Letter from the Minister of Finance dated 13 October 2004 to the

Speaker of the National Assembly, in terms of section 65(2)(a) of the

Public Finance Management Act, 1999 (Act No 1 of 1999), explaining

the delay in the tabling of the Annual Report of the Public Investment

Commissioners for 2003-2004:

Dear Madam Speaker

In terms of section 65(1)(a) of the Public Finance Management Act,

1999 (Act No 1 of 1999), the Executive Authority responsible for a

public entity must table the relevant public entity’s annual report

within one month after the public entity has received its audit report.

The Public Investment Commissioners’ (PIC) annual report needs to

be tabled by 30 September 2004. In terms of section 65(2)(a), the

Executive Authority should inform the Parliament of the reasons for a

delay in the tabling of an annual report, should a public entity fails to

meet the deadline determined by section 65(1)(a). I unfortunately

have to inform Parliament that I will be unable to table the PIC’s

annual report for the financial year ended 31 March 2004 by

30 September 2004.

Although the audit fieldwork for the PIC was timeously completed,

differences in opinion regarding matters raised in the report of the

Auditor-General resulted in delays.

The process in finalising the annual report of the PIC was as follows:

• 25 August 2004: The special subcommittee, delegated by the

Board, approved the annual financial statements

• 30 August 2004: The PIC received a draft copy of the Auditor-

General’s report

• 6 September 2004: The Deputy Minister of Finance, the PIC and

the Auditor-General met to discuss the draft report

• 7 September 2004: The PIC, the Auditor-General and KPNG met to

discuss the draft report

• 14 September 2004: The PIC receives the final Auditor-General’s

report

Due to the delays as mentioned above, the publishers of the PIC’s

annual report was not able to submit it to the printers in time to meet

the deadline of 30 September 2004. The annual report is, however,

now in the process of being finalised and printed and it is expected that

it will be tabled in Parliament no later than 18 October 2004.

Kind regards

signed