Protector warns of over-billing

2013-04-10 13:23
Public Protector Thuli Madonsela (Picture: Beeld)

Public Protector Thuli Madonsela (Picture: Beeld)

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Somerset West - Over-billing and false billing by service providers will cripple the state, Public Protector Thuli Madonsela warned on Wednesday.

Addressing the Institute of Municipal Finance Officers (IMFO) 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 R2m order for services, only to receive a R6m invoice later.

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

Read more on:    thuli madonsela  |  cape town  |  corruption

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