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CAG - This is how they loot

Discussion in 'Jukwaa la Siasa' started by Njowepo, Apr 29, 2012.

  1. Njowepo

    Njowepo JF-Expert Member

    Apr 29, 2012
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    [TD="class: createdate"] Saturday, 28 April 2012 20:38 [/TD]
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    [​IMG]CAG Ludovick Utoh

    By Edward Qorro
    The Citizen Reporter
    Dar es Salaam. Unscrupulous officials stole nearly Sh13 billion shillings from eight district councils between 2010 and 2011, which, if it were shared amongst Tanzanians currently estimated to number 43 million, each individual would get Sh302.

    The councils are Kishapu, Sengerema , Ludewa , Kilindi , Moshi , Monduli , Longido and Ilala.
    Embezzlement of public funds is one of the aspects of the rot in public financial mismanagement that the Controller and Auditor General (CAG) highlighted in the latest report, which is more-or-less a replica of previous ones.Submission of the report by CAG Ludovick Utoh in Parliament in Dodoma recently, triggered angry reactions from legislators who closed party alliance ranks, and set in motion a chain that peaked with the much-anticipated move by President Jakaya Kikwete to recast the Cabinet.

    When emphatic demands by MPs that eight errant ministers resign went unheeded, they resorted to a subsequently abortive move to table a no confidence motion against Prime Minister Mizengo Pinda.

    Sensing that the heat of public dissatisfaction against government performance was intensifying, the President convened an emergency meeting of the ruling CCM’s central committee on Friday.

    The outcome was a green-light to its chairman, as president and appointing authority, to sack the targeted ministers – a move that would entail overhauling the Cabinet.

    It’s thrust would be to address the much-complained about embezzlement of public funds, and inculcate a high sense of accountability among senior public officials.

    The Kishapu District Council sticks out as the worst case in the CAG’s report, the thieving officials there having pocketed Sh6 billion – nearly half of the cumulative Sh 13 billion in government revenue that was drained in the seven others. In Kishapu and elsewhere, forgery of bank cheques and salaries for ghost workers are among the tricks that fraudulent staff apply to facilitate embezzlement.

    Experts estimate that the embezzled funds in Kishapu were equivalent, in value, to 1,500 classrooms, or between 6 and 10 kilometres of tarmac roads. Ghost payees continue to be a major conduit for stolen funds, with 22 employees from three municipal councils sharing out Sh43 million in unauthorised salaries.

    However, Ludewa district council broke this record, doling out Sh48 million to those no longer in service. Kishapu District Council’s payroll had Sh66 million in the same basket.

    Six universities fell for the same trickery , under which fraudsters lined up their pockets with Sh962 million.
    The institutions and the amount involved are Mkwawa University College of Education (Muce – Sh612 million) for 42 employees, meaning each got over Sh15 million.

    Dar es Salaam University College of Education (Duce –Sh778.7 million) for 56 workers, that works out to nearly Sh14 million and Mzumbe (Sh194.4 million) for an unspecified number of individuals no longer in service.

    Others are Mwalimu Nyerere Memorial Academy (Sh134.7 million), Institute of Social Work (Sh181 million), Dar es Salaam Maritime Institute (Sh83.96 million) and Dar es Salaam Institute 0f Technology (DIT – Sh3.95 million). Often rocked by student protests over fees, the amount stolen from the six universities would fully cater for tuition fees at S1.2 million each to a total of 801 Tanzanians yearning for higher learning.

    Contractors and suppliers too are said to collude or offer an excuse for funds embezzlement. According to the CAG, Ludewa District Council for instance, paid double the retention of Sh11.7 million to a former contractor.

    “It is likely that the amount was misused because the councils have not yet cleared the sum even after the audit queries were issued,” observed the CAG in his report that also exposed Kishapu that failed to provide documents worth Sh4.3 billion in contract files.

    In Sengerema District in the Lake Zone, payments amounting to Sh1.1 billion were made to various payees without supporting documents such as pay lists and analysis of costs from the contractors. The CAG cited an over payment of Sh4.5 million to someone contracted to build toilets at Nyampulikano Secondary School.

    In Moshi, a contractor of Faru and Ndekombeka water irrigation schemes pocketed Sh17 million for a project worth only Sh8.3 million. Another contractor in Longido was reportedly paid Sh10.5 million for shoddy works.