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This should be a more important piece of news for Singapore, NOT some extramartial affairs! The part on disbursement using personal bank account is a major lapse to me, as it may lead to misappropriation of public funds as well as promoting scamming activities (when recipients of such funds thought that it is normal to transact via personal accounts). S$1 million over-disbursement of grants by CAAS, weakness in controls at PA among lapses flagged by Auditor-General SINGAPORE: The over-disbursement of grants by S$1 million (US$754,000) by the Civil Aviation Authority of Singapore (CAAS) and weaknesses in controls at the People’s Association (PA) were among the lapses flagged by the Auditor-General’s Office (AGO) in its report on Wednesday (Jul 19). The AGO’s audit report of public agencies in Singapore for the financial year 2022/2023 also focused on four COVID-19 grants – the Jobs Support Scheme, Rental Relief Framework (Rental Cash Grant), Rental Support Scheme and the SingapoRediscovers Vouchers scheme. The AGO audited 16 government ministries, eight organs of state, four government funds, eight statutory boards, four government-owned companies and two other accounts. The report noted lapses in procurement and weaknesses in controls at the PA. This includes lapses in the evaluation and award of three tenders. The scores given by the tender evaluation committee for certain sub-criteria could not be substantiated or were incorrectly assessed. For two of the tenders, the evaluation sub-criteria and scoring methodology were determined only after the tenders had closed. Three grassroots organisations had also awarded or renewed contracts with two debarred contractors. The AGO also found inappropriate money management practices for welfare assistance schemes at two grassroots organisations. One of these organisations transferred S$707,000 from April 2019 to May 2022 to personal bank accounts so staff could withdraw the money for cash disbursements to welfare assistance recipients at festive events. The money was transferred over seven instances, with amounts ranging from S$10,000 to S$200,000. For the second grassroots organisation, S$334,500 was transferred from July 2020 to November 2021 to a staff member’s personal bank account. This was used to reimburse hawkers and merchants for their claims under a voucher assistance scheme. This money was transferred over 46 instances, in amounts ranging from S$500 to S$21,200. According to the PA, these practices were implemented due to operational needs, said the AGO report. It added that this practice of transferring grassroots organisations' money to personal bank accounts was “inappropriate”. “While AGO’s test checks did not find any evidence of money being lost or misappropriated in the above two cases, such practices pose significant risk of loss or misappropriation,” said the report. “It would also be unfair for the staff to bear the consequences should the money be unaccounted for during the process.” For two community service projects that had been in operation for more than 10 years, the grassroots organisations did not enter into formal agreements with the external service partners, setting out the terms and conditions of the partnership arrangement. In a separate press release, PA said it takes the AGO findings very seriously and is committed to resolving and improving its governance, procurement and oversight processes.

Ownself check ownself 2019 edition Auditor-General finds lapses in procurement, contracts and IT controls in public agencies Mata involved! Police reports made after AGO highlights lapses Police begin probe over irregular quotations received by MND and URA after AGO report

