BY IMELDA AMBANDO
A report compiled by the Auditor General (AG), Junias Kandjeke has flagged poor financial performance of the Marine Resources Fund.
Some of the issues credited for the poor financial hygiene include failure to account for certain assets correctly, failure to provide supporting documents for expenditure and an inconsistent filing system. The fund is managed under the Ministry of Agriculture, Fisheries, Water and Land Reform. Kandjeke said the fund has failed to account for expenditure of about N$7 million. “Supporting documents for expenditures amounting to N$ 3 077 308 (2022) and N$ 4 501 155 (2023) and many more were not provided,” Kandjeke said.
According to the latest financial report done by the period to AG June 2025, Kandjeke flagged a plethora of financial mishandling and recklessness from MRF for the financial years ended 31 March 2022 and 2023.
Kandjeke refused to express his views on the fund’s accounts because of the lack of sufficient and appropriate audit evidence.
“Because of the significance of the matters described in the Basis for Disclaimer of Opinion paragraph, I have not been able to obtain sufficient and appropriate audit evidence to provide a basis for an audit opinion. Accordingly, I do not express an opinion on the financial statements.” Kandjeke stated.
He said the fund in most cases failed to provide supporting documentation like invoices, landing reports, and council meeting minutes for their expenditures.
“For example, approved journal entries and their related supporting documents for the opening balances of current liabilities amounting to N$ 35 343 374 in the 2022 financial year.
“Landing reports showing the total landed weights, excluding the conversion factors, for both periods under review amounting to N$ 115 524 343 (2022) and N$ 112 382 422 (2023),” he said.
According to Kandjeke the fund’s operations impact Namibia’s fisheries sector nationally, including fishing hubs such as Luderitz, Walvis Bay, and Henties Bay.
“ We also notice some irregularities dated back to transactions in 2021, when approval was temporarily granted for the Ministry to spend directly from the fund,” the AG said.
He added that, “In both financial years, the Fund did not present in its notes to the financial statements, the basis of preparation of the financial statements and a comprehensive summary of accounting policies used in the preparation of the financial statements.”
The AG said it also found multiple systemic weaknesses in financial reporting and governance.
“For example the ownership of the assets to the value of N$ 1 810 846 (2023) and N$ 7 548 518 (2022) could not be ascertained as the invoices provided are addressed to the Line Ministry and not to the Fund. The Fund had no strategic or annual plans, nor performance Management System in place during the audit periods,” he said.
The Fund did not have Strategic and Annual plans of its own encompassing the financial periods ending 31 March 2022 and 2023. Furthermore, no Performance Management System was in place.” Kandjeke reported, recommending urgent reforms, Kandjeke said.
The Auditor General’s report also warned that if remedies are not taken accountability within the Fund remains severely compromised.
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