AUDITING GOVERNMENT ENTITIES

by Oliver Masuku

Government entities are associated with fraud, corruption and all forms of irregularities such as wasteful expenditure. The public almost expects that these ills exist in all government entities or state owned enterprises. At one end of a spectrum lies the appointing authority (government ministries) and on the other is the public that expects that these ills to be brought to light. In between is a government auditor that is perceived to be under paid, and subject to compromise.

The presentation of audit reports to parliament is as important as it is to broadcast it on television. At times, though one is tempted to think that the grilling of these public officials by the public accounts committee is a nice watch on YouTube or TV, such as the grilling of Wicknell Chivayo by the Parliamentary Portfolio Committee over the ZESA Gwanda tender.

It appears the debates have more entertainment value as the culprits seem to have the backing of top corrupt officials. It is important to note that despite this yawning expectation gap, the auditor is expected to perform his services in line with the publicsector auditing standards or other acceptable framework. Again, with growing civil society and pressure groups, the auditor is placed in a tighter spot light than before about the auditing of these state-owned enterprises. of the opposition. What governance mechanism exist in any one country, even as the auditor performs his work. In the case of South Africa, the chapter 9 institutions include Public Protector (PP), the Auditor‐General (AG), the Electoral Commission (IEC), the South African Human Rights Commission (SAHRC) and many others. These are independent of government and only subject to constitution and the law.

In the case of Zimbabwe, Section 9 of the 2013 constitution states that, “The State must adopt and implement policies and legislation to develop efficiency, competence, accountability, transparency, personal integrity and financial probity in all institutions and agencies of government at every level and in every public institution, and in particular ; (a)— appointments to public offices must be made primarily on the basis of merit; (b) measures must be taken to expose, combat and eradicate all forms of corruption and abuse of power by those holding political and public offices. The State must ensure that all institutions and agencies of government at every level, in particular Commissions and other bodies established by or under this Constitution, are provided with adequate resources and facilities to enable them to carry out their functions conscientiously, fairly, honestly and efficiently.

The independent commissions meant to strengthen governance also include the Zimbabwe Electoral Commission, Human Rights Commission, Zimbabwe Media Commission among many others. Of significance is that the Auditor General, unlike in South Africa, is not part of the independent commissions, even though covered under part 6 of the Constitution. The objectives of these commissions are (a) to support and entrench human rights and democracy; (b) to protect the sovereignty and interests of the people; (c) to promote constitutionalism; (d) to promote transparency and accountability in public institutions; (e) to secure the observance of democratic values and principles by the State and all institutions and agencies of government, and government - controlled entities; and (f) to ensure that injustices are remedied. Further, these commissions are to be independent and not subject to the direction or control of anyone; must exercise their functions without fear, favour or prejudice and to be non-political. Although there are institutions in place to combat crime and corruption such as the National Prosecuting Authority and the Anti-Corruption Commission, critical is the political will to do right. Yet a lot can be written on the functions, objectives of these offices, in some cases these provisions are as strong as they are written on paper. The current Auditor General, Mildred Chiri, notoriously known for rattling powerful officials with her routine revelations of graft, profligacy and mismanagement of resources in government was sacked by the then president Robert Mugabe, more than two years before the expiry of her contract signed in 2013, before she was reinstated shortly thereafter. So, what does this mean for the incoming Auditor General and other senior members of staff in the auditor-general’s office? Can they still work without fear or favour?

It has been important to bring to the fore the landscape and operating environment in any one country, before one explores the technical issues, or attempt to gauge the performance of the auditor general. It is key to understand that the tone at the top. Perhaps one would appreciate the effectiveness of audit reports under Magufuli of Tanzania than under Zuma of South Africa. Now that the foundation has been laid and the context of public sector auditing, watch out for part 2 in the next issue where we begin exploring technical issues.