Unauthorised, Irregular and Fruitless & Wasteful Expenditure Explained Quick Video

Subscribe Now: www.youtube.com/@ConsultKano?...
Join Our Exclusive Membership Community: / kanoconsultants
Support Our Patreon Page: www.patreon.com/consultkano?f...
#ConsultKano @ConsultKano
Unauthorised Expenditure, is when there is
1. An overspending of the approved budget; or
2. An overspending of the vote in the approved budget; or
3. The expenditure is unrelated to the function of the government department or the municipality.
Essentially, any spending that was not budgeted for or do not relate to the functions of the of the department or the municipality.
Examples of this includes, where a government department or municipality pays for an item or towards a project which was not approved within the budget.
Irregular expenditure means: expenditure which is incurred in contravention of, or that is not in accordance with, a legislation (including by-laws) or any approved policy.
An example is when a tender is awarded without going through the prescribed procedures
Fruitless & Wasteful Expenditure means any spending that was made in vain and that would have been avoided had reasonable care been exercised. ‘Made in vain’ normally refers to when the government department or the municipality received no value for money spent.
An example is when the supplier is paid an incorrect amount. Another example is interest paid on overdue account.
This is another fundamental lesson in Public Administration, proudly brought to you by Kano Consultants.
Share this video and remember to like it and subscribe
Also follow us on our social media pages @ConsultKANO #ConsultKano #audit #accounting #auditopnion #accountant #auditor #auditorgeneral #agsa #auditing #governmentspending
Disclaimer:
This publication and the information included in it are not intended to serve as a substitute for consultation with a professional. Specific issues, concerns and conditions always require the advice of an appropriate professional advisor. The use of the contained information is at the user's own discretion.

[@ArabelaSeemane-uo4qf]

Helpful 🤗