… PS McKenzie tells Public Accounts Committee

FOLLOWING a forensic audit at the Natural Resources Ministry which uncovered a forged cheque that was successfully cashed in 2018 at a commercial bank, the Ministry has since implemented a tighter system, according to Permanent Secretary, Joslyn McKenzie who appeared on Monday before the Parliament’s Public Accounts Committee.

Responding to questions posed by the Committee’s then-Chairman, Ganesh Mahipaul, PS McKenzie said the incident occurred during the ministry’s move from its previous Brickdam location to its current Kingston headquarters.

McKenzie admitted that the clerk who had responsibility for the cheque book did not properly secure it which later resulted in a member of staff acquiring the cheque book and forging the signature of the required signatories.

The cheque, which was valued at $690,000, was cashed at a commercial bank, McKenzie further added.
He said the accounting authorities were contacted and an investigation conducted.
The Permanent Secretary told the Committee that when the bank was notified of the matter, bank representatives recognised the cheques were forged and were shocked that the cheques were accepted.

All of the money had since been recovered, McKenzie noted, adding that the staff involved was dismissed.
A new system, he continued, was implemented with the support of the Auditor General’s Office.

In that new system, a new safe had been installed at the ministry which carries a specialised access control requiring two keys which are shared between the accounting officer and a representative of the Finance Ministry.

He belaboured that part of the reason why the old system was compromised was due to the movement from one location to the next which impaired the usual security system which was capitalised on by that former staff.

This is the 29th meeting of the Public Accounts Committee of the Twelfth Parliament.