Law review to target misuse of public funds

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By CLIFFORD FAIPARIK
Chief Secretary Isaac Lupari says that they are amending the Public Finance Management Act to refer public fund managers straight to police on allegations of misappropriation of public funds.
Lupari, pictured, made the announcement during the public sector reform awareness workshop on Tuesday.
He said the Central Agencies Coordinating Committee was reviewing the Act to have Section 32 officers become more accountable.
Section 32 officers are public servants who approve the disbursement of public funds for the purchse of goods and services.
“In the amended Act, we want every Section 32 officer to produce annual financial report,” Lupari said. “It must be a four-page report where you must detail where the money is coming from, where it is being spent with all the payment details.
“That report will go the Finance Department to verify.
“If they are not satisfied because you did not do your report properly, you will be referred to the National Fraud and Anti-Corruption Unit to be dealt with.
“This amendment to the Act is about preventing abuse and mismanagement. After all, the people must know where and what we are spending their money on.”
Lupari said they were reviewing the rental arrangements where departments were renting offices from private landlords.
“We are spending K325 million annually on rents,” he said. “We have been renting some of these same building for 10 years.
“One of these building, which is a fire hazard, we have been renting for the past 14 years.
“We have paid a total of K140 million since.
“We should have owned the building by now.
“The landlord is also leasing out empty spaces to other client and so they were double-dipping us. We will clean up the rental and audit.”