PSMAS institutes forensic audit

Paidamoyo Chipunza Senior Health Reporter
The interim management at PSMAS has instituted a forensic audit to establish the association’s financial status. According to PSMAS interim manager Dr Gibson Mhlanga, the audit contract was awarded to Ernest and Young on October 18 this year.

“They started work on 23 October and they said they expect to be done by December 31 this year,” said Dr Mhlanga, who is also the principal director for preventive services in the Ministry of Health and Child Care.

Dr Mhlanga could not reveal the terms of reference of the auditing firm fearing it could jeopardise the process.

“We have a confidentiality agreement with the auditors. In any case it would jeopardise the audit to give out information on the exact areas the auditors are focusing on,” he said.

The appointment of Ernest and Young follows revelations of financial irregularities at the healthcare funder that included the awarding of abnormal salaries to top management in what became known as the Salarygate.

The salary structure saw former group chief executive officer Dr Cuthbert Dube earning an average US$500 000 a month at a time PSMAS was failing to pay service providers.

This saw members failing to access healthcare.

Dr Dube and board chairperson Mrs Meisie Makelotso Namasasu later stepped down.

The whole board of directors also resigned. Government then appointed an interim management chaired by Dr Mhlanga.

It was tasked with looking into the society’s remuneration structure, review its financial position and to facilitate a forensic audit.

The interim management was officially appointed in June this year.

It has managed to institute a restructuring exercise and to reduce the society’s debts to both service providers and the Zimbabwe Revenue Authority.

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