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Financial mismanagement starts at Parliament—AG
By
Gedion Munthali - 14-12-2002 |
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Auditor General Henry Kalongonda has said that mismanagement which entails abuse starts at Parliament where MPs allocate themselves huge sums money in allowances far beyond their salaries.
“Mismanagement is a broad subject. But in most cases it entails abuse and misallocation of funds. Sometimes it starts right at Parliament,” said Kalongonda when asked why the issue of mismanagement seems to have come to stay in government despite calls during annual budget presentations in Parliament to stop it.
Kalongonda explained that by allocating themselves more allowances—which are tax free—over their low salaries, the legislators were not being transparent.
“If my allowances are more than my salary, it raises several questions,” said Kalongonda. “It shows I am hiding something. That’s how abuse starts,” said Kalongonda.
But Parliamentary Conditions of Service Committee Chair Henry Mussa disputed Kalongonda’s claims, saying: “In an ideal situation, the MPs’ perks are peanuts because public expectations from an MP do not measure up to his pay and allowances together.”
“Actually sometimes we sacrifice,” said Mussa.
MPs’ perks were raised mid this year from about K50,000 to K101,850 per month, representing a rise of slightly over 100 percent.
The MPs’ basic salary moved from K10,000 to K12,000. In addition, a monthly education allowance of K1,500 was introduced.
Other perks include K24,000 motor vehicle recovery allowance (a hike from K23,000), motor vehicle maintenance allowance of K20,000 up from K6,000 and a constituency allowance of K30,000 from K6,000.
The MPs also receive servant, security, electricity, water and telephone allowances which, together with the old office allowance come to K13,850 a month.
Government would have been collecting over K5 million monthly if both salary and allowances for MPs were taxed.
Currently only their salaries which stand at K12,000 per month are taxed, according to the Parliamentary Conditions of Service Chair Henry Mussa.
Presently government collects about K434,250 monthly from 193 members of Parliament. But if their allowances which come to about K89,350 per month were taxed government would have been collecting about K5,173,365.
“All the allowances we get have got a specific purpose. It is not like they are just meant for our luxury. Actually ministers get more than we get because of the nature of their job,” said Mussa.
Ministers get a monthly salary of K20,000 while their deputies get K15,000. They also get furniture allowances at K150,000 and K120,000 for five years, respectively, K150,000 fuel allowance and K25,000 housing allowance per month.
Speaker Sam Mpasu said whatever Parliament authorises becomes an official figure, saying if the budget contains a vault for MPs’ perks and it gets passed by the House, there is nothing illegal about it.
“What MPs get is contained in a vault for MPs’ pay in the budget,” said Mpasu. “It is all transparent as it is contained in the budget documents which are public documents.”
Mpasu said it was the duty of the Auditor General to report to Parliament any anomalies on use of public funds.
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