Photo: RNZ / Nate McKinnon
By Lee Scanlon of The Westport News
Buller District Council's new chief executive says the council cannot finalise its annual report until a forensic audit of its Project Management Office (PMO) is completed.
Steve Gibling announced the independent forensic audit last week to address "serious allegations of mismanagement of funds" relating to the PMO, which was set up in 2021 to handle major capital projects.
In a report to Wednesday's council meeting, Gibling said the outcome of the audit could have an impact on the council's 2022/2023 annual report. Neither council nor its auditors, Ernst & Young, could finalise the annual report until the forensic audit was provided to the council, he said.
"Senior management and Ernst & Young agree that delaying the adoption of the annual report is the only acceptable outcome. The Office of the Auditor-General has been advised of this decision and agree that it is appropriate.
"The earliest that the council will be able to adopt their completed annual report is early in 2024."
The council had been planning to adopt the annual report within the statutory timeframe, by the end of this month.
Gibling said the delay was disappointing for council staff who had worked diligently to complete the annual report on time but would have minimal impact on council's activities and operations.
- This article was originally published by The Westport News