State Audit Institution Published its First Post-Audit Reports

04 July 2019.
State Audit Institution Published its First Post-Audit Reports

State Audit Institution published today on its website post-audit reports for the first time since the Institution commenced its work. We have published around thirty post-audit reports, out of 170 currently available, while total of 204 post-audit reports will be published until the end of the year, said Dr. Duško Pejović, President and Auditor-General of the State Audit Institution, and added that post-audit reports related to audits conducted during 2018.

Through post-audit reports, we will detect which auditees removed irregularities or inappropriateness, and which ones did not do so. All stakeholders will be able to monitor how an auditee behaves, whether it is responsible in terms of removing irregularities and how the auditor assesses that matter, Dr. Pejović said.

In 2018, six auditees violated good business practice, and for that reason SAI filed request for taking measures from our competences. The mentioned auditees are the City of Valjevo, Tourist Organization of the Municipality of Lučani, Cultural and Sport Center Lučani, Municipality of Preševo, Cultural House of the Municipality of Preševeo, and Pre-school Institution of the Municipality of Preševo, Dr. Pejović highlighted.

He added that severe violation of good business practice was recorded at three auditees - Pharmacies of Bor and Šabac, and the Municipality of Lučani.

In these cases, SAI filed a request for removing responsible person from office, Dr. Pejović said.

Regarding recommendations that SAI issued to auditees during audits conducted in 2018, Auditor-General highlighted that SAI issued 2130 recommendations, out of which 1147 "first-priority" recommendations that must be implemented within 90 days, 844 "second-priority" recommendations that must be implemented within one year and 139 "third-priority"recommendations, implementation of which requires more than one year.

Last year, 89.4% of recommendations were implemented, 10% are in progress while 0.6% were not implemented. Within average of 89.4%, state authorities implemented 96% of recommendations, local self-governments 89%, public enterprises 86%, while the lowest average of implemented recommendations was recorded by health care institutions - 83%, Dr.Pejović emphasized.

Post-audit reports contain irregularities/inappropriateness which have been disclosed in audit reports, and in respect of those irregularities/inappropriateness auditee is required to undertake corrective measures, description of the measures with stated evidence, assessment of each described corrective measure, as well as opinion regarding whether corrective measures, stated in response to the audit report, have been satisfactory. If an auditee did not remove certain irregularities or inappropriateness in a satisfactory fashion, post-audit report also contains two other items - valuation of irregularities which were removed unsatisfactorily, and conclusion of violation, and/or severe violation of good business practice.

Post-audit reports may be found in the sub-menu titled "Post-audit reports", within the menu "Audits" or via following link:

http://dri.rs/audit/post-audit-reports.443.html

Publication of post-audit reports represents yet another step towards strengthening of transparency in spending of public funds.