Department of Defence Annual Report 2008-2009

| Department of Defence | Vote 19 |
REPORT OF THE AUDITOR-GENERAL TO PARLIAMENT
ON THE FINANCIAL STATEMENTS AND PERFORMANCE
INFORMATION OF THE SOUTH AFRICAN NATIONAL
DEFENCE FORCE FUND for the year ended 31 March 2009
Opinion
7. In my opinion the financial statements present fairly, in all material respects, the financial position of
the South African Defence Force Fund as at 31 March 2009 and its financial performance and its cash
flows for the year then ended, in accordance with the South African Statements of Generally Accepted
Accounting Practice (SA Statements of GAAP) and in the manner required by section 22 (7) of the
Fund Raising Act, 1978 (Act No. 107 of 1978).
Other matters
Without qualifying my opinion, I draw attention to the following matters that relates to my responsibilities
in the audit of the financial statements:
| Financial Performance |
Non-compliance with applicable legislation
Fund Raising Act, 1978 (Act No. 107 of 1978)
8. The fund did not comply with the following requirements of the Fund Raising Act, 1978 (Act No. 107
of 1978):
• Board members were not appointed by the Minister including the Chairperson and the Deputy
Chairperson of the board, as required by Section 17(1) and (9).
• The board did not hold the required number of meetings as required by Section 17C (5).
• The fund was incorrectly named in the annual report as the South African National Defence Force
Fund. The South African Defence Fund was established in terms of the Fund Raising Act, 1978
(Act No. 107 of 1978) and in terms of section 16(b) of this act the Fund is to be known as the
South African Defence Force Fund.
Public Audit Act, 2004 (Act No. 25 of 2004)
9. The fund did not comply with the following requirements of the Public Audit Act, 2004 (Act No. 25
of 2004):
• The fund’s annual report was not tabled to the relevant legislature as required by Section 21(3). In terms
of section 22(8) of the Fund Raising Act, 1978 (Act No. 107 of 1978) the fund shall be audited by the
Auditor - General of South Africa (AGSA). Section 21(3) of the Public Audit Act, 2004 (Act No. 25
of 2004) provides that those reports audited by the AGSA must be tabled in the relevant legislature.
Key governance responsibilities
10. The Fund Raising Act, 1978 (Act No. 1978) and Audit Circular 1 of 2007 (Issued in terms of section
14(2)(b) of the Public Audit Act, 2004 (Act No. 25 of 2004)) tasks the accounting authority with a
number of responsibilities concerning financial and risk management and internal control. Fundamental
to achieving this is the implementation of key governance responsibilities, which I have assessed as
follows:
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