MEC apologises for misleading report

POLOKWANE – A misleading report submitted to the Limpopo legislature by the Roads Agency Limpopo (Ral) in December has been firmly condemned by roads and transport MEC Lehlogonolo Masoga.

Masoga received a complaint from the Auditor-General’s (AG) office regarding the report, which contains information contrary to the report prepared by the AG’s office. This could amount to misrepresentation and/or fraud.

Ral claimed to have received an unqualified (clean) audit opinion, yet the AG had issued a disclaimer audit opinion. A disclaimer is issued when the AG could not form an opinion, and consequently refuses to present an opinion on the financial statement.

Upon learning of the misrepresentation, Masoga notified the speaker of the legislature, sanctioned the withdrawal of the report, recalled all printed copies, instituted measures to conduct a forensic investigation, and met with the AG’s office to appraise them of the steps being taken to deal with the matter.

“We wish to apologise to the office of the Auditor-General, Limpopo legislature and the people of Limpopo for this embarrassment.

We will leave no stone unturned in dealing with unethical and fraudulent tendencies within our ranks,” Masoga said.

“As a department we wish to assure the public that we remain resolute in preserving the integrity and good image of our provincial administration by fighting and uprooting maladministration and corruption. We will stop at nothing to promote a culture of clean governance and ethical conduct amongst our officials,” he said.

“Once the forensic investigation is concluded we will act accordingly and keep the public informed,” Masoga concluded.

In September 2013, the minister of transport intervened when three Ral board members resigned, leaving the board unable to form a quorum.

According to roads and transport head Hanli du Plessis, Ral currently has an acting CEO seconded from the national department of transport, and the administrator of the provincial department forms a proxy board. She said the department had advertised positions for the new board. The department would investigate if there was malicious intent to commit fraud, she said.

Jacques Smalle, leader of the DA in the province said the CEO and CFO of any state entity that was unethical in financial reporting should be suspended, as there must be something that they wanted to cover up.

He would welcome a forensic investigation by an independent entity and this should be followed up by Scopa and the transport committee, he said.