Audit-SL Questions NASSIT’s Oversight of SLE 514 Million Investments

In a recent audit conducted by the Acting Auditor General’s team, the National Social Security and Insurance Trust (NASSIT) is facing scrutiny for its management of investments exceeding SLE 514 million in subsidiaries and debentures.

The audit revealed that the SLE 514 million investments in subsidiaries lacked effective management, control, and monitoring, leading to concerns about the Trust’s ability to ensure profitable and positive returns. The absence of supporting evidence, including up-to-date investment analysis, Key Performance Indicators (KPI), performance ratings, approved budgets, and details about the Board of Directors and committees, contributed to the poor oversight.

Specifically, in the examination of debenture income receivable, the audit team found that corporate debentures totaling SLE 122,054,190, representing 87% of total corporate debentures, were non-performing. Interests on these debentures had not been paid to the Trust, indicating a significant financial concern.