Auditors to be deployed to curb graft in co-operatives

The Minister for Agriculture, Daniel Chongolo, has directed co-operative societies across the country to strengthen integrity and transparency in the management of their income and expenditure, warning that legal action will be taken against leaders found to have misappropriated co-operative assets. Chongolo stressed that sound financial management is critical to rebuilding and sustaining members’ trust, noting that co-operatives must decisively break away from past practices that undermined the credibility of the sector, reports the Tanzania Daily News. The Minister also emphasised the importance of ethical leadership, urging co-operative leaders to adhere to established values and codes of conduct to strengthen good governance and enhance the public image of the co-operative movement. ‘The sixth phase government will not tolerate embezzlement or misuse of co-operative assets. Legal action will be taken against any individual found guilty of misappropriating co-operative property, in accordance with the laws of the country,’ said Chongolo. He added that the government will introduce effective measures to enable the Co-operative Audit and Supervision Corporation (Coasco) to conduct audits covering 100% of all co-operative societies, ensuring accurate and reliable financial records. ‘Audit reports will be submitted directly to my office, and appropriate action will be taken wherever shortcomings are identified,’ he said. Chongolo asserted that Coasco audits only about half of all co-operatives. To address this gap, he said the Ministry of Agriculture will temporarily deploy its auditors and financial experts to Coasco during audit periods to strengthen oversight capacity. ‘Co-operatives are owned by the people. They are a bridge to development and a key engine of the national economy,’ he said.