A recent audit report has revealed significant mismanagement of the Solomon Islands government's $306 million (US$36 million) Economic Stimulus Package (ESP), which was designed to support businesses during the COVID-19 pandemic. The report, confirmed by Auditor General David Teika Dennis, highlights serious procurement breaches, lack of compliance, and potential fraudulent activities [6d56c3e2].
Among the major findings, the audit uncovered that 251 cheques totaling $6.8 million (US$812,000) were issued by a single officer without any evidence that the beneficiaries received the funds. This raises serious questions about the oversight and authorization processes in place for disbursing public funds [6d56c3e2].
The audit, which covered expenditures from 2020 and 2021, pointed out several critical issues, including the absence of standard application forms, inadequate management of conflicts of interest, missing documentation for grants, and unverified payments. Alarmingly, over $25 million (US$2.99 million) was granted to exporters without any repayment requirements, further complicating the financial accountability of the program [6d56c3e2].
The ESP was initially launched to assist businesses amid international trade closures caused by the pandemic, but the findings of this audit have raised concerns about the effectiveness and integrity of the program. The lack of transparency and accountability in the management of the stimulus package has sparked calls for a thorough investigation and reform in government procurement processes [6d56c3e2].