The Public Accounts Committee has told Ministry of Finance officials that the M6.1 billion flagged as untraceable in government accounts is more likely the result of negligence and poor record-keeping than outright theft.
By Tholoana Lesenya
The Public Accounts Committee has suggested that the M6.1 billion flagged by the Auditor General as untraceable in the 2020/2021 Consolidated Financial Statements may be the result of widespread negligence rather than theft.
PAC Chairperson ‘Machabana Lemphane Letsie made the remarks during hearings this week with senior Ministry of Finance officials examining Auditor General reports for the years ending March 2023 and March 2024.
“The public naturally assumes that when billions cannot be traced, the money has been stolen. But what we are seeing points to serious negligence and weaknesses within the Ministry itself.”
Lemphane Letsie said the Ministry appears to be operating without clear plans or effective internal controls, creating room for financial irregularities.
PAC raises concerns over untraceable public funds
The committee said the lack of coordination and accountability has fuelled public suspicion. However, available information points more to negligence, poor record-keeping and failures to properly reconcile government accounts.
Lemphane Letsie stressed that negligence involving public funds is equally unacceptable because it undermines confidence in government institutions.
Delayed payments damaging local businesses
The PAC raised concerns about growing complaints from service providers who have not been paid despite fulfilling government contracts. Some contractors whose vehicles were hired by ministries are still waiting months later.
Delayed payments are placing local businesses under severe financial pressure, with some struggling to pay employees and settle debts. The committee warned that this discourages companies from bidding for future government work.
Calls for stronger accountability
The committee wants the Principal Secretary in the Ministry of Finance to explain why payments continue to be delayed despite annual budget allocations. It expects detailed information on systems for processing payments and monitoring outstanding invoices.
The Auditor General has repeatedly flagged unsupported expenditure, missing documentation and unreconciled accounts. The PAC said it expects clear explanations on steps being taken to strengthen internal controls.
