Madonsela warns overbilling will cripple state

2013-04-10 11:58

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Overbilling and false billing by service providers will cripple the state, Public Protector Thuli Madonsela has warned.

Addressing the Institute of Municipal Finance Officers in Somerset West, Madonsela said her office was picking up a startling number of cases where service providers were being overpaid.

“The amounts are getting scarier and scarier,” she said.

The billing problem was compounded by the fact that municipal officials were colluding with service providers.

Madonsela cited instances where municipal officials stayed overnight in a hotel, but travel agents claimed for a five-night stay.

The official would then ask the agents to have the extra money claimed transferred into their bank account.

Other instances included municipalities putting in a R2 million order for services, only to receive a R6 million invoice later.

Madonsela pleaded with audit committees, and finance and risk officers, to exercise due diligence to prevent this type of fraud and maladministration.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24


Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.