose executions were not done in line with the contract terms.
In some cases contractors abandoned projects after being paid advance payments and had not returned to construction sites as of December 2015.The report contains 103 audits, 96 paragraphs are on audit findings while seven are on other matters.
The 96 paragraphs could not be resolved as of December 2015 when the report went for print and 16 reports were resolved administratively.
Meanwhile, the Auditor Generals Office has issued six performance audit reports of which two have since been tabled. The two reports that were tabled are on the Management and Control of Livestock Diseases and Sustainable Management of Fish Resources in Natural Waters. These reports interrogate the economy, efficiency and effectiveness of government programs and activities.
Below is a trend analysis of the summary of major findings from 2012-2014
| Issue | 2014 (Kwacha) | 2013(Kwacha) | 2012(Kwacha) |
|---|---|---|---|
| Unaccounted for Revenue | 3,251,333 | 1,220,260 | 1,860,280 |
| Unacounted for Funds | 506,354 | 4,767,666 | 3,624,276 |
| Misapplication of funds | 73,637,561 | 65,158,686 | 38,738,763 |
| Unretired Accountable Imprest | 12,585,194 | 8,170,462 | 25,558,789 |
| Unvouched Expenditure | 389,905,333 | 67,139,852 | 553,142,716 |
| Unaccounted for Stores | 26,400,272 | 72,371,091 | 43,063,044 |
| Irregular Payments | 26,358,488 | 14,467,146 | 1,438,527 |
| Non recovery of advances and loans | 2,877,442 | 2,744,814 | 7,195,233 |
| Failure to follow procument procedures | 2,720,434 | 8,406,729 | 121,4388,503 |
| Undeliverd materials | 522,904 | 19,959,462 | 1,232,211 |
| Non submission of expenditure returns | 1,232,749 | 1,792,192 | 107,765,376 |
| Wasterful Expenditure | 8,354,290 | 354,939 | 1,195,270 |
| Overpayments | 1,578,571 | 360,684 | 206,914 |
| Misappropriation of Funds | 4,767 | 44,500 | 463,632 |
This is why Ms Chifungula left. Every audit report over the years has the same misapplication, misappropriation and unvouched expenditures but nothing is done to correct the situation. She got fed up. Somebody needs to stand up and take the leaders to task over this.
That’s right. Yet another reason to grab the PF by the scruff of its neck and kick its govt where it hurts most, the balls, in August 2016.
worse than MMD. Damn PF are true thieves.
Strip someone’s immunity right after all criminal charges are laid. ALL criminal charges including corruption. This is too much.
This is theft- plain and simple. Lungu and his PF must tell the Nation how this money will be recovered.
If this was a private business the culprits would be in court facing criminal charges.
Just because it is government does that mean it is not a crime?
now fellow Zambians, is this normal? what have we got to say more than that report?
Year after year, the same story – and no one is prosecuted. All the so-called leaders and civil servants splashing out money openly over the years is mostly as a result of theft. In Zambia people don’t question much the overnight accumulation of wealth by those in accountable positions. The attitude is ‘kabili ni ba minister’.
WHEN WE TELL YOU THAT LUNGU AND HIS MINIONS ARE LOOTERS AND THIEVES YOU THINK WE ARE JOKING. PF IS A BUNCH OF THIEVES, THIEVES, THIEVES AND THIEVES ONLY. ZAMBIA IS UNDER SIEGE BY LUNGU, BANDA AND THEIR MINIONS. FOR PF, NOW IS THE LOOTING TIME. OUR PEOPLE ARE WALLOWING IN ABJECT POVERTY BECAUSE THE PRESIDENT AND HIS MINISTERS AND THOSE GUYS IN FINANCE HAVE ALL COLLABORATED TO LOOT THE NATION, AND BECAUSE THEY ARE ABOVE THE LAW, NOTHING CAN BE DONE AGAINST THEM. THIS RUBBISH CAN ONLY BE STOPPED BY HH AND HIS UPND TEAM. VOTE LUNGU OUT THIS AUGUST. THEY ARE BUSY BORROWING MONEY FROM OUTSIDE ONLY TO STEAL IT AND ZAMBIAN PEOPLE DON’T BENEFIT ANYTHING. CHANGE IS WHAT WE NEED. VIVA UPND VIVA! VIVA UPND VIVA! ZAMBIA FORWARD!
when we say there is no accountability in PF ,this is what we mean. This sends a message to all civil servants, steal now while PF is still in power, because a new GRZ will not allow such wilful waist and stealing.
And life carries on as normal. ..
Zambia has never known accountability since independence, even your upnd will do the same if and its a big IF they win the general elections. Nothing new here, you are all embroidered in corruption ,that is why some of us don’t like politics and work for ourselves.
Inferiority complex at its best…
Lungu must take direct responsibility for this.
No more standing up and saying “don’t blame me”.
All those PFools saying unprecedented development – this is the development that PF has brought.
UNPRECEDENTED CORRUPTION AND STEALING!
Time for Zambians too wake up. This is YOUR MONEY that they are helping themselves to!
And this is not even taxpayers money that these PF thieves are stealing. It is BORROWED EUROBOND MONEY!
Chilkwanda must be held accountable for this. He borrowed and then failed to make sure proper procedures were in place.
These criminals cannot go unpunished. We know who they are, the Auditor General has the evidence. This is our children and our Nations future that is being stolen. They will have to pay back the EUROBONDS. Can we now leave these thieves to enjoy their loot at the expense of our kids education and health?
We Zambians must ensure these looters are brought to book. And Lungu must know that if he fails to act, HE WILL BE THE ONE TO PAY FOR THIS!
LUNGU HAS JUST BEEN IN OFFICE FOR ONE YEAR. ECL 2016-2021
EDGAR JAIL THEM. CARTEL CONTROLING OFFICERS. ACC, DEC & POLICE MOVE IN.