G-fleet has skipped another red light

October 12, 2017

G-fleet management has once again failed to implement a successful turn-around strategy to ensure that the entity becomes solvent and ceases to haemorrhage public funds.

Despite receiving an unqualified audit opinion from the Auditor General, the entity racked up R2.9 million in fruitless and wasteful in the 2016/17 financial year, up R1 million from the previous year.

Irregular expenditure for the year under review skyrocketed from R2.5 million in 2015/16 to R17.1 million. This has allegedly been incurred on renewing expired leases, vehicle tracking systems, security and cleaning service contracts.

Earlier this year it was revealed that the entity was owed more than R370 million by client departments – namely the Gauteng Departments of Health and Infrastructure as well as the Office of the Chief Justice.

The entity is also undergoing a forensic investigation into the abuse of petrol cards and the use of vehicles for non-work related activities.

In 2015 the Chief Executive Officer and Chief Financial Officer were relieved of their duties and new members were brought in to stem the rot that had become endemic at G-fleet.

Two years later, very little has been done to steer the entity on the right path.

Gauteng MEC for Roads and Transport, Ismail Vadi, must now take a hands-on approach to G-fleet, roll up his sleeves and start taking action against individuals who are abusing the system. The Accounting Officer must be brought to book for the increased irregular and wasteful expenditure.

The DA will write to the MEC to request an update on the forensic investigation, as well as the details of the plan to recoup funds for errant client departments.

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