BY GADIOSA LAMTEY
24th October 2014
Speaking to reporters yesterday in Dar es Salaam, Chairman of PAC, Zitto Kabwe said, although his committee went through the NIC financial report of 2012/2013, there is need for the CAG to conduct auditing to establish what really happened to the money and for appropriate action.
“If you will discover any fraud, bring it to my committee for legal action,” he urged the CAG’s office.The NIC financial report for 2012/2013 was presented to the watchdog committee earlier this year which discovered that 8bn/- was paid to customers but the CAG report had no voucher to verify the payments and with the discovery, PAC rejected the NIC report .
“We are not refusing to accept the report but we only need to get justification of these payments,” Kabwe said.
In their defence, NIC Managing Director, Justine Mwandu said the unaccounted for 8bn\- worth of payments is attributed to the poor payment system that his corporation is using.
He said that for many years now, many payments are made manually undermining the record keeping system.
Seconding the stand, NIC Board Chairman, Dr Edmund Mndolwa said the unaccounted for 8bn/- is due to the use of the manual payment system.
Dr Mndolwa added that he will not hesitate to take legal action against any staff that would be found involved in the scandal.
In 2009 Members of Parliament raised concerns over the government’s decision to purchase the National Insurance Corporation’s noncore fixed assets at then current market price of 31.7bn/- calling for another valuation.
The funds were to be ploughed into the corporation as working capital to improve NIC which owes its customers a total of 24bn/-.
Members of the Parliamentary Standing Committee on Finance and Economy, who met with NIC officials to discuss the company performance, said it was important to hire an independent evaluator so as to get the real price of the sold assets.
SOURCE: THE GUARDIAN
No comments :
Post a Comment