Mozambican government pledges to curb misappropriation of funds

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Mozambican government pledges to curb misappropriation of funds

3:00 CAT | 16 Aug 2016

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The Mozambican Minister of State Administration and Civil Service, Carmelita Namashulua, said that further reforms in public financial management will allow the detection of misappropriation of funds that costs the state millions of meticais every year.

Namachulua said that recent reports of financial fraud in state finances are the result of the tightening of internal controls, with the introduction of reforms in the civil service financial management systems and greater intervention and coordination with the general inspection of finance.

“What we are doing right now is to strengthen the internal control, and everyone who diverts state funds will be held accountable,” Namachulua said.

The Mozambican state lost more than one US$1.2 million in just the first six months of the year through civil service corruption, including misappropriation of funds, leading to the opening of 474 court cases and the detention of 90 citizens.

The diversion was mostly effected by operators of e-SISTAFE, the electronic system the state uses to pay its suppliers, so the strengthening of internal checks is expected to cut fraud substantially.

Recently, in the newly created district of Vanduzi, the local administrator was removed from office for fraudulently awarding 17 contracts to a single contractor, facilitating the diversion of 24 million meticais.

Asked about the issue, the minister said that the misappropriation had been discovered and that a court case was now in progress, and that “the employee [would] return the funds that he allegedly extorted,” but failed to address reports of political favours in the case.

“Sometimes in this process, where we have discovered embezzlement, we draw attention and take the necessary measures, such as happened here. Steps are underway,” she said.

Last week all Ministry inspectors gathered for an alignment in the supervision and advice of civil servants in order to comply with public affairs management procedures and eliminate the strategies used to divert funds.

Source: Voa Portugues