One of the powers of the auditor-general is to issue a certificate of debt to accounting officers and heads of departments for failing to take action where there have been cases of malfeasance.
The auditor-general can also refer cases to the Hawks, the Special Investigating Unit and National Prosecuting Authority against corrupt officials.
Makwetu said it had become a useless exercise to issue audit reports every year when there was no action against corrupt officials.
“This amendment is saying there is something happening often in the financial statements to the extent to which there are indicators of possible abuse of public funds. What has been introduced is material irregularity,” said Makwetu.