10.1Parking Coupons
The Ministry of Public Infrastructure and Land Transport (MPILT) is responsible for the sale of parking coupons while enforcement is carried out by the National Transport Authority (NTA) and the Mauritius Police Force (MPF). Parking Coupons are printed by the Government Printing Department (GPD) following requisitions raised by the MPILT. Revenue collected from sale of parking coupons during the period 1 January 2015 to 30 June 2016 amounted to some Rs 31.7 million.
10.1.1Sale of Invalid Parking Coupons
My Officers carried out a physical survey of parking coupons on 24 November 2016. According to the Stock Book kept at the Cash Office of the MPILT, there were 40,750 unsold coupons of Rs 20 denomination bearing serial numbers 16/394251 to 16/435000.
The serial numbers of the most recent batch of coupons received from the GPD ranged from 16/420000 to 16/435000. Those of the latest sale of coupons by the MPILT ranged from 16/393001 to 16/394250.
On the date of the survey, my Officers purchased a batch of 10 parking coupons of
Rs 20 denomination from a shop located at Port Louis bearing serial numbers 16/698731 to 16/698739 and 16/698720. However, these coupons were not yet printed by the GPD and hence not sold by the MPILT. Thus, these coupons were not valid at time of purchase. Moreover, the shop was not included in the list of authorised selling outlets of the MPILT.
Impact
Fake parking coupons are being sold on the local market. This represents a potential loss of revenue to Government.
10.1.2Indenting of Parking Coupons
Requisitions for printing of parking coupons were sent by the MPILT to the GPD. According to Financial Regulations, the Accountant General is generally responsible for the registration and control of all receipt and licence books used in accounting for the receipt of public money, and he alone is authorised to indent on the Government Printer for the supplies of new books.
The MPILT did not comply with Financial Regulations as it was dealing directly with the GPD instead of through the Accountant General.
Recommendations
To comply with Financial Regulations, requisitions for printing of parking coupons should be indented by the Accountant General instead of the MPILT.
The Road Traffic Act should be amended so that action could be taken against those selling fake parking coupons.
Security features in parking coupons should be reviewed. For instance, the seal of the Accountant General could be affixed on the parking coupons as a measure of control.
The NTA and MPF are responsible for the enforcement of Road Traffic (Paid Parking) Regulations. The MPILT should improve coordination with both NTA and MPF. For instance, there was no evidence that the MPILT informed NTA and MPF of the serial numbers of parking coupons on sale which would enable them to detect fake coupons.
Ministry’s Reply
Actions have been taken as follows:
The matter has been reported to the Police for investigation and action taking.
The NTA will be requested to strengthen measures to effect checks on serial numbers of parking coupons alongside the check of illegal parking.
Meetings will be held by the Police Department on proposed amendments to the Road Traffic Act and also on security measures to be adopted.
Consideration will be given to make public the authorised sales points of parking coupons.
The recommendation to indent the parking coupons on Accounts F.259 to the Accountant General will be implemented as soon as possible. Meetings with the Accountant General’s Department, National Transport Authority and this Ministry will be held shortly for the implementation of the recommendation of the Director of Audit.
National Transport Authority
10.2Changes in Engine Capacity of Vehicles
During the period January to March 2016, various cases were reported at the National Transport Authority (NTA) whereby the cylinder capacity of engine of vehicles did not correspond with that recorded in the Registration Book of vehicles and with the database kept at the NTA. Thus, owners of these vehicles did not pay the appropriate road tax.
During the period March to June 2016, on request of the NTA, a total of 7,159 vehicle owners voluntarily disclosed modifications made to their vehicles. That included 5,163 cases which related to modifications in engine. It implied that in most of those cases, the engine changes had remained unnoticed or had not been queried during issue of new fitness certificates.
Impact
This has resulted in a significant shortfall in revenue collected by the NTA as payment of road tax is based on the engine capacity of vehicles. The shortfall in revenue could not be quantified as these cases were under investigation by the Mauritius Police Force.
10.2.1Control Mechanism at the NTA
Control mechanism should be reviewed and improved as follows:
Reporting Change in Engine Capacity
According to instructions stated in the Registration Book of vehicles, owners should seek the authorisation of the Commissioner before making any change in the vehicle details listed in the Book. In general, owners of vehicles did not comply with this requirement and prior authorisation was barely sought.
