Maafushi Council audit: discrepancies in revenues and expenditure

Auditor General's Office has announced that records of revenue and expenditure of Maafushi Council in 2022 is not accurate.

As per the audit report published by the Auditor General's Office, Maafushi Council listed revenues of MVR 14 million in 2022. Local Government Authority has instructed councils to record all earnings to the Viya Module, despite which the Maafushi Council failed to do so.

In addition to the Viya Module, Maafushi Council - one of the most successful councils in regards to guesthouses and hotels - has accepted funds through recording on Microsoft Excel sheets as well. As per Viya Module records, Maafushi Council accepted MVR 141,000 in 2022. Additionally, MVR 1.6 million was accepted through Microsoft Excel.

Auditor General's Office said that although council records indicate that the MVR 1.6 million was deposited, there is a difference of MVR 12.2 million between how the funds were earned and spent. Even with such a significant discrepancy, the amounts were not reconciled and no reasons for the discrepancies were given, with the veracity of the numbers being brought into question.

The Audit Office further said that there are issues in expenditure as well. As per the financial records of the Maafushi Council, MVR 10 million was recorded as expenditure in 2022. However, as per the module, MVR 14 million was spent.