By Ragan M Conteh
The 2022 Auditor General’s report has exposed parliamentary loan arrangement by identifying some members of parliament as culprits.
According to the Auditor General’s report there were no supporting documents for the loans granted, in respect of building materials, furniture, cars and rent paid; it said these details were not on files.
According to the report there is no request for approval of loan seen on file, adding that request for credit reference check to the Bank of Sierra Leone (BSL) was not seen.
The report stated that invoices and receipts not seen on file, for some and for others, were seen but not signed, or stamped and serially numbered.
The report went further that gratuity computation was not seen and in instances where it was seen, it did not cover the loan amount.
The Audit Service report maintains that life-card, registration documents and insurance covers were not sighted and that employers’ guarantee were not found.
The report states further that recommendation for facilitation from Office of the Clerk of parliament was not seen.
The report points out that on corporate loans, auditors did a sample of 15 corporate loans and noted the following:
They say valuation report was not seen for some, whereas for others, valuation reports were seen but there was no pictorial evidence attached, and that the valuation report was outdated.
The report says insurance cover was not seen and in some instances the cover was not adequate.
It says, audited financial statements were not seen or updated.
The Audit Service stressed that board’s approval and board’s resolutions were not sighted; legal mortgage agreement was not seen and, in some instances, not registered and stamped.
The report went on that facility letter approved by Business development and corporate banking was not seen.
Satisfactory Credit Reference Bureau from the Bank of Sierra Leone was not seen.
The report further states that cash flow forecast was not seen.
On the staff loan, they sampled 37 staff loans and noted that a staff loan application form was not seen.
On the missing credit committee assessment, legal mortgage agreement was not found and, in some instances, was not even registered and stamped.
“End-of-service benefits payable or due was lower than the loan granted. Invoices and receipts not seen on file for some and for others, invoices and receipts were seen but not signed, stamped and serially numbered,” they said.
“We sampled 27 overdrafts and noted the following and that audited financial statements were not seen. Personal guarantee was not seen and evaluation report was not seen.”