A-G exposes serious financial mismanagement at South African Post Office

AUDITOR-General Tsakani Maluleke has made damning findings against the South African Post Office (SAPO) when it obtained yet another disclaimer of audit opinion for the sixth year during the 2024/25 financial year.

- MAYIBONGWE MAQHINA

This happened as the group recorded a net loss after tax of R117 million, and its revenue declined from R1.6 billion to R1.2 billion in its annual report. Maluleke was unable to express an opinion on the financial statements. “I was unable to obtain sufficient appropriate evidence to provide a basis for an audit opinion on these consolidated and separate financial statements,” she said.

She blamed the sad state of finances on the accounting authority for not exercising adequate oversight regarding compliance and related internal controls.

In her audit report tabled in Parliament this week, the AG found:

“The public entity was therefore entirely commercially insolvent because it was unable to pay its debts when they became due, even though its assets exceeded its liabilities.” According to Maluleke, SAPO did not account for post-employment benefit plans in accordance with the requirements.