Questions regarding delayed financial reporting and the inadequacy of internal controls emerged prominently during a recent Public Accounts Committee hearing focused on the 2021–2022 audit of the Sugar Industry Tribunal (SIT). Committee member Alvick Maharaj expressed significant concerns over the tribunal’s inability to submit its financial statements within the legally mandated 90-day period following the end of the financial year, a requirement under Fiji’s financial management laws.
Maharaj directed his inquiries towards tribunal registrar Timothy Brown, questioning the persistent delays and suggesting that they reveal broader issues with compliance and training within the organization. “Even though staff members have been with the organization for over a year, they should have completed the necessary financial training and closed the accounts by year-end. So why weren’t the statements submitted on time?” Mr. Maharaj pressed.
In his defense, Brown attributed the failures to staffing shortages and inadequate funding, stating, “It’s not that we didn’t try. We needed professional assistance but simply didn’t have the budget to hire external professionals, which can be costly. Our accountants are only paid $20,000 a year, leading to high turnover rates.” Efforts are being made to address these issues, with the tribunal now employing a chartered accountant to tackle problems identified in previous audits, including those related to the tribunal’s payment system.
This acknowledgment of difficulties faced by the Tribunal parallels broader issues highlighted in previous reports concerning the performance of various financial bodies in Fiji. A common theme is the ongoing challenge of maintaining qualified financial personnel, which is essential for the accountability and transparency of financial operations. This situation resonates with previous discussions within the sector, emphasizing the need for strategic planning and enhanced training for finance personnel.
Despite the ongoing challenges, there is an optimistic outlook regarding the Tribunal’s commitment to rectifying financial discrepancies and improving internal controls. The engagement of experienced accounting professionals is a step towards fostering a more robust financial governance framework. Furthermore, addressing these persistent issues can strengthen public confidence in the tribunal and contribute positively to the overall stability of Fiji’s sugar industry in the long run.
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