Forensic audit takes off
British forensic auditors who arrived in Malawi last week have started to comb through the Malawi Government financial system to establish how the government lost billions of kwacha through theft at Capital Hill.
According to the action plan which has been shared by Malawi Government agencies and donors, a report of this preliminary forensic audit would be out in January 2014 after which a comprehensive forensic audit would be undertaken.
National Audit Office (NAO) spokesperson Thomas Chafunya told The Nation on Monday that some work had already started following the completion and agreement on Terms of References (ToRs) for the exercise.
He said: “The team arrived last week and some work has already started. Malawians must know that this is the most critical process, the Auditor General’s Office and National Audit Office request for patience while the local and international experts are conducting their work.”
The exercise is expected to isolate illegal financial dealings such as money laundering and corruption after which institutions such as Anti-Corruption Bureau (ACB) would prosecute.
The forensic audit will go back to 2006 when the government payment system, the Integrated Financial Management Information System (Ifmis) was first installed as an accounting system.
The Public Accounts Committee (PAC) of Parliament has asked the Ministry of Finance to take up some of its recommendations on resumption of Ifmis which was shut down on October 1 this year to pave the way for correction of shortfalls which might have led to the thefts.
PAC chairperson Beatrice Mwangonde said in its initial report after consultations with the AG, ACB, Chief Secretary to the Government and Accountant General, the committee recommended that Ifmis should not be resumed until the version is upgraded and a comprehensive study on possible loopholes in the new version is conducted.
The committee is expected to present another report to Parliament which would incorporate recommendations from the whole House, excluding input from a meeting with the Reserve Bank of Malawi (RBM) governor, whose office has been identified to be at the heart of the plunder in the civil service.
A meeting with the RBM governor failed to take place on Saturday due to logistical challenges.
In a related development, former ruling Democratic Progressive Party (DPP) has asked government to reveal the identity of the forensic auditors, saying revealing their nationalities is not enough.
In a press statement, DPP secretary general Jean Kalilani, whose party was in power when the system was introduced, said the forensic audit will help in flushing out the culprits and deliver the nation from the consuming cancer of cash-gate and put the country back on a path of genuine and sustainable national development.
waste of time.
suppliers cashed the money and gave it to leonard kalonga.
kalonga gave it to mphwiyo.
mphwiyo changed it to dollars and gave it to jb
cah gate loot ili ku state house pano in dollars
The only way to make progress in this matter is to have a special Task Force committee which Parliament should create right now and give them the TORs and deadlines for the committee to report back to Parliament not to the President. Lets have an independent body handling the matter not NAO and not ACB. the forensic experts should report to that task force committee who in turn report to Parliament PAC. After that then depending on the cases others would be handed to ACB, or to Police or whatever branch of Govt. Lets have independent people from even the private Audit firms, a High Court Judge to lead such a Task Force. What would we expect from all this when it takes the police over a month to go searching for a vehicle that was involved in the shooting saga. What do we expect from NAO when all the looting was happening at their watch? what do we expect from ACB when they were watching people amassing unexplainable wealth right within Lilongwe? what would we expect from a police reporting to the commander who is every day contradicting herself on Mphwiyo saga until she decides to remain silent? Let PAC move quickly before the whole revelation is messed up by the government machinery and the country continues reeling in dire poverty for the benefit of a few greedy official. Remember Malawi is Not poor and indeed Malawi is not poor.
I agree with you. All these will die a natural death without culpults brought to book. What evidence do they want some people were caught with the money ready handed deal with them and investigate the others. This cash gate saga will have adverse effects on us the poor. The Dollar will depreciate more because the donors are holding the money, prices will go up etc. Issues get investigated but nothing comes up. Ambuye atikhulukile adalitse onse obela osauka.
Let the forensic audit’s finding be acted upon. It will not be enough to have a report whose findings are just an addition to government files on the Cabinet shelf. Am rather surprised that this foresinc audit is said that it will separate fraud from corruption cases. So what was the ACB doing in arresting these people before proper scrutinity of the cases. Shortly the ACB suspects will start claiming damages and the circus continues. On the other hand much as I would agree with Tupali on some of the points, it would not be possible for any auditor to work on government finances without the Auditor General and his NAO office.
IFMIS transformed a lot into Mphwillionaires overnight
Freedom of speech indeed, wait first!!! You have the Atupeles Campaigning on his father,s money from capital Hill (Cash Gate). A man who never worked but spends Billions on campaigns in full view of Donnor Represantatives!! Wait tizaona chinameta Nkhanga mpala!!! Europe is Poor now and you play around with their HARD EARNED RESOURCES!!! I think we are all Fooling ourselves!! Just bite your fingers that cash Gate does not dig DPP and UDF and recycled Politicians in PP!!
What reports, there were already reports commissioned: http://malawiace.com/2013/10/28/ifmis-what-did-udf-dpp-and-pp-know/
Nkhani ndi iyi:
(1) How can the ‘truth’ (if we can assume such a concept exists in this regard) be uncovered when it is probably the case that some people very close to the presidency, including senior figures in the Police and Army, are either implicated or have something to hide and could obstruct the course of justice?
(2) And how can the Anti-corruption Bureau and other government agencies ensure that all of those who were involved in the embezzlement of funds face the arm of the law in such circumstances? Will there not be sacred cows?
(3) How can Parliament form a committee when some parliamentarians are implicated?
(4) Finally, while there is currently a Forensic Audit taking place in which Scotland Yard is said to be involved, how effective and impartial is this really going to be when it is the case that JB is somewhat of a favourite of most donor countries, and when the likes of the US have flatly refused to suspend aid? (http://www.nyasatimes.com/2013/11/01/us-says-no-intention-to-withhold-aid-to-malawi/ )
Aren’t there conflicts of interests?