Finance Minister James Marape has issued a warning to Provincial and District Administration staff to put a halt to over claim of allowances.
He said this practise eats into PSIP and DSIP funds which can be used for service delivery.
Marape said this when responding to Menyamya MP, Thomas Pelika.
Pelika raised concerns that Finance and Treasury officials in his District raised substantial claims that were eating into district funds.
He asked Marape to intervene and remove these officials.
The Finance Minister said he has heard of this practise and used the opportunity to sound a warning.
“Public servants must not be engaged in business,” he stated.
“No District Treasury staff, no Provincial Treasury staff or for that matter, those involved in supervision of disbursement of PSIP, DSIP and all program funds that are going to districts or sub national level to be used to pay for contracts, or paying for services that are claimed by public servants illegally for a start.
“And even if it’s a legal scheme where contracts are engaged, it is improper, in my view that public servants who are already paid by the state, engage in business to submit for claims to access public funds,” said Marape.
“I will issue a financial instruction on this.”
The Finance Minister asked Pelika to submit a report so they can look in the matter.