Northern Cape Transport department must be held accountable for deferment of audit outcome

Issued by Reinette Liebenberg, MPL – DA Northern Cape Spokesperson for Transport, Safety & Liaison
26 Jun 2025 in Press Statements

The Northern Cape Department of Transport, Safety and Liaison must be held accountable for failing to submit its financial statements on time, which could lead to an adverse audit outcome.

The Democratic Alliance (DA) has called on the Northern Cape Provincial Legislature to speed up the facilitation of a joint committee meeting, to hold the Department of Transport, Safety and Liaison accountable for scapegoating the deferment of its annual audit outcome on its controversial office lease.

The legislature’s portfolio committee on Transport, Safety and Liaison was informed earlier this week that the department received nine cut-off letters from the Auditor General of South Africa (AGSA) for non-submission of its annual financial statements by 31 May.

The department blames the situation on being denied access to its questionable office block, at the Ocean Echo glass building in Kimberley’s city centre in March this year, after it failed to pay rent.

This follows after a prohibition notice for the building was issued by the Department of Employment and Labour in November 2024.

It is understandable that the evacuation of the building caused delays in operations, due to officials being relocated to alternative office space in different departments. It is, however, inconceivable that the department only opted to collect critical financial and operational documents, required for AGSA’s audit, three months into the new year.

We note that the department’s application to seek relief from the landlords’ action of forcibly denying the department access to the building has been filed with the High Court and was postponed from 20 June 2025 to 18 July 2025.

Nonetheless, the department still has a lot to answer for. The department must explain why it turned a blind eye to the health and safety risks affecting officials. It must also clarify the terms of the lease, based on the legal fallout between the department and the landlord. Very importantly, the department must also take responsibility for failing to timeously submit its financial statements, and for the likely receipt of an adverse audit outcome.

Due to the seriousness of this situation, the DA will keep pushing for the urgent scheduling of a joint meeting between the department, the Standing Committee on Public Accounts (SCOPA) and the Office of the Premier. The department must be held accountable for failing to manage its leases, paperwork and public funds prudently.