PAC takes dim view of tourism ministry’s poor financial procedures

PAC takes dim view of tourism ministry’s poor financial procedures

PAC chairman says several matters had been raised, including "improper payments" made without supporting documents.

hassan
KUALA LUMPUR:
The Public Accounts Committee (PAC) seriously views the failure of tourism and culture ministry officials to comply with financial procedures set in place in the management of events.

PAC Chairman Hasan Arifin said the ministry should take more decisive action to ensure that procedures were followed.

“PAC is of the view that reports prepared by the National Audit Department should be more focused on the budget and made objectively.”

He said this in a statement on the PAC Report on Event Management under the ministry tabled in the Dewan Rakyat today.

The issue was previously discussed in the Auditor-General’s Report 2013 Series 3, and tabled in Parliament on Nov 10, 2014. The ministry’s secretary-general, Dr Ong Hong Peng, was called for an explanation.

Hasan said in these proceedings, several matters had been raised including “improper payments” made without supporting documents, bad management of events, specification of supplies and services that did not comply with regulations and the choice of locations for events.

Other issues touched on the appointment of a special contractor to carry out public relations services. This was incompatible with the functions of the ministry.

“Promotions and public relations activities should be carried out by Tourism Malaysia,” noted Hasan.

Moreover, he said there were inconsistencies in planning, with rented banquet chairs exceeding the amount of food ordered from 53.9 per cent to 300 per cent.

Other issues raised were safety management for events. For example, for the Labuan Water Festival Programme, the location for the installation of the fireworks was found to be unsafe.

Hasan said PAC suggested “time-based” contracts be scrapped because it made it easier for contractors to manipulate the payments.

He said implementation of contracts must be made based on contract management procedures and sound financial management.

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