The NTA should devise ways and means to ensure that this instruction is complied with by vehicle owners.
Examination of Vehicles
Prior to November 2016, any change in the engine capacity of vehicle was recorded in the form ‘Amendments to particulars of vehicle in Registration Book/Carrier’s Licence’, which was signed by a Vehicle Examiner and approved by a Senior Vehicle Examiner. However, physical examination of vehicles was carried out by the Vehicle Examiner only.
The amendment forms were not sequentially numbered. Thus, it was difficult to ensure whether all those forms were processed and changes made in the database of vehicles.
Amendment to Database of Vehicles
Database of vehicles is maintained electronically. There is no evidence that amendments made to the database in respect of changes in engine capacity were reviewed.
Daily reports detailing changes made should be extracted from the system. These reports should then be verified by Officers other than those involved in input.
Recommendation
Though examination of vehicles has been privatised, the NTA as a regulatory body should monitor and strengthen control measures.
The database of vehicles should reflect information which is accurate and complete to enable transactions to be processed in compliance with Road Traffic Act.
NTA’s Reply
Changes in Engine Capacity of Vehicles
Regarding the apparent shortfall in revenue collected it is to be noted that 5,163 cases had been referred to Police for enquiry and the remaining 1,996 cases are actually being processed through consultation with Police Officers.
Control Mechanism at the NTA
Since the privatisation of the Fitness Centres on 3 November 2016, amendment forms are serially numbered. The Road Traffic Regulations under sections 123 and 190 of the Act provide for the areas which the private operators have to abide by. Three Vehicle Examiners of the NTA have been posted at each of the three Vehicle Examination Centres in order to ensure adherence of the operators to legislations both in operation and in documentation, records and returns.
10.3Supply of Student Identity Cards
Following introduction of Free Travel Scheme, a company was awarded the contract for supply of about 90,000 student identity cards annually at the rate of Rs 20 per card for the period 1 September 2005 to 31 August 2008.
In February 2009, the Ministry of Finance and Economic Development requested the National Transport Authority (NTA) to seek advice from the Public Procurement Office (PPO) regarding renewal of the agreement for a further period of three years at the rate of Rs 30 per card. The PPO advised that ‘a service contract for an initial period of three years renewable for an additional period of three years is too long a period for a contract with the same service provider. The NTA was requested to consider an extension of the contract for either six or twelve months on the same terms and conditions thus allowing sufficient time for a fresh bidding exercise.
10.3.1Further Extension of Contract
In spite of the advice from PPO, a new agreement was signed in May 2009 with the same supplier for the supply of about 90,000 student identity cards annually for the period 1 September 2008 to 31 August 2011 at the rate of Rs 25 per card. The agreement was further extended for the supply of about 120,000 cards annually for periods 1 September 2011 to
31 August 2014 and 1 September 2014 to 31 August 2017 respectively.
According to Treasury Abstract, some Rs 16.1 million were paid to the supplier during the period 1 January 2013 to 30 June 2016 including some Rs 7.1 million for the 18-month period ending 30 June 2016.
Impact
In the absence of competitive bids, it could not be ascertained whether a fair and reasonable price had been obtained over the years 2009 to 2017.
10.3.2Data Protection
In compliance with the Agreement, the NTA provided the supplier with a database containing personal data of students. According to the Data Protection Act, the NTA and the supplier fall under the definition of Data Controller and Data Processor. Section 34(1) of the Data Protection Act requires that every Data Controller and Data Processor should apply for registration in writing to the Commissioner of the Data Protection Office (DPO).There was no evidence that the NTA and the supplier were registered with the DPO.
Recommendations
The NTA should invite fresh tenders to obtain more competitive bids.
Regarding the security of data, measures must be taken to ensure compliance with the Data Protection Act.
NTA’s Reply
Fresh tenders will be invited through open tendering procedures prior to the expiry of the current agreement so that the issuing of student identity cards is not disturbed. The NTA shall immediately start working on the tender documents to be floated.
The advice of the Commissioner of the DPO has been sought accordingly and action has been initiated by the NTA to apply for registration as a Data Controller and the supplier concerned as Data Processor.
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Ministry of Public Infrastructure and Land Transport