Five Government entities get worst audit rating

Five government entities received disclaimer of opinion, the worst possible audit rating.

This highlights serious financial management failures across statutory authorities.

Parliament’s Standing Committee on Public Accounts shared their concern over the findings in its consolidated review report tabled last week.

The report revealed that 40 per cent of entities had negative financial reporting, with 17 per cent receiving disclaimer opinions.

“The Committee observed that five entities received a Disclaimer of Opinion,” the report stated.

A disclaimer of opinion is issued when auditors cannot verify the accuracy of financial statements due to lack of proper records or documentation.

The entities that received disclaimers were the National Council for Persons with Disabilities, Sugar Industry Tribunal, Fiji Servicemen’s Aftercare Fund, Agricultural Marketing Authority, and Telecommunications Authority of Fiji for certain years.

The committee found 73 per cent of all entities were ineffective in meeting quality and timeliness requirements for financial reporting.

"Therefore, the Committee expressed serious concern over the number of pending audits, as well as the re-submissions of poor-quality draft financial statements, which continue to hinder timely completion of audits," the report stated.

The review covered audits of 27 statutory authorities, eight independent commissions, and one independent body, with some accounts dating back to 2003.

The committee noted several entities had not submitted financial statements for years, creating massive audit backlogs.

Feedback: kaneta.naimatau@fijisun.com.fj