MONROVIA, LIBERIA – The General Auditing Commission (GAC) has released a critical audit report on the Ministry of State for Presidential Affairs (MOS) for the period ending March 31, 2024. The report reveals substantial non-compliance with key financial and governance laws, highlighting severe administrative shortcomings.
The GAC identified significant governance issues within the MOS, noting the absence of essential strategic and operational plans. The Ministry lacked functional audit and budget committees, and there were no records of senior management meeting minutes or monitoring and evaluation reports, indicating a failure to maintain adequate oversight and governance structures.
The audit uncovered that the Ministry exceeded its approved budget for 2023 without any evidence of supplementary budgetary approval. Furthermore, the MOS failed to prepare comprehensive annual budgets or budget performance reports, pointing to a lack of fiscal discipline and transparency.
The MOS did not prepare financial statements in accordance with the International Public Sector Accounting Standards (IPSAS) cash basis from July 1, 2018, to December 31, 2022. Discrepancies were found between various financial reports, indicating issues with financial accuracy and accountability.
Significant irregularities were found in personnel management, including the absence of approved human resource policies, organizational and salary structures. The Ministry failed to maintain proper attendance logs, performance evaluations, recruitment documentation, and retirement records, raising concerns about the integrity of its personnel practices.
The audit report highlighted unauthorized and undisclosed bank accounts, a lack of monthly bank reconciliation statements, and inadequate segregation of duties. These deficiencies suggest weak cash management practices and potential risks of financial mismanagement.
The MOS lacked a functional procurement committee and did not prepare necessary procurement plans. The Ministry made substantial payments without supporting documents, indicating a disregard for procurement regulations and accountability standards.
The GAC found that the MOS did not have policies for fixed assets management, lacked registers, and did not conduct periodic physical verification of assets. Inventory management was also inadequate, suggesting potential misappropriation or loss of assets.
The audit report noted the absence of policies for revenue projection, collection, and recording. Revenue collected was not deposited in a timely manner and was used for operational purposes without supporting documentation, highlighting severe revenue management failures.
The GAC’s findings stresses the urgent need for reforms within the Ministry of State for Presidential Affairs to ensure compliance with financial and governance standards. These revelations call for immediate corrective actions to address the systemic issues identified in the audit.
