Mayor ‘delighted’ after Ekurhuleni receives clean audit opinion

The city of Ekurhuleni on Wednesday received an overall clean audit opinion from the Auditor-General (AG) for the municipality’s 2019-20 financial statements.

A clean audit outcome, also known as an unqualified audit, occurs when submitted financial statements are free of material misstatements and there are no material findings on non-compliance with key legislation.

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Ekurhuleni mayor Mzwandile Masina said he was delighted his administration was able to reach its vision of a clean audit opinion from the AG.

“As we begin to enter a post-Covid-19 era, there is no time when it has become more important for government institutions to provide ethical and honest governance over state funds. Every cent of the taxpayer’s hard-earned money must go towards revitalising our local economy and providing the necessary relief and public services for households to recover from the impact of the Covid-19 pandemic,” Masina said in a statement.

Masina’s spokesperson, Phakamile Mbengashe, said the metro achieved the unqualified audit opinion due to its turnaround strategy implemented in late 2016.

The strategy included a skills review of personnel working in the finance department and stringent policy implementation checklists among other measures.

“Compliance with the Municipal Standard Chart of Accounts (mSCOA) also served as a fundamental pillar of ‘Operation Clean Audit’. The city’s audit committee conducted quarterly reviews of internal processes and interrogated the city’s performance to ensure the administration remained committed to improving the control environment.

“It is the oversight from the audit committee which also contributed to the effectiveness of the turnaround strategy which has translated to the positive audit outcome,” Mbengashe said.

With local government elections due to take place later this year, Masina said the clean audit outcome should stand as a benchmark for the incoming administration.

“With the systems we have introduced in the institution, the focus must turn to building a resilient city that can leverage the opportunities presented by the fourth industrial revolution and withstand the shocks brought forward by potential future global pandemics, uncertain global polity and climate change,” he said.

Masina also thanked the ANC-led coalition partners in the metro and council for their commitment to clean governance.

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