NSPA Audit Reveals Disbursement of USD 1.2 Million to Ineligible Individuals

The Auditor General’s Office has issued a directive to the National Social Protection Agency (NSPA) to reclaim USD1.2 million disbursed to individuals deemed ineligible for disability and single-parent allowances.

According to the NSPA’s 2022 audit report, an amount totalling USD1.2 million was allocated by the agency to individuals who did not meet the criteria for state aid. The audit findings reveal that these funds were allocated as single-parent allowances, disability allowances, and for therapeutic treatments to individuals who did not qualify.

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Of this sum, USD649,000 was disbursed to recipients ineligible for single-parent allowances, with a further USD493,000 unlawfully allocated for therapeutic treatments. Additionally, USD15,000 was erroneously dispensed as financial assistance to individuals with disabilities. The Audit Office has mandated the NSPA to initiate the process of recovering these misappropriated funds.

Moreover, the report highlights that as of December 2022, USD33,000 – sampled by the Audit Office – was overpaid as financial assistance between 2015 and 2018. However, as of August 16 last year, the agency had not successfully recuperated any of these overpaid funds.

The audit report outlines that the NSPA extended assistance or provided additional funds to ineligible beneficiaries due to a lack of efficient mechanisms for updating beneficiary information, particularly in cases of changed circumstances or decrease. It further notes the establishment of a recovery unit within the agency tasked with reclaiming misallocated funds. However, with only one employee, the unit’s efficacy is deemed insufficient.

Consequently, the Audit Office recommends fortifying the NSPA’s systems to ensure the proper allocation of assistance, encompassing single-parent allowances, disability benefits, and therapeutic support.