The National Lotteries Authority (NLA) could be in dire financial stress if it continues some of its litigations in court.

The Auditor-General in its latest report on public boards, corporations and other statutory institution covering 2017 to 2019 recommended that a serious look is taken at the issue.

According to the audited report, the Authority has nine legal cases with an estimated value of ¢160,390,000 in various courts.

In the opinion of the Auditor-General, the outcome of these cases may weaken its financial position in the event that the Authority loses the cases.

The Auditor-General has recommended to the management to ensure that the Authority does not engage in a lot of litigations and also institute measures to reduce its financial exposures in these legal battles.

The Management of NLA is said not to have renewed the expired contracts for promotion activities with four organisations leading to loss of expected revenue of ¢600,000.

Also, he said due to the laxity of controls in the management of Post of Sales Terminal (POST) and debtors, there were slow movements in the balances over the past four years.

The management was advised to strictly comply with the provisions in the policy to prevent increase in its bad debts.

The National Development Planning Commission under the Finance Ministry is said to have spent ¢45,898.00 on staff who were admitted to various medical centres for consumption of poisonous food contracted by the administration for stakeholders meeting.

The Commission also spent over ¢850,000 as consultancy fees and there were no official receipts to acknowledge receipt of those payments by beneficiaries according to the report.