Cape Town – The South African National Roads Agency (Sanral) must improve its internal audit processes as its growing impairments will put it at risk of further downgrades and it may require bailouts from the state, the Organisation Undoing Tax Abuse (OUTA) warned on Friday.
The civil rights body was responding to concerns raised over the agency’s financials by the standing committee on public accounts (Scopa) earlier this week.
Sanral has incurred high levels of irregular, fruitless and wasteful expenditure resulting from non-compliance with supply chain management processes, Fin24 reported previously. Scopa also raised the issue that Sanral did not comply with the Public Finance Management Act.
Sanral’s accumulated irregular expenditure amounted to R10bn, and fruitless…
