 |
| Mr Utouh |
The Contoller and Auditor General (CAG) has raised a red
flag over the performance of the Public Service Pension Fund (PSPF), revealing
that it suffered a loss of 6.5trl/-.
"The fund is on the brink of failing to sustain itself
if the government does not intervene," the CAG, Mr Ludovick Utouh, said
here.
Mr Utouh issued the warning while briefing journalists on various audit
reports he had earlier presented before the National Assembly as required by
the constitution.
According to the CAG, an actuarial evaluation conducted by
Genesis Actuarial Solution Limited, which presented its report on June 30,
2010, showed that the fund was performing poorly.
"In addition to poor financial performance, I also
realized that the pension fund had issued loans to public and private
institutions under the guarantee of the government to the tune of 67.2bn/-
without interests," he explained.
The institutions which owe the pension fund include the
Higher Education Students Loan Board (HELSB) with a loan of 54.6bn/- and
Prevention and Combating of Corruption Bureau (PCCB) -- 6.6bn/-.
Others are
Tanpower Resources, a company linked to former President Benjamin Mkapa and former
Energy Minister Daniel Yona which owe PSPF a loan of 5.42bn/- as well as
Tanzania Pharmaceutical Industry (TPI) -- 435.057m/-.
Directors of TPI include Regional CCM Chairman of Dar es
Salaam Mr Ramadhani Madabida and his wife who is also Special Seats MP, Ms
Zarina Madabida.
Meanwhile, the CAG has described as 'unfortunate' the decision
by the Speaker of the National Assembly to disband the Parliamentary Parastatal
Organizations' Accounts Committee (POAC) and merged it with the Public Accounts
Committee (PAC).
"The reasons for establishing POAC are more valid today
than it was then, it would be a miracle for PAC to accomplish just a half of
its responsibilities," the CAG warned. He stressed that there is a still a
need for a parliamentary oversight committee to supervise public organisations
which are increasing each year.
As of February 28, 2013, the CAG conducted audits on 126
public institutions for the financial year 2011/2012 out of 176 institutions
that his office is required to audit.
Source: The Daily News, www.dailynews.co.tz, reported by Alvar Mwakyusa in Dodoma
0 comments :
Post a Comment