SINGAPORE – Given the unprecedented complexity and scale of Government operations to fight Covid-19, a review should be conducted to ensure that public funds were spent properly, and that any loss of public monies is reported and recovered, said a parliamentary watchdog comprising eight MPs set up to scrutinise public spending.
The Public Accounts Committee (PAC), in a report presented to Parliament on Wednesday, noted that $72.3 billion spent on Covid-19 in the financial years 2020 and 2021 were not covered in the audits by the Auditor-General’s Office (AGO).
Committee chairman Foo Mee Har said: “Given that the Government’s Covid-19 operations were unprecedented in intensity, complexity and scale, checks should be conducted to ensure transactions were bona fide and that there was no erroneous payment.”
She added: “The relevant agencies should follow up to rectify any errors uncovered during their internal reviews and audits, and take steps to report and recover any loss of public monies. Emergency procurement procedures should be reviewed to ensure that control measures are appropriate for future emergencies.”
The committee’s recommendation follows a thematic audit carried out by the AGO last year of selected Covid-19 related procurement and expenditure managed by the Health Promotion Board, Singapore Land Authority and the Ministry of Manpower.
The AGO found that the three agencies generally had in place processes and controls to manage the different stages of procurement and contract management, but there were some lapses in evaluations of contractors’ proposals as well as tell-tale signs that some documents provided by contractors might not be authentic, among other things.
Since early 2022, the Ministry of Finance (MOF) had started its review of the controls and checks on Covid-19 related procurement and expenditure and relevant government agencies have also been conducting audits to ensure that transactions were proper, said the PAC.
These audits have thrown up similar findings as those in the AGO’s audits, such as incomplete documentation and lack of supporting documents.
An example of erroneous payments is that of the Ministry of Trade and Industry, which found errors in the business reopening dates used to determine Job Support Scheme payout. This resulted in an excess of payouts amounting to $370 million. As of July 2022, the Government had recovered 99.8 per cent of the amount.
The committee noted that MOF had made recommendations for appropriate records to be maintained and key decisions and transactions to be documented.
The relevant agencies would be following up to rectify any errors uncovered during their internal reviews and audits, and take steps to recover any erroneous payments, the committee added.
In its report, the PAC also urged the Government to ensure that standards of public service delivery do not drop below pre-pandemic levels as Singapore transitions from the Covid-19 pandemic to a new normal. It noted that it is especially important to ensure that those who are less digitally-savvy can access these services.
It is especially relevant given the public sector’s new hybrid work arrangements and push for digital delivery of public services, it added.
