Latest update April 23rd, 2024 12:59 AM
Jun 24, 2009 News
…in excess of $100M unaccounted for
An account belonging to the Ministry of Health showing a negative balance of some $102M for several years now, has not been reconciled given that the records pertaining to that account have gone missing.
This was confirmed on Monday last when Permanent Secretary of the Ministry, Hydar Ally, and a team of officials from the Ministry appeared before the Parliamentary Public Accounts Committee (PAC) to submit to scrutiny as it relates to the 2006 Auditor General’s report.
It was pointed out that there appeared to be what was an overdraft on the account that has been closed but given that there was no record the account could not be closed and the finance secretary within the Ministry of Finance is reluctant to sign off the account.
The committee has since ordered the ministry to dedicate staffers to confront the issue given that there were persons with institutional memory as was pointed out by the Ministry’s team.
It was pointed out given the unavailability of information on where the money went and for what reason then there could be an insinuation of impropriety.
Another issue that was raised on Monday and could not be immediately dealt with was just how much money was owed to the Ministry by the National Insurance Scheme.
The predicament stems from the fact that there were several million dollars in unpaid salaries but the deductions had already been made and payments sent to the NIS and to the Guyana Revenue Authority.
The PAC was told that in excess of $400,000 was recovered from GRA but none from the NIS.
The Ministry also came under fire for its procurement methods wherein, Ally explained that the Tender Board has written to it stating that Cabinet has no objections to waiving the need to us that process as catered for in the Procurement Act.
Commenting on the findings of the Auditor General’s 2006 report, leader of the Opposition Robert Corbin, had said that in any other country the government would have been forced to resign.
He said that the findings in the Auditor General’s Report are not surprising and amply illustrate that the culture of unaccountability emanates from the very top of the hierarchy in the current ruling administration.
Corbin, said that the government seems to be unmoved by these kinds of exposures to the populace.
He said that in any other country the government would have had to resign, given that this was not a one time occurrence; given that in each of the reports there are brazen acts of improprieties as it relates to the spending of taxpayers dollars, by those that have been entrusted to do so. According to Corbin, there was very little that could be done to curb this behaviour by the administration, other than that massive protesting exercise among others, given that they seem immune to being exposed to the populace for their wrongdoings.
Corbin noted however “ultimately the decision was up to the people of Guyana at the elections.”
The Auditor General of Guyana (ag), Deodat Sharma, recently presented the Speaker of the National Assembly, Ralph Ramkarran, with a copy of the completed 2007 report.
It was however pointed out that problems highlighted in previous Auditor General reports, have reoccurred in the latest report that was laid in the National Assembly.
According to Sharma, the Contingency Fund is still being abused; there are still overpayments on contracts, missing vouchers. “Old bank accounts not being closed as yet, especially those big overdrafts that continues.”
He said that the proceeds from the lotto company are still not paid into contingency fund; and those funds are still being abused.
The report was delayed this year because of the staff constraints at the Audit Office. However, Mr Sharma promised to present the 2008 report by December.
Sharma also stated that the first value for money audit would be handed over come next month.
Following the handing over of the report, the Speaker of the National Assembly will lay the report in the National Assembly and will become public information, after which the Public Accounts Committee meets and scrutinise the report.
The committee is currently scrutinising the 2006 report, which was replete with questionably scenarios at the various Ministries.
The 2006 report was used by the opposition to accuse the government of massive corruption, adding that the report was evidence of such corruption.
The Auditor General’s Report for 2006, highlighted breaches of the Procurement Act, as well as the Fiscal Management and Accountability Act.
The Opposition parties have long been calling for the Audit Office to be outfitted with its full staff complement. They have also been calling for the appointment of Deodat Sharma to the substantive post of Auditor General, rather than to have him remain acting.
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