THE Auditor General's report has revealed that the Ministry of Mines, Energy and Water Development failed to collect outstanding payments for area charges from the mining licence holders amounting to more than KR22 million.
The latest Auditor General's report on the financial year ended December 31, 2011, shows that a total of K22, 464,885. 255 was uncollected from the mining licence holders for area charges.
A review of records carried out in March 2012 indicated that outstanding payments for area charges had increased to K22,464,885.255 from K6,293,008.954.
According to the Auditor General's report for the financial year ended December 31, 2008, mention was made by the ministry to collect area charges arrears amounting to KR6,293,008.954 from the mining licence holders.
The report showed that after the review of the records were carried out in March 2012, the situation had not improved as outstanding payments had now increased to more than KR22 million.
Further, the report revealed that from a total of KR347,600 in respect of 1,747 scrap metal inspection certificates, only KR45,000 was banked, while the balance of KR302,600 could not be accounted for contrary to the financial regulation number 129.
In the estimate of revenue and expenditure for the year ended December 31, 2010 and 2011, a total provision of KR3,890,032.103 was made against which amount totaling KR10,985,681.794 was collected resulting in an over collection of KR7,095,649.691.