Auditor-General’s Report FY 2015/16: Audit observations http://www.todayonline.com/singapore/auditor-generals-report-fy-201516-audit-observations In its latest report for financial year 2015/16, the Auditor General’s Office (AGO) flagged lapses and inadequate financial controls in six ministries and six statutory boards. These ranged from investments made without proper approval and evaluation by the Ministry of Defence, to the National Arts Council paying a consultancy fee of S$0.41 million for the construction of a bin centre that cost S$0.47 million. Here’s are highlights of the AGO’s audit observations: NATIONAL ARTS COUNCIL (NAC) The AGO found lapses in the NAC’s management of the Victoria Theatre and the Victoria Concert Hall redevelopment project, after carrying out test checks on six contracts with a total value of S$139.17 million. It found: The NAC paid S$0.41 million in consultancy fees for the construction of a bin centre, equivalent to 87.2 per cent of the S$0.47 million construction cost of the centre. • The AGO called the consultancy fee “exceptionally high”, and said the NAC directly engaged consultants for the additional services without first conducting a cost assessment. • Its supervising ministry, then the Ministry of Information, Communications and the Arts (MICA), did not have a robust assessment of the consultancy fee. It benchmarked the fee against more complex projects. • The Ministry of Culture, Community and Youth (MCCY), which now oversees the NAC after a restructuring, cited the complexity and expertise needed for the bin centre, and the effort to coordinate with multiple parties as reasons for the higher fee. The AGO noted there was no documentary evidence these reasons were considered then. • Going ahead: > The NAC said it would include relevant cost assessments when seeking approval for procurement. > The MCCY said it would adopt the norm for cost assessment of consultancy fees and provide justifications where there are good grounds for deviation. • The NAC also allowed 47 instances of alterations to the scope of works under two construction contracts to be carried out prior to approval. • The 47 variations were estimated to be valued at S$4 million, and were among 164 variations made to the contracts. The delays in obtaining approval ranged from 12 days to 3.5 years. LAND TRANSPORT AUTHORITY (LTA) The AGO found that the LTA failed to ensure proper collection of tolls at Woodlands and Tuas checkpoints. • Tolls at Woodlands and Tuas were under-collected by an estimated S$13.93 million in financial year 2014/15 — almost 22 per cent of total tolls collected that year. • AGO’s site audit showed that there was no effective system to ensure that vehicles pass immigration booth only after fees were paid • The LTA has agreed to review controls and enforcement over toll collection. HOUSING AND DEVELOPMENT BOARD (HDB) The AGO identified lapses in HDB’s collection of parking fees at residential and industrial estates. • At five car parks at industrial estates, the AGO found 113,103 instances of vehicles not charged parking fees. An estimated S$159,000 was not collected between April 2014 and August 2015. • At 59 residential car parks, the AGO found 2,501 instances of non-payment upon exit between April and September 2015 on more than three occasions a month. • The HDB has begun a thorough analysis of reports from car park operators, and made police reports against motorists who deliberately tried to evade parking fees in industrial areas. MINISTRY OF DEFENCE (Mindef) The AGO audited the Savings and Employee Retirement and Premium Fund (SAVER-Premium Fund), focusing on receipts and payments as well as investments. It found: • Mindef failed to provide for Central Provident Fund (CPF) contributions on the Full Savings Vesting (FSV) Bonus, which is paid to SAVER Plan members who have completed 10 years of service. • Mindef did not provide the CPF contributions since 2007, when the FSV bonus was introduced. • Mindef had considered FSV bonus as an integral part of the SAVER Plan and as a termination benefit which would not attract CPF contributions • But AGO said the bonus is paid to officers while they employed, hence CPF contributions would need to be paid. This was affirmed in the legal advice sought by Mindef. • MINDEF said it would make the required CPF contributions by next month. For FY2014/15, the estimated CPF amount for 215 members is S$324,000. • Last January, Mindef invested S$50.26 million in a United States Real Estate Investment Trust exchange-traded fund (US REIT ETF) without proper approval and evaluation by the SAVER-Premium Fund’s Board of Trustees. The ministry only sought approval from the then Director of Defence Finance. • It also appointed an investment manager without the Board’s approval. • Evaluation of the US REIT ETF was not adequate, and complete information on the investment costs was not presented when seeking the director’s approval. • Mindef said no approval for the investment was sought from the Board because it was deemed a transitional investment consistent with the Board’s approved strategic asset alocation. This was pending the appointment of two Board-approved fund managers for investments of S$25 million each in Global REITS and US REITS. • However, the AGO noted that Board’s approval was only for the aforementioned S$25 million investments. • Mindef has since obtained covering approval from the Board for the appointment of the transitional investment manager • It will review the processes relating to seeking approval for investment MINISTRY OF FOREIGN AFFAIRS (MFA) The AGO found irregularities in the management of subscription of telecommunication services, with overpayments totalling S$109,868 and wastage totalling S$80,744 on mobile lines that were no longer needed. • No proper verification of invoices to ensure that rates and amounts billed and paid were correct. • Out of 26 invoices, 18 had indications of overpayments. • Rates billed were different from usual rates, or there were wide fluctuations (more than 20 per cent) in rates billed between months. • No evidence officers verified service and rates billed by vendors against the contracts. • Their methods of either comparing with the rates in previous invoices or spot checking the phone plan subscription rates billed against an internal listing were not effective, said the AGO. • The MFA has since recovered the overpayments. • The MFA also subscribed to 28 mobile lines that were no longer needed. • 11 lines had not been used in more than two years, while 17 lines belonged to officers who had either left the MFA or were assigned other lines three months to three years earlier. • Measures to rectify this include: > Terminating the 28 mobile lines > Implementing processes to monitor usage and review the need for mobile lines annually, > Plans to trigger the termination or assignment of lines when officers leave the MFA The AGO also identified irregularities, overpayment, lapses and wastage at the Manpower, Law and Home Affairs ministries. The Intellectual Property Office and the Civil Service College were also called out for lapses in procurement and administration of course/trainer fees. The AGO’s report is available here: http://www.ago.gov.sg/docs/default-source/report/18599c06-73f0-4965-a32b-db9394110e4a.pdf

