127363 Gauteng Sports 2020.indb

GAUTENG DEPARTMENT OF SPORT, ARTS, CULTUREAND RECREATION: VOTE 12 ANNUAL FINANCIAL STATEMENTS for the year ended 31 March 2020

31. Disciplinary steps were not taken against some of the of ¿ cials who had incurred or permitted fruitless and wasteful expenditure, as required by section 38(1)(h)(iii) of the PFMA. Other information 32. The accounting of ¿ cer is responsible for the other information. The other information comprises the information included in the annual report. The other information does not include the ¿ nancial statements, the auditor’s report and the selected programme presented in the annual performance report that have been speci ¿ cally reported on in the auditor’s report. 33. My opinion on the ¿ nancial statements and ¿ ndings on the reported performance information and compliance with legislation do not cover the other information and I do not express an audit opinion or any form of assurance conclusion thereon. 34. In connection with my audit, my responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the ¿ nancial statements and the selected programme presented in the annual performance report, or my knowledge obtained during the audit or otherwise appears to be materially misstated. 35. I did not receive the other information prior to the date of this auditor’s report. When I do receive and read this information, if I conclude that there is a material misstatement therein, I am required to communicate the matter to those charged with governance and request that the other information be corrected. If the other information is not corrected, I may have to retract this auditor’s report and re-issue an amended report as appropriate. However, if it is corrected this will not be necessary. Internal control de ¿ ciencies 36. I considered internal control relevant to my audit of the ¿ nancial statements, reported performance information and compliance with applicable legislation; however, my objective was not to express any form of assurance on it. The matters reported below are limited to the signi ¿ cant internal control de ¿ ciencies that resulted in the ¿ ndings on the annual performance report and the ¿ ndings on compliance with legislation included in this report.

37. The accounting of ¿ cer did not always exercise adequate oversight of performance reporting and compliance with applicable legislation. 38. Action plans that were compiled to address the prior year audit ¿ ndings were not in all instances adequately monitored, which resulted in a number of repeat ¿ ndings on compliance with the PFMA. 39. Senior management did not adequately monitor controls in place to ensure that performance reports are supported by complete, relevant and accurate information, and that laws and regulations are complied with. Other reports 40. I draw attention to the following engagements conducted by various parties which had, or could have, an impact on the matters reported in the department’s ¿ nancial statements, reported, compliance with applicable legislation and other related matters. These reports did not form part of my opinion on the ¿ nancial statements or my ¿ nding on the reported performance information or compliance with legislation. 41. Independent consultants were tasked to investigate allegations of non-compliance with the department’s supply chain management regulations at the request of the department, which covered the period prior to 31 March 2019. Some of these investigations were concluded during the 2019-20 ¿ nancial period and resulted in disciplinary actions taken against certain employees. These proceedings were in progress at the date of this auditor’s report. The remaining investigations are still in process at the date of this report.

Johannesburg 15 October 2020

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ANNUAL FINANCIAL STATEMENTS 2019/20