According to the Auditor General’s report for financial year 2018/2019, the summarized student receipts on Academic Information Management System (AIMS) indicated that total receipts of Shillings 7.78 billion but management disclosed receipts from educational services of Shillings 12.08 in the statement of financial performance reflecting unexplained variance in revenues collected of 4.29 billion.
Officials from Gulu University on Thursday failed to account for Shillings 4.2 billion collected revenue in the financial year 2018/2019.
Led by the University Acting Secretary, Asaf Adebua, the officials were tasked by Parliament’s Public Accounts Committee (PAC) to explain the missing 4.2 billion after Adebua stated a collection less than the 12.08 billion was disclosed in the financial statements.
According to the Auditor General’s report for financial year 2018/2019, the summarized student receipts on Academic Information Management System (AIMS) indicated that total receipts of Shillings 7.78 billion but management disclosed receipts from educational services of Shillings 12.08 in the statement of financial performance reflecting unexplained variance in revenues collected of 4.29 billion.
“Revenue balances are not fairly stated. The Accounting Officer stated that the University collected Shillings 8.7 billion as opposed to Shillings 12.08 disclosed in the financial statements indicating that this was a system error that would be adjusted. However, there were no adjustments made to the Accounts by management,” Auditor General John Muwanga reported.
Tasked by PAC Vice Chairperson Okin Ojara to explain the variance in revenue collected, Adebua insisted that they had collected Non-Tax Revenue of 8.7 billion and that the reported 12.08 billion in the accounts is a system error.
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His response angered Mbarara Municipality MP Michael Tusiime who questioned why the University was reporting a collection less than what is disclosed in the financial statement.
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Bunyole West MP James Waluswaka said that the explanation was strange also questioning whether a financial system could create a figure without any basis. He questioned whether the university officials wrote to the Ministry of Finance officially in regard to the error in the statement.
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However, Adebua said that the University never wrote to the Ministry of Finance to complain but only sent technical officials to report at the Ministry. His response disappointed PAC Vice Chairperson Ojara who said that physical explanations without documentary evidence could not hold.
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In the absence of an explanation on the variation of figures, Ojara noted that his committee could not proceed with the interaction until Gulu University officials offered answers that could solve the mismatch in the books of accounts.
Adebua pleaded for more time to extract more evidence on the matter and submit to the committee and Ojara gave him up to 15th April 2020 to reappear before the committee with a proper explanation.
Story by Olive Nakatudde
