PARLIAMENTARY COMMITTEE ORDERS C.A.G. TO AUDIT MISAPPROPRIATION OF GOVERNMENT FUNDS

 PARLIAMENT  ORDERS  CONTROLLER AND AUDITOR GENERAL TO AUDIT MISAPPROPRIATION OF GOVERNMENT FUNDS

 MEANT TO SERVICE  THE NATIONAL  DEBT.

 From  The  Guardian,  TANZANIA.

BY DICKSON NG`HILY

8th June 2015

Kisesa MP, Luhaga Mpina

 The Parliamentary Committee on Economic Affairs, Industries and Trade has ordered the Controller and Auditor General (CAG) to conduct a special audit on suspected  misappropriation of government funds meant to service the national debt.

Presenting his committee's concerns in the National Assembly  yesterday, the chairperson Luhanga Mpina, MP for Kisesa constituency said: "According to various figures made available to the committee showed that for the period of July 2014 to March this year, the money used to service national debt was only 2.6trn/-."

He added: "Yet information available as far as the government's fund disbursement is concerned, revealed that the money which had been disbursed in the mentioned period was approximately 4.2trn/-, a distinction of at least 1.5trn/-. The committee demands explanation on how the fund (1.5trn/-) was used."

 Luhanga told the House that funds were to be used for debt servicing up to the period ending in March this year, was 75 per cent of the balance (debt). Moreover said he: "…up to the said period (March 2015), about 4.348trn/- was already disbursed. Therefore we need to audit and find out what happened."

Earlier, Mpina informed the House that up to 31st March, 2015 the total national debt had increased to about 35.7tr/- from 30.6b/- recorded March last year. Adding: "The devaluing of the shilling against the US dollar has also contributed to the increased from 35.7b/- to at least 40.73tr/- March, 2015."

On the other hand the MP for Kisesa observed that: "… at least 87.59b/- was allocated to the Officer of the Treasury Registrar, nevertheless; the office has used at least 172.42b/- which is in fact equivalent to 197 per cent of what was allocated…the National Electoral Commission (NEC) was to use about 2.85b/- yet 490 percent of the money allocated to them were disbursed."

The chairperson remarked that his committee considers the situation as not in agreement with the practice of good governance especially when it comes to planning and spending in spite of development expenditure to cater for July - March only 28 per cent has been disbursed. "…I insist that the CAG should conduct special audit as we can't allow such misusing of the public fund to continue.

He furthermore detailed: "…according to the estimated budget for 2015/16, funds for servicing the country's debt has increased from 4.35tr/- in the fiscal year 2014/15 to at least 6.39tr/- this financial year…fund for salaries has also increase from 5.32tr/- last financial year to 6.6tr/- the current year. In other words, funds allocated for both the national debt and salaries stood at 13tr/- which actually doesn’t correspond  with the intended collection."

For his Part, James Mbatia, Shadow Minister for Finance said: "…one of the ministry's duties is to oversee government's revenue and spending…undisciplined public spending is destroying the economy. The government puts more emphasis on expenditure which actually does not have direct impact to the economy and the people."

According to him, 10 years ago the government was collecting at least 170b/- on a monthly basis but current it is collecting  950b/- per month an increase of about 458.8 per cent, yet despite of such improvement in revenue collection, still the government says has no money.

"Salaries are being delayed, development projects are implemented timely …this is a problem to do with an unruly attitude in public spending…the value of our currency is also a problem as it keeps depreciating against the US dollar…to investors both local and foreign it is a disaster. They will need more money to import thus putting more burden to poor people."

Earlier when presenting her proposed budget for her ministry, Saada Mkuya the minister responsible said that her ministry had improved the performance of the public fund controlling system  by sponsoring at least 357 staff members from various line of works such as accounts, procurement, Information Communication Technology (ICT). adding: "The government has also installed Tanzania Inter-bank Settlement System (TISS) which is in use with all country's sub treasury offices,"

dollar has also contributed to the increased from 35.7b/- to at least 40.73tr/- March, 2015"

On the other hand the MP for Kisesa observed that: "… at least 87.59b/- was allocated to the Officer of the Treasury Registrar, nevertheless; the office has used at least 172.42b/- which is in fact equivalent to 197

Per cent of what was allocated…the National Electoral Commission (NEC) was to use about 2.85b/- yet 490 percent of the money allocated to them were disbursed."

