Finance Minister Dr Cassiel Ato Forson has announced plans by the government to establish an Auditors' Court to strengthen accountability and hold internal auditors responsible for lapses in their duties amid persistent financial irregularities identified by the Auditor General’s annual reports in state institutions.

The Minister disclosed this during the inauguration of a nine-member Governing Board of the Internal Audit Agency (IAA) on Sunday, June 14, as part of other reforms aimed at tackling persistent mismanagement of resources in public agencies and institutions.

He believes the regular reports in the Auditor General’s report highlight the gaps in the country’s accountability systems, hence the need for reforms.

“We must turn the Internal Audit Agency around and restore it to the purpose for which it was established,” Dr Forson stated, adding that internal auditors who fail to discharge their responsibilities effectively should face sanctions, including the possible revocation of their licences in cases of professional misconduct.

On his part, stronger internal audit systems will help restore public confidence in the government's ability to protect public funds.

The newly inaugurated Board has been tasked with developing strategies to reposition the Agency and strengthen compliance, risk management and accountability across the public sector.

About Auditing in GhanaThe Auditor General audits state institutions every financial year, and it is legally mandated by the 1992 Constitution to submit reports to Parliament within six months after the end of that year.

According to Article 187 of the Constitution, the Auditor‑General is mandated to maintain audit and report on public accounts of Ghana and all public institutions.

How the auditing works In Ghana, the financial year closes on December 31. After that, Principal Spending Officers of public institutions are required to prepare and submit their financial statements to the Auditor‑General by February of the following year. After their submissions, the Auditor‑General then examines and audits these accounts, with a constitutional mandate to complete the process and present reports to Parliament no later than June 30.

The scope of these audits is broad. It covers ministries, departments, agencies, metropolitan, municipal and district assemblies, universities, public corporations, and any body established by Parliament. In effect, every state institution that draws on public funds is subject to annual scrutiny.

In the last report submitted by the Auditor General, several institutions, including the Department of Urban Roads,Ministry of Transport,Ministry of Foreign Affairs and Regional Integration, Department of Feeder Roads, Ghana Highways Authority, among others, were implicated for overstating claims by huge margins.

The Department of Urban Roads was cited for overstated claims amounting to GH¢57.01 million, while the Ministry of Transport followed with inflated claims of GH¢39.92 million.

The Department of Feeder Roads also featured prominently, with claims overstated by GH¢22.46 million. Similarly, the Ministry of Food and Agriculture was implicated for irregular claims totalling GH¢20.08 million.

The Ghana Highways Authority was found to have overstated claims worth GH¢17.50 million, and the Ministry of Foreign Affairs and Regional Integration was cited for irregularities amounting to GH¢2.68 million.