The Department of Land Reform and Rural Development in South Africa has come under fire from Parliament's Portfolio Committee for failing to submit its annual financial statements on time. The committee convened an urgent meeting after being informed by the Auditor General that it had been unable to audit the financial statements, which were due by the end of May. This delay has raised concerns among lawmakers about the department's accountability and transparency.
Minister Mzwanele Nyhontso's response to the issue has also drawn criticism. During the committee meeting, Nyhontso appeared to shift responsibility for the delay, stating that he was surprised by the failure and leaving it to officials to provide explanations. This stance has been met with skepticism from members of the committee, who argue that the minister should take responsibility for the department's actions.
According to Director General Bongikhaya Dayimani, a dispute over the transfer of assets from the Department of Agriculture is at the heart of the delay. The portfolio of Rural Development was delinked from Agriculture and shifted to the Department of Land Reform two years ago. Dayimani, who joined the department in July, stated that this transfer has caused complications in the preparation of the financial statements.
The Department of Land Reform and Rural Development has a history of financial management issues. In the previous financial year, the department underspent its budget by R2 billion, which has raised concerns about its ability to manage funds effectively. The delayed financial statements have also impacted the committee's role in scrutinizing the department's expenditure.
The committee has expressed skepticism over the department's claim that it finally submitted the financial statements to the Auditor General on the day after the meeting. Members have questioned the department's commitment to transparency and accountability, citing the minister's lack of engagement on the issue. The ANC's Mzoleli Mrara has stated that this situation is damaging to the department and an embarrassment for the committee.
The DA's Mlindi Nhanha has also criticized the minister's approach, stating that it seems he has adopted an attitude of non-engagement on the issue. Nhanha argued that the minister's absence from the discussion has left the committee with unanswered questions about the department's financial management. The committee is expected to continue its investigation into the matter.
The delayed financial statements have significant implications for the department's operations and the committee's oversight role. The committee will continue to engage with the department to ensure that it provides a clear explanation for the delay and a plan to prevent similar issues in the future. The incident has also raised questions about the department's readiness to manage its finances effectively.
Key points
- The Department of Land Reform and Rural Development failed to submit its annual financial statements on time, sparking concerns over accountability and transparency.
- Minister Mzwanele Nyhontso's response to the issue has drawn criticism, with some lawmakers accusing him of shirking responsibility.
- The department's delayed financial statements have significant implications for its operations and the committee's oversight role.