Free State flushes R2bn down the drain

31 October 2012 - 09:22
By Ntwaagae Seleka Free State Correspondent

FREE State has incurred about R2-billion in irregular expenditure during the first six months of the financial quarter.

This was revealed during a presentation detailing the province's performance financially in the six months to the 2012-13 financial year yesterday.

Apart from irregular expenditure, the province has again declared R27.9-million in fruitless and wasteful expenditure. In all, Free State has spent R63-million in unauthorised expenditure.

Accountant-general Anna Fourie said there was however an "improvement" compared with the previous financial year. She said some departments had not complied with the law and regulations, resulting in irregular expenditure.

The personnel expenditure for the province stood at R7.6-billion of the budgeted R15.1-billion as of September 30, which had forced the province to declare a moratorium on new employment.

Finance MEC Seiso Mohai said the province had to "arrest the growth on personnel and stay within prescribed limits".

Added Mohai: "Premier Ace Maga-shule has put a moratorium on jobs, except for front-line services which are essential for service delivery. We want to do more with less." - ntwagaes@sowetan.co.za