http://www.channelnewsasia.com/news/singapore/auditors-unable-to/996438.html SINGAPORE: The Ministry of National Development (MND) has flagged its concerns over the latest financial statements of the Aljunied-Hougang-Punggol East Town Council (AHPETC) for the financial year ended March 31, 2013. The independent auditors -- Foo Kon Tan Grant Thornton -- engaged by AHPETC said in a report that the town council had not complied with the provisions of the Town Councils Act and the Town Councils Financial Rules. The town council, run by the Workers' Party, had submitted its statements on Monday, nearly six months late and after seven reminders. All town councils had been required to submit their financial statements by August 31, 2013. The auditors also made what's described as a "Disclaimer of Opinion", which means they were unable to express an opinion on the financial position of the town council due to insufficient evidence. Disclaimers of Opinion are issued by auditors when they refuse to sign off on financial statements completely, due to lack of information. In the case of the Aljunied-Hougang-Punggol East Town Council, the auditors listed 13 points in its disclaimer. A key area highlighted was related party transactions. The independent auditors said the town council had not made available details of project management service fees paid to a related party. The town council had said in its financial statements that it had appointed FM Solutions and Services as its Managing Agent after the 2011 General Election. The managing director of the company, Mr Danny Loh, is also the secretary of the town council. Mr Loh’s wife, Ms How Weng Fan, is a director of the company and also acted as the town council's general manager. The company had been paid a management agent fee of some S$5.3 million. Related party transactions refer to those where the town council’s key management personnel have a personal financial interest. Among the other areas cited in the auditors' report were the town council's opening balances, lift repair balances and lift upgrading expenses. The auditor also noted that the town council had not transferred monies into its Sinking Funds as was required under the Town Councils Financial Rules. There were also questions over the validity of receipts collected. The auditors said they were unable to determine the validity and accuracy of various items in the town council's accounts, including receivables of some S$1.8 million, lift repair and lift upgrading expenses of some S$20 million, and temporary unidentified receipts from residents and the HDB of about S$308,000. Other items included advance receipts from residents in respect of conservancy and service charges of some S$507,000. There were also unidentified differences of GST payable of some S$518,000 and unreconciled differences of some S$63,000 in cash and bank balances. The town council had also received nearly S$521,000 from the Citizens Consultative Committee but the receipts could not be identified and matched to other records. The auditors also said AHPETC had not made available to the auditors its latest management accounts and records of minutes subsequent to the financial year-end, to allow the auditors to ascertain whether AHPETC's financial statements properly reflected adjustments or disclosures needed in light of relevant subsequent events. The Ministry of National Development noted that the financial statements had only been submitted after seven reminders, and that this was the second year the town council's auditors have submitted a disclaimer of opinion on its accounts. The ministry said in a statement that this is a "cause for concern". The independent auditors have submitted their report to the Auditor-General as required under the law. MND press statement on AHPETC's FY2012 audited financial statements (PDF 190.44KB)

In taiwan, the big guys are caught for replacing the oil after a week.... to 2... and now they set standard to dictate the oil change in fast foods.. Is fast food healthy here? any organisation that audit them here? http://tw.news.yahoo.com/article/url/d/a/0...8/78/1m220.html 又是麥當勞

I am not amazed when I read in today ST that MY Gov department paid dubious prices for items which cost much less on the street. Could not imagine how their AG department could approved RM117 million on 2 helicopters for their police force which does not suit their operational requirement. Both helicopters landed in the fire department instead with additional cost thrown in for training pilots to fly them. Paid RM70 for a set of screwdrivers which cost mere RM10/- at hardware shop. [sly] So the past stories & theories of under table moneies being passing around from one to another in order to secure projects seem profound after all.

Now doing an audit on fuel purchase in my organisation...knn always kena arrow do car-related stuff audit,like carpark,vehicles,usage of vehicles,feasibility of vehicle models..blah2.. Think my boss knoe i surf car forums too much.. Anyway,currently all our vehicles are under the corporate plan for shell & mobil.Refuel using fleet card. I want to propose using the minimum grade for petrol say 92 or something coz the current stance is using 95. My organisation vehicle fleet consist of vans,old station wagons,saloon cars etc.. Only found this article to support my claim.. http://fifthgear.five.tv/jsp/5gmain.jsp?ln...=143&pageid=272 Recalled seeing some articles in AAS..any one got other articles to support my proposal?