Metropolitan, Municipal and District Assemblies (MMDAs) which fail to implement recommendations and answer queries of the Auditor-General would forfeit state funds.
Mr. Kweku Agyemang Manu, Acting Chairman of the Public Accounts Committee of Parliament, announced at the hearing of the Auditor-General's
Report of 2001-2004 for MMDAs in the Western and Central Regions at Takoradi on Wednesday.
The Central Regional Coordinating Council and 11 assemblies in the region would appear before the committee.
The assemblies include; Cape Coast Municipal Assembly, Komenda-Edina-Eguafo, Gomoa, Awutu/Efutu Senya, Ajumako Enyan Essiam and
Mfantesiman District Assemblies.
The rest are; Twifo Henang, Lower Denkyira, Assin Foso/Assin North, Agona Swedru and Abura Asebu District Assemblies.
Assemblies in the Western Region include; Sekond-Takoradi Metropolitan Assembly, Nzema East Municipal Assembly and the Ahanta West and the
Aowin-Suaman, Bibiani-Anhwiaso-Bekwai District Assemblies.
Others; are Mpohor Wassa East, Juabeso, Sefwi Wiawso, Wassa West, Wassa Amenfi West and Jomoro District Assemblies.
Mr. Manu, who is a Member of Parliament for Dormaa West, said budgets of MMDAs would not be approved if they are unable to account for funds
entrusted to them.
He said the Auditor-General report was finalized in 2009 and management letters have been sent MMDAs about queries raised in the report.
According to him, the report raised queries about misapplication and embezzlement of funds, over payment to contractors, non-compliance of
financial regulation and non-payment of collected taxes to the Internal Revenue Service (IRS), among others.
Mr. Manu said the present government is not been held accountable for irregularities of MMDAs in the previous government.
He said the aim of hearing is to ensure that MMDAs address issues raised in the Auditor-General's report.
In an address read on his behalf by Madam Betty Busumtwi-Sam, Deputy Western Regional Minister, Mr. Paul Evans Aidoo, the Regional Minister, said people entrusted with the management of public funds in institutions
including MMDAs have not been diligent in its disbursement and management.
He said: "It is ridiculous, for instance, for District Assemblies to disburse huge amounts of money to people as poverty alleviation funds and could not even produce a list of the beneficiaries and the amounts allocated to them on request".
Mr. Aidoo said over 58 million Ghana Cedis was lost to government due to irregularities in its management mainly through violation of financial regulations and other unapproved spending.
He said most of these funds were disbursed on defined projects and programmes but were not properly accounted for in terms of documentation.
Mr.Aidoo said the hearing should serve as a wake up call to public officials to properly manage public funds and asked internal auditors to
adhere to financial administration regulations.