Transfer of audit fees to the Consolidated Fund : Who is right -Auditor General or Solicitor General ?
By Lawyer Basita Michael
I have seen on social media a memo purportedly written by the Solicitor-General to the Financial Secretary dated 22nd February 2021 on the topic “Legal Opinion on the Transfer of Audit Fees by Audit Service Sierra Leone.’
In the purported letter, the Solicitor-General states that it is his considered opinion that audit fees collected by Audit Service Sierra Leone for and on behalf of government ought to be paid into the consolidated fund.’ He based his opinion on section 3(1) of the Financial Management and Control Act 2017. It states that section 3(1) and 3(2) of the Financial Management and Control Act 2017 by implication repeal section 27(2) of the Audit Service Act 2014.
For ease of reference, let me reproduce the entire section 3 of the Financial Management and Control Act 2017. It states as follows:
‘3. (1) _All monies held in the accounts of agencies of Government shall, on the coming into operation of this Act, be transferred into the Consolidated Fund._
(2) _Where in any enactment it is provided that revenues or other monies received by an agency of Government are to be retained by that agency for any purpose including defraying the expenses of that agency, such revenues or other monies shall be paid into the Consolidated Fund notwithstanding any provision to the contrary contained in the enactment._
(3) _Notwithstanding the generality of subsection (2), an agency of Government, specified in the Schedule, shall, on the coming into operation of this Act, pay into the Consolidated Fund, revenues or other monies received by that agency for and on behalf of the Government.’_
The schedule referred to in subsection(3) lists the following agencies of government:
1. The Petroleum Regulatory Agency
2. The Petroleum Directorate
3. The Road Maintenance Fund Administration
4. The Environment Protection Agency
5. The National Telecommunications Commission
6. The Sierra Leone Maritime Administration
The purported opinion of the Solicitor-General fails to consider subsection (3) of section 3 of Financial Management and Control Act 2017 or the schedule it refers to. The schedule does not mention Audit Service Sierra Leone.
*Questions on my mind*
What was the purpose of Financial Management and Control Act 2017?
Does the Financial Management and Control Act 2017 apply to agencies of governments not listed in the 2nd schedule?
Since the Financial Management and Control Act was enacted in 2017, why is it only now that Audit Service Sierra Leone is being asked to pay monies collected into the consolidated revenue fund?
Does monies collected by the Audit Service Sierra Leone for the payment of external auditors that assist in the carrying out of audits fall with the purview of the Financial Management and Control Act 2017?
