Fraudulent transactions left court bank account overdrawn…2013 AG Report

Jun 30, 2015 News

The Auditor General (AG) Report 2013 has outlined that the Georgetown Magistrates’ Courts Maintenance Bank Account was overdrawn by $4.202M due to apparent fraudulent transactions.
It stated that at the time of the report the Audit Office and the Guyana Police Force were in the process of concluding an investigation into alleged irregularities.
In relation to similar matters, the report pointed out that bank accounts were not always reconciled for the period under review.
The report stated that failure to carry out timely reconciliation of the bank accounts could lead to irregularities not being promptly detected.
The Head of Budget Agency had acknowledged the finding and disclosed that the Maintenance and Suitors Accounts for the West Demerara Magisterial District have been reconciled as of July 2013.
The Head of Department’s budget agency, noted the exercise had been ongoing in order to have a resolution.
The Audit Office recommended that the Agency put systems in place to ensure that the reconciliation of the bank accounts are brought up to date and that reconciliation of the accounts are done in a timelier manner, thereafter.
In 2013, the document also showed that the court’s security services totaled $39.304M, inclusive of $31 M paid to two security firms without NPTBA approvals and contractual agreements that were not presented for examination.
The head of the Court Budgeting Department had explained that one contract came to an end in 2o12 and despite several requests made to the National Procurement and Tender Board Administration (NPTBA) for extensions, there was no reply.
But “since the security of the Court’s building is necessary, the said firm continued to provide the necessary service with payments at the same rates.”
The audit office had advised that the department take the action to ensure that contractual awards are at all times in keeping with the prescriptions of the Procurement Act.