Polokwane Municipality receives qualified audit opinion

After receiving an unqualified audit opinion from the Auditor-General for the 2015/16 financial year, Polokwane Municipality regressed to a qualified audit opinion for the previous (2016/17) financial year.
In the report of the AG that was tabled in council on Wednesday, the AG says that the basis for the qualified audit opinion was, inter alia, irregular expenditure to the amount of R198,75 million, opposed to R274,33 million in the 2015/16 financial year and that it is a contravention of the Municipal Finance Management Act. Material impairments to the amount of R536,12 million were also raised to provide for irrecoverable trade debtors as a result of doubt over the collectability of long outstanding consumer debts.
A comprehensive report with comment from the municipality will be published as soon as responses from stakeholders were received.

Story: BARRY VILJOEN
>>barryv.observer@gmail.com