Bunge team finally begins work on Sh1.5tr loss claim


The Parliamentary Public Accounts Committee (PAC) has officially started working on claims that some Sh1.5 trillion may have been erroneously spent during the financial year 2016/17.


This comes shortly after the political air ‘normalised’ between the Speaker of Parliament Mr Job Ndugai and the Controller and Auditor General (CAG), Prof Mussa Assad.

Opposition Member of Parliament (MP), Zitto Kabwe twitted yesterday that the CAG has completed his task of conducting a special audit on the consolidated fund and that the Speaker has ordered PAC to work on the information and present a report in Parliament.

“The CAG has completed a special audit on the consolidated fund (Sh1.5 trillion) and Speaker Ndugai has instructed the PAC to work on the information and present the report in Parliament. The task starts today (yesterday). This is what the Parliament is expected to do in its role of scrutinizing the work of the government,” he twitted.

Speaker Ndugai confirmed to The Citizen yesterday, saying officials from the CAG’s Office had indeed sat with PAC yesterday and that the parliamentary committee will also find time to discuss the issue with those that had been audited by the CAG before it (PAC) presents the report in Parliament.

“They have met today…We had temporarily suspended the meeting after the ‘weather’ [in apparent reference to the misunderstandings that emerged between him and the CAG] got tough…The issue of debating cannot be made open for now because the process is still on…Today, PAC met officials from the CAG’s Office and tomorrow, it (PAC) will meet those that had been audited by the CAG so if you take only from the CAG’s point of view then you may not do justice,” he said.

He said the PAC will be given time to present its findings during the coming parliamentary sessions.

“I am certain that [the Sh1.5 trillion] will be discussed but the PAC chairperson will be given time to speak about that in the near future,” he said.

The issue about the Sh1.5 trillion came up last year when some MPs, after analyzing the CAG’s 2016/17 audit reports, came up with a conclusion that the money may have been lost or at least, not accounted for.

The debate became so intense that in April, 2018, President Magufuli was forced to come up with an explanation that he had personally spoken to the CAG and was informed that no money was reported missing in the 2016/17 fiscal year.

Speaking at a State House function where he swore-in 10 judges, Dr Magufuli spoke strongly against people who he said were spreading lies via social media that Sh1.5 trillion has been unaccounted for.

“When I heard that Sh1.5 trillion has been lost, I called the CAG over the matter. He assured me that it was not true. I called the permanent secretary of the Treasury, who also assured me that it was not true,” he said.

The PAC should have started discussing the Sh1.5 trillion last week but Mr Ndugai temporarily halted the process due to misunderstandings between himself and the CAG.

He said Pac and Local Authority Accounts Committee (Laac) would only resume their duties after Prof Assad had appeared before the Parliamentary Privileges, Ethics and Powers Committee for grilling over a statement he made while in the US which the Speaker said undermined the supremacy of the Parliament.

The bone of contention between the Speaker and the CAG started several days ago when Prof Assad said in an interview with the UN ki-Swahili Service that his institution prepares audit reports which are supposed to be worked on by Parliament.

“If we are producing reports – and no action is taken – to me, that’s a weakness of the Parliament... I believe it is a challenge that should be worked on… Parliament is failing to exercise its responsibilities effectively,” Prof Assad reportedly said.

On Monday, Prof Assad appeared before the Parliamentary committee and was grilled for several hours.
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