BUSINESS

Court of Audits report finds total losses exceeding RON 1.1 bln

The document mentions, among many cases of bad financial management, the fact that the Ministry of Foreign Affairs paid in 2011 undeserved bonuses to the personnel worth RON 1.5 M.

In the audit report adopted in December 2012, the Court of Audits informs that it discovered, following the verifications it made, cases of bad financial management that caused a cumulated loss of RON 1,172,990 thousand, most of them (57.89 pc) being irregularities in committing, liquidating, ordering and paying budget expenses, Mediafax reports. The report mentions that a significant proportion (17.76 pc) of these cases consists in irregularities referring to the management of public acquisition contracts, estimated at RON 208,381 thousand.The Ministry of Foreign Affairs paid in 2011 undeserved personnel bonuses up to a total RON 1.549 M, plus the pertinent social contributions, indicates the public report of the Court of Audits for 2011. According to the same document, authorities did not observe the provisions of OMFP 2861/2009 on inventorying the patrimony. The Court of Audits also discovered the illegal transfer of the right to use a BMW automobile owned by the MAE, purchased from public funds, to a private entity – the Bucharest Diplomatic Club, and the rental of automobiles for the activities of the MAE, which did not observe the principle of the good financial management. A verification made by the Court of Audits at the Romanian Diplomatic Institute – controlled by the MAE – found that some goods received in custody have not been inscribed into accounts outside the balance sheet: a work of art belonging to the Artexpo company and 14 paintings from the Ministry of Foreign Affairs, some of them dating from the 19th Century.

Unjustified personnel expenses worth RON 165 M at ‘Apele Romane’

The National Administration ‘Apele Romane’ (ANAR) made in 2011 salary payments without legal justification, worth RON 164.99 bln in total, and had irregularities regarding some investments, the Court of Audits wrote in its annual report. Moreover, ANAR made public acquisitions of automobiles and furniture that infringe the interdiction provided by OUG 34/2009 on the budget rectification for 2009, with an estimated value of RON 801,000. The report of the Court also mentions a series of irregularities at the Ministry of Environment, which controls ‘Apele Romane.’ In its answer, ANAR explains that it made all these expenses “by respecting the legal provisions and the acting collective labour contract.” The Administration also mentions that it does not benefit from incomes from the state budget, as they are defined by the annual Law on the budget for personnel and administrative expenses.

Court demands three mayors to be suspended from office, for serious irregularities

The Suceava County Pension House is mentioned among the pension houses where possible cases of unjustified payments have been identified, worth a total RON 2.54 M, for state social insurance rights. As a consequence, the Court demanded the suspension from office of the mayors of three localities from the Constanta, Prahova and Suceava counties, accused of serious irregularities, even crimes that generated important losses. The report for 2011 of the Court of Audits, approved in December 2012 mentions that the Court reported to law enforcement institutions eight cases of losses not being recovered, as authorities did not enforce the measures ordered by the Court of Audits and did not bring arguments to justify the failure to enforce the measures aimed at recovering the losses.

Free medicines worth RON 769,000 for people admitted to hospital or deceased

Several health insurance houses validated in 2011 free medical prescriptions worth RON 769,000 for patients admitted to hospital, but also for deceased persons, shows the Court of Audits’ report for 2011. The Court also informs that the National Agency of Payments and Social Inspection (ANPIS) paid in 2011 undeserved social benefits worth over RON 33 M, more than half of the sum representing irregularities in child care benefits. The same institution also found problems with the financing of the Petrolul Ploiesti football club by local authorities, more precisely match bonuses higher than those provided by contract, unjustified expenses or allowing the team to use the stadium of the municipality as it wanted.

 

 

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