The chairperson remarked that his committee considers the situation as not in agreement with the practice of good governance especially when it comes to planning and spending in spite of development expenditure to cater for July - March only 28 per cent has been disbursed. "…I insist that the CAG should conduct special audit as we can't allow such misusing of the public fund to continue.

He furthermore detailed: "…according to the estimated budget for 2015/16, funds for servicing the country's debt has increased from 4.35tr/- in the fiscal year 2014/15 to at least 6.39tr/- this financial year…fund for salaries has also increase from 5.32tr/- last financial year to 6.6tr/- the current year. In other words, funds allocated for both the national debt and salaries stood at 13tr/- which actually doesn’t correspond  with the intended collection."

For his Part, James Mbatia, Shadow Minister for Finance said: "…one of the ministry's duties is to oversee government's revenue and spending…undisciplined public spending is destroying the economy. The government puts more emphasis on expenditure which actually does not have direct impact to the economy and the people."

According to him, 10 years ago the government was collecting at least 170b/- on a monthly basis but current it is collecting  950b/- per month an increase of about 458.8 per cent, yet despite of such improvement in revenue collection, still the government says has no money.

"Salaries are being delayed, development projects are implemented timely …this is a problem to do with an unruly attitude in public spending…the value of our currency is also a problem as it keeps depreciating against the US dollar…to investors both local and foreign it is a disaster. They will need more money to import thus putting more burden to poor people."

Earlier when presenting her proposed budget for her ministry, Saada Mkuya the minister responsible said that her ministry had improved the performance of the public fund controlling system  by sponsoring at least 357 staffs from various line of works such as accounts, procurement, Information Communication Technology (ICT). adding: "The government has also installed Tanzania Inter-bank Settlement System (TISS) which is in use with all country's sub treasury offices,"

dollar has also contributed to the increased from 35.7b/- to at least 40.73tr/- March, 2015".

On the other hand the MP for Kisesa observed that: "… at least 87.59b/- was allocated to the Officer of the Treasury Registrar, nevertheless; the office has used at least 172.42b/- which is in fact equivalent to 197

Per cent of what was allocated…the National Electoral Commission (NEC) was to use about 2.85b/- yet 490 percent of the money allocated to them were disbursed."

The chairperson remarked that his committee considers the situation as not in agreement with the practice of good governance especially when it comes to planning and spending in spite of development expenditure to cater for July - March only 28 per cent has been disbursed. "…I insist that the CAG should conduct special audit as we can't allow such misusing of the public fund to continue.

He furthermore detailed: "…according to the estimated budget for 2015/16, funds for servicing the country's debt has increased from 4.35tr/- in the fiscal year 2014/15 to at least 6.39tr/- this financial year…fund for salaries has also increase from 5.32tr/- last financial year to 6.6tr/- the current year. In other words, funds allocated for both the national debt and salaries stood at 13tr/- which actually doesn’t correspond  with the intended collection."

For his Part, James Mbatia, Shadow Minister for Finance said: "…one of the ministry's duties is to oversee government's revenue and spending…undisciplined public spending is destroying the economy. The government puts more emphasis on expenditure which actually does not have direct impact to the economy and the people."

According to him, 10 years ago the government was collecting at least 170b/- on a monthly basis but current it is collecting  950b/- per month an increase of about 458.8 per cent, yet despite of such improvement in revenue collection, still the government says has no money.

"Salaries are being delayed, development projects are implemented timely …this is a problem to do with an unruly attitude in public spending…the value of our currency is also a problem as it keeps depreciating against the US dollar…to investors both local and foreign it is a disaster. They will need more money to import thus putting more burden to poor people."

Earlier when presenting her proposed budget for her ministry, Saada Mkuya the minister responsible said that her ministry had improved the performance of the public fund controlling system  by sponsoring at least 357 staffs from various line of works such as accounts, procurement, Information Communication Technology (ICT). adding: "The government has also installed Tanzania Inter-bank Settlement System (TISS) which is in use with all country's sub treasury offices,"