Forensic Audit of Procurement Compliance within a Municipal Service

DABRICON was commissioned to conduct a forensic audit of a municipality’s financial management and compliance reporting over a five year period. The assignment focused on potential breaches of regulations in asset management and non-transparent procurement processes, particularly in supplier evaluation, selection, and approval procedures.

Our review involved a detailed examination of accounting records and supporting documentation. The audit identified significant reconciliation discrepancies in the accounting system, which materially impacted the reported profits and losses for the reviewed period. Additionally, our findings indicated a pattern of irregularities consistent with possible collusion between municipal employees and subcontractors. We presented the client with a detailed report outlining the findings and recommending remedial measures to strengthen internal controls and procurement integrity.