Parliament watchdog reports on weaknesses in IT, financial controls in public agencies

·Senior Editor

23 January 2018 at 4:08 am

A man holds a laptop computer as cyber code is projected on him in this illustration picture taken on May 13, 2017. REUTERS/Kacper Pempel/Illustration/Files

Weaknesses in IT and financial controls, and lack of oversight of development projects were the common themes across different public sector agencies in the Auditor-General’s Report for financial year 2016/17.

In its second report on the AG’s findings, the Public Accounts Committee outlined its observations on the lapses and the responses of various agencies, including the Ministry of Home Affairs (MHA), the Ministry of Manpower (MOM) and the Ministry of Culture, Community and Youth (MCCY).

For example, in the case of 1,396 sponsored electronic devices, the Singapore Sports Council (SSC) did not follow its own procedures, which require sponsored items to be tracked and accounted for, and recipients to acknowledge receipt of these items.

When the Committee asked MCCY why SSC’s procedures were not followed, the ministry replied that this was mainly due to the “fast-paced nature” of events such as carnivals and lucky draws in which the devices were given out, and these activities were outsourced to external vendors. SSC’s procedures for these items were not made a contractual requirement for vendors due to “staff oversight”.

In another case, the Ministry of Social and Family Development (MSF) made 717 incorrect reimbursements to employers in 2014 and 2015 for Government-Paid Paternity Leave (GPPL). Since promising to take corrective action on these payments, it has made supplementary payments for 557 cases (amounting to $92,461) and requested refunds for three cases (amounting to $124).

On the recurring weaknesses in IT controls, the Committee pointed out lapses such as user accounts not being properly removed when no longer required, and unnecessary access rights granted to staff. It noted that the implications of such weaknesses across agencies are more significant in today’s environment where IT security is a serious concern.

The Committee stressed that to stamp out recurring lapses and strength governance, every public sector agency has to play its part and be committed to implementing effective controls.

It noted that in many instances, the lapses occurred not because of a lack of processes, but due to agencies not complying with the controls put in place.

The Committee urged agencies “to consider redesigning their work processes and leveraging on technology to enhance the effectiveness of controls”.

Upon being asked by the Committee what could be done to address the recurring lapses from a system approach, the Ministry of Finance pointed to the need to strengthen internal audits and to address accountability at leadership level.

The Public Accounts Committee is chaired by East Coast MP Jessica Tan and comprises eight Members of Parliament. Non-Constituency MP Leon Perera is the sole opposition member on the Committee.