Unguja. The Controller and Auditor General’s (CAG) report has highlighted deficiencies in some public institutions’ internal control management due to their failure to establish these units, thereby operating in non-compliance with the law. The report recommends that these institutions undergo training.
The information is detailed in the CAG report within the audit of financial statements for Regional Authorities, Local Government Authorities, and Special Departments of the Revolutionary Government of Zanzibar (SMZ), presented to the House of Representatives on June 27, 2024.
Operational shortcomings have also hindered audit committees from functioning properly, resulting in these committees and internal audit units failing to review CAG reports, year-end accounts, and provide feedback on identified deficiencies and irregularities.
In the 171-page report, CAG Dr Othman Abbas Ali noted that internal audit units appear inadequate, advising these committees and units to undergo training to enhance their effectiveness.
Among the institutions identified with these deficiencies are the Office of the Northern Unguja Regional Commissioner, Chake Chake Pemba Municipal Council, Fire and Rescue Squad, and the Valantia Unit (KVZ).
Contract management
The audit has identified flaws in contract management within some public institutions, including breaches of crucial provisions specified in these contracts, leading to failures in achieving planned development project goals.
Dr Abbas also noted instances where development projects were executed using draft contracts, resulting in financial losses due to additional payments caused by non-compliance with contract terms or failure to impose compensation fees for delayed work.
Revenue collection
During the fiscal year 2022/23, nine out of 12 local government authorities collected Sh11.5 billion internally, falling short of the Sh15.5 billion budget by Sh3.9 billion.
The audit revealed that one authority lacked a budget for internal revenue collection, prompting the Office of the President of Finance and Planning to review the issue thoroughly and establish a revenue collection budget.
This would enable the institution to provide community services and sustain itself in line with the concept of establishing the City of Zanzibar.
Financial management
While some institutions have shown improvement in financial management, others were found to have disciplinary shortcomings, leading to non-compliance with the Public Finance Management Act No. 12 of 2016.
Major issues included cash payments, tax evasion loopholes, delayed government revenue deposits in banks, and non-compliance with government directives regarding electronic receipts during payments.
Non-competitive procurement
The report also exposed instances where public institutions made purchases without considering price competitiveness, adhering to draft contracts submitted to the Attorney General’s Office.
Other issues included failure to attach essential procurement documents to payment records and making purchases contrary to procurement plans, resulting in higher costs than budgeted.
Certificate issuance
In the fiscal year 2022/23, the audit issued 22 audit certificates, with 19 satisfactory (86.36 percent), and no adverse or failure-to-comment certificates.
Recommendations from local government authorities showed that out of 512 recommendations, 380 (74 percent) were implemented, with 44 (8.59 percent) at various stages of implementation.
However, 47 recommendations (9.18 percent) were not implemented, 23 (4.49 percent) were repeated, and 18 (3.52 percent) were outdated.
Lack of insurance
Despite the legal requirement for public motor vehicles to be insured, the audit identified 15 public institutions failing to insure vehicles, including cars, motorcycles, and scooters.
This negligence could result in government losses due to expenses for vehicle repairs after accidents, prompting recommendations for prioritizing compliance.
What others say
Mohamed Haji, a law expert from the State University of Zanzibar (SUZA), emphasized the need to prioritize the CAG report and take action against those responsible for mistakes.
Independent activist Zainab Mbarouk highlighted the ongoing need for the government to improve institutional systems for efficiency.
In contrast, procurement expert Shekha Suleiman Ali acknowledged improvements but urged the CAG to have more authority to take action beyond auditing, emphasizing the need for effective follow-up on recommendations.
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Tanzania’s opposition party ACT Wazalendo honours veteran politician under new policy
Unguja. Opposition party ACT Wazalendo today officially bids farewell to its former Chairman, Juma Duni Haji, also known as Babu Duni, as part of a new policy designed to honor retired senior leaders at a ceremony held at Kiembesamaki, Zanzibar.
The initiative highlights the party’s commitment to recognizing and supporting individuals who have served with dedication and integrity.
Babu Duni, who stepped down earlier this year, was succeeded by Othman Masoud, now the First Vice President of Zanzibar.
The policy aims to provide ongoing respect and support to retired leaders, ensuring their continued recognition and contribution to the party’s development.
“Recognizing their significant contributions to the development and prosperity of the party, this policy ensures that retired leaders continue to be acknowledged and respected by both the party and the community,” the policy states.
To benefit from this policy, leaders must not have left or been expelled from the party. They must have served the party with honor and dedication. The national leadership committee will determine whether a leader has fulfilled these criteria.
The policy seeks to honor retired leaders, protect their dignity, acknowledge their contributions, leverage their ideas for the party’s growth, and support them to the best of the party’s ability.
In honoring these leaders, the party will provide a vehicle, the type of which will be determined by the national leadership committee. Additionally, they will receive a monthly allowance, with the amount also set by this committee.
Other benefits include health insurance. If a leader does not own a home, the party will cover their rent at a rate decided by the committee.
The leadership committee may also grant special recognition based on the leader’s contributions. Retired leaders will participate in decision-making meetings according to procedures outlined in the party’s constitution.
Depending on the party’s resources at the time, the policy may also apply to retired deputy chairpersons for both the mainland and Zanzibar, the Secretary-General, Deputy Secretary-General for both mainland and Zanzibar, and the party’s Attorney General.
Additionally, leaders, executives, or members with exceptional contributions to the party’s protection, advocacy, and defense may also benefit, as determined by the leadership committee.
Currently, those who are eligible for benefits under this policy include Juma Duni Haji (retired party Chairman) and Zitto Kabwe (retired party leader).Continue Reading
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The Revolutionary Government of Zanzibar (SMZ) has terminated a land lease held by British property developer Pennyroyal Limited in Matemwe, the developer has announced.Continue Reading
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