South Africa 15.4.2015 12:15 pm

Three NWest depts placed under administration

Image courtesy stockxchnge.com

Image courtesy stockxchnge.com

Three departments in North West have been placed under the administration, the provincial government said on Wednesday.

Spokesman Sam Mokaila said the department of health, public works and roads, as well as education and sports development would for the next 18 months have their financial affairs co-managed by provincial treasury.

“This follows years of financial instabilities and general mismanagement of budgets leading to, amongst others, the inability by these departments to pay creditors and accumulation of unmanageable accruals which have negatively affected the financial positions of the departments.”

He said North West premier Supra Mahumapelo announced the decision to place these departments under administration following a special meeting held in Matlosana over the weekend.

“This means that the provincial treasury will in line with ExCo [executive committee] decision ensure that the financial position of the three departments is stabilised, and that capacity is deployed to ensure that day to day financial management and decisions are done within provisions of the Public Finance Management Act.”

Mahumapelo said the intervention also entailed undertaking a thorough audit of the financial skills and qualifications of all personnel appointed to run finances of the affected departments.

“It is the provincial government’s considered view that this decision was well timed, noting that the new financial year has just started,” he said in a statement.

The premier said there would be no interruption of services to the public as a result of the intervention.

 

today in print