2 KZN govt departments rack up R29mn in irregular expenditure
Investigations over the past two months had revealed that officials took advantage of the Disaster Management Act in the purchase of PPEs and blankets in the wake of COVID-19.
DURBAN - Investigations looking into alleged corruption in the KwaZulu-Natal departments of education and social development during the lockdown have found irregular government expenditure of R29 million.
Premier Sihle Zikalala said disciplinary action would be taken against senior managers who were accused of flouting the Public Finance Management Act in both departments.
Zikalala said investigations conducted over the past two months had revealed that officials took advantage of the Disaster Management Act in the purchase of PPEs and blankets in the wake of COVID-19.
The provincial Treasury has found that some service providers exceeded the minimum stipulated amount for the supply of PPEs intended for schools in the province.
Zikalala said: “The investigation concluded that all payments made to service providers were irregular. Had the department applied the regulated prices and processes correctly, it would have saved more than R2.2 million.”
Zikalala said the provincial Social Development Department failed to follow proper procedures in the procurement of blankets in March, while some service providers misrepresented their items and failed to deliver blankets in accordance with the department’s specifications.
“The approximate loss to the department as a result of the misrepresentation amounts to over R15 million.”
Zikalala said implicated officials would be suspended while service providers they were alleged to have colluded with would be banned from doing business with government.