Malawi

Sigh of relief: National Audit clears “Ndi Tsogolo Langa” over MK2.4 billion fraud, faults TEVETA management for monitoring incompetency 

3 Min Read
NAO clears Ndi Tsogolo Langa (NTL) of fraud, brands TEVETA incompetent

LILONGWE-(MaraviPost)- The National Audit Office (NAO), has again cleared the Ndi Tsogolo Langa (NTL) organization of any suspected fraud over the alleged misappropriation of MK2.4 billion, it received from Technical Entrepreneurial Vocation and Education Training Authority (TEVETA), The Maravi Post has been informed.

The development comes barely a month after the audit office also cleared of any wrong doing of the three suspended TEVETA’s directors for the same charge.

The three, who were sent on forced leave from January 24 to February 23, 2017, are the Authority’s Executive Director, Ndiwone Chauluka, Director of Finance, Elwin Sichola, and Director of Training Modesto Gomani.

The trio were relieved of their duties after TEVETA’s board ordered extensive auditing, as they were allegedly funding NTL Project without the knowledge of the board.

Consequently, last month, the Authority reinstated Director of Finance, Sichola back to his job leaving the other two who do not handle finances directly.

A source told The Maravi Post that after the NAO’s high-level report on the matter, did not please some TEVETA board members, who have person and political concerns with Chauluka and that he be implicated.

But the embedded and final report in our possession titled, “Technical Entrepreneurial Vocation and Education Training Authority (TEVETA) Investigative Audit Report,” dated April 3, 2017, has cleared the NTL of misappropriating the alleged MK2.4 billion.”

In the report, NAO clearly indicates that the total amount agreed through the 2016 Memorandum of Understand (MoU) between TEVETA and NTL was MK271, 927, 500 not the alleged MK2.4 billion.

The auditing institution, said that out of MK271 million, its MK257, 953, 600 was disbursed  stipulated in the MoU with only MK18, 192, 000 spent out of the agreement which the report faulted TEVETA management for lack of finance monitoring system to track expenditures.

NAO acknowledged the agreement between TEVETA and NTL that was entered into and was in accordance with the TEVETA Act, 1999, and said the NTL is a bonafide, duly-registered, non-governmental organization.

The report further said NTL implemented its activities using funds obtained from TEVETA perfectly apart from diversion of funds from Nsanje and Mwanza projects to finalize entrepreneurship training in Traditional Authority (T.A.) Kabudula, which needs to be reimbursed.

“Students, guardians and members of the communities, in which the projects are being implemented, are very appreciative of this initiative, and they would want such training completed and new initiatives started.

“It was, however, noted that NTL’s accounting and internal controls, were not effective and that some funds were diverted to other activities, not covered in the MoU. It could have been appreciated if TEVETA’s finance department carried out period reviews and audits of how NTL was using funds, and maintain accounting records,” reads in part, the 32 paged NAO audit report.

NAO therefore the TEVETA board for exaggerating the fraud figures and acting out of its mandate by faulting TEVETA management for working with other partners without its acknowledgement.

“The total amount agreed in the MoU was MK271, 927, 500 of which MK257, 953, 600 has so far been disbursed. The budget line from which NTL funds were drawn is called “Support to Community’s Technical Colleges” (SCTC) and has no breakdown. SCTC budget is not budgeted at the departmental level but at the executive management and board level.

TEVETA Head of Corporate Affairs Lewis Msasa did not pick up his mobile phones in the several attempts made by Maravi Post, but in January, this year confirmed of the three directors being on forced leave.

Ndi Tsogolo Langa Project’s Director Joyce Chitsulo, refused to comment on the matter. She said she will react to the development after the said NAO furnishes the organization with the report.