Speaker, hon members, it is not necessary for the President to lay down a policy on matters related to fruitless and wasteful expenditure and on the improper use of state funds. These matters are addressed satisfactorily in the Public Finance Management Act and in its subordinate Treasury regulations.
In terms of the Public Finance Management Act, accounting officers of departments and institutions are responsible for the effective, efficient, economical and transparent use of their institution's resources.
In addition, the Act requires accounting officers to take effective and appropriate steps to prevent unauthorised, irregular, fruitless and wasteful expenditure. Officials are also required to take effective and appropriate steps to prevent, within that official's area of responsibility, any unauthorised, irregular, fruitless and wasteful expenditure. The law also makes provision for appropriate disciplinary steps to be taken against any official of a government department or public entity who makes or permits unauthorised, irregular, fruitless and wasteful expenditure.
In addition, Treasury regulations require accounting officers to exercise all reasonable care to prevent and detect unauthorised, irregular, fruitless and wasteful expenditure and must, for this purpose, implement effective, efficient and transparent financial and risk management processes. Regulations also provide that losses or damages resulting from unauthorised, irregular, fruitless and wasteful expenditure must be recovered or dealt with. It is, therefore, clear that the current legislative framework makes adequate provision for accounting officers and accounting authorities to deal with transgressions, disciplinary steps and the recovery of losses resulting from fruitless and wasteful expenditure. We also appreciate the role of Chapter 9 institutions such as the Office of the Auditor-General, Public Protector and the SA Human Rights Commission, amongst other institutions, which monitor such conduct on behalf of the public.
We also have law enforcement agencies and investigative bodies such as the Special Investigating Unit, Asset Forfeiture Unit and other instruments to deal with serious transgressions. In addition, executive authorities are required by the Constitution to report regularly to Parliament on matters under their control, including actions taken on the matters relating to the member's question.