By: Fatou Krubally
The Finance Director at the Kerewan Area Council(KAC), Abdoulie Khan, testified to critical failures in budgeting and financial oversight at the council.
In a heated exchange with counsel Patrick Gomez, Khan admitted that there was no loan policy in place and that financial vouchers were not pre-audited as required.
Khan further disclosed that for a period in 2018, the council operated without an internal auditor, leading to serious lapses in financial control. He acknowledged that loans were granted without a formal process and that the CEO had the final say on payment authorizations. Despite his role as finance director, Khan stated that he did not have ultimate authority over the CEO’s decisions.
Gomez pressed Khan on the issue of lunch expenses, revealing that the budget for meals and entertainment was misallocated under miscellaneous funds. Khan attempted to justify the discrepancy, citing a system error. However, when challenged to provide accurate figures for meal expenses, he was unable to do so, exposing a significant gap between the allocated budget and actual expenditure.
During the testimony, Khan also admitted that revenue collectors were not closely supervised, leading to issues with revenue collection and expenditure tracking. “There were lapses in revenue control, and in some cases, collections were not properly accounted for,” Khan conceded.
Additionally, Khan acknowledged shortcomings in financial reporting, including a failure to conduct regular bank reconciliations, which are crucial for maintaining financial integrity. “We should have done better in tracking our financial transactions, but unfortunately, some procedures were not strictly followed,” he admitted.
The testimony further exposed that the council lacked a formal loan policy and did not have a loan committee in place. Khan explained that loan applications were approved directly by the CEO, bypassing necessary financial oversight measures.
Gomez expressed deep concern over the revelations, emphasizing the need for stricter financial controls. “This level of financial mismanagement is unacceptable. Public funds must be handled with transparency and accountability,” he stated firmly.
Khan’s admission of lax financial controls, mismanagement of funds, and failure to enforce proper oversight highlighted serious weaknesses in the management of public funds at the Kerewan Area Council. The commission will now investigate deeper into these irregularities to address systemic issues and enforce stricter financial oversight measures.
As the enquiry continues, the spotlight remains on Khan and the council’s financial practices, with calls for immediate corrective measures and increased transparency in public spending.
