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<TABLE cellSpacing=0 cellPadding=1 width="100%" border=0><TBODY><TR><TD><SPAN class=TopStory>Breaches in the Constitution and Acts of Parliament</SPAN>
<SPAN class=Subheadline></SPAN></TD></TR><TR><TD>Ken Chaplin
Tuesday, February 20, 2007
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<TABLE cellSpacing=0 cellPadding=5 width=80 align=left border=0><TBODY><TR><TD>
</TD></TR><TR><TD><SPAN class=Description>Ken Chaplin</SPAN></TD></TR></TBODY></TABLE><P class=StoryText align=justify>In his latest report auditor general Adrian Strachan has pointed to widespread irregularities and breaches in the operations of a number of government entities. Meanwhile, contractor general Greg Christie has continued his gallant effort to bring a level playing field in the award of government contracts and the procurement of government's goods and services.<P class=StoryText align=justify>Since he took office more than a year ago Christie has come under severe attacks by prominent members of the ruling People's National Party as he and his staff launched an intense campaign to bring probity in the award of contracts and the procurement of government's goods and services. In his latest thrust he has threatened to prosecute principals of more than 60 public entities for their failure to submit quarterly reports as required under the Contractor General's Act.<P class=StoryText align=justify>Christie is strongly supported by Strachan who said that many breaches of the government's prescribed rules for the procurement of goods and services were again noted in 2005-2006. In some instances there was no indication that the required recommendation of the National Contracts Commission (NCC) or Cabinet approval was obtained. But once more the most common infraction was the failure of many entities to invite the required competitive price quotations before awarding contracts of less than $4 million.<P class=StoryText align=justify>Strachan said he was therefore often unable to determine how those organisations satisfied themselves that the prices paid were fair and reasonable. Other frequent violations were that business was done with suppliers who were not on the NCC-approved list or who did not submit the Tax Compliance Certificate. "I again recommend that appropriate legal sanctions be instituted for breaches of the government's procurement requirements," Strachan concluded.<P class=StoryText align=justify>Many officials believe that a large number of entities are controlled by party sympathisers who bypass procurement and contract procedures in order to cover up a partisan approach that has grown worse over the past 15 years. Government, it seems, is in no hurry to make the punishment more severe.<P class=StoryText align=justify>The auditor general in his 2005/2006 report said that government entities are required, under relevant Acts of Parliament, to submit for audit annual financial statements within four months after the end of the financial year, March 31. However, many of them were in varying degrees of arrears in meeting this requirement. In the case of ministries and departments which should submit Appropriation Accounts, up to December 6, 2006, he had not received 57 accounts for 2005/2006 and 2l for 2004/2005.<P class=StoryText align=justify>He said the audits that were done identified a number of instances in which payments amounting to $50.4 million were made in breach of the stipulated rules or guidelines or without the requisite approval. Overpayments totalling $20.1 million were also observed or reported to the auditor general, based on the findings of internal auditors. The implicated agencies were told to bring themselves in compliance with the government regulations, to cease unauthorised payments and effect recovery of overpayments.
The audits of several entities disclosed instances in which vouchers and supporting invoices we
<SPAN class=Subheadline></SPAN></TD></TR><TR><TD>Ken Chaplin
Tuesday, February 20, 2007
</TD></TR></TBODY></TABLE>
<TABLE cellSpacing=0 cellPadding=5 width=80 align=left border=0><TBODY><TR><TD>
</TD></TR><TR><TD><SPAN class=Description>Ken Chaplin</SPAN></TD></TR></TBODY></TABLE><P class=StoryText align=justify>In his latest report auditor general Adrian Strachan has pointed to widespread irregularities and breaches in the operations of a number of government entities. Meanwhile, contractor general Greg Christie has continued his gallant effort to bring a level playing field in the award of government contracts and the procurement of government's goods and services.<P class=StoryText align=justify>Since he took office more than a year ago Christie has come under severe attacks by prominent members of the ruling People's National Party as he and his staff launched an intense campaign to bring probity in the award of contracts and the procurement of government's goods and services. In his latest thrust he has threatened to prosecute principals of more than 60 public entities for their failure to submit quarterly reports as required under the Contractor General's Act.<P class=StoryText align=justify>Christie is strongly supported by Strachan who said that many breaches of the government's prescribed rules for the procurement of goods and services were again noted in 2005-2006. In some instances there was no indication that the required recommendation of the National Contracts Commission (NCC) or Cabinet approval was obtained. But once more the most common infraction was the failure of many entities to invite the required competitive price quotations before awarding contracts of less than $4 million.<P class=StoryText align=justify>Strachan said he was therefore often unable to determine how those organisations satisfied themselves that the prices paid were fair and reasonable. Other frequent violations were that business was done with suppliers who were not on the NCC-approved list or who did not submit the Tax Compliance Certificate. "I again recommend that appropriate legal sanctions be instituted for breaches of the government's procurement requirements," Strachan concluded.<P class=StoryText align=justify>Many officials believe that a large number of entities are controlled by party sympathisers who bypass procurement and contract procedures in order to cover up a partisan approach that has grown worse over the past 15 years. Government, it seems, is in no hurry to make the punishment more severe.<P class=StoryText align=justify>The auditor general in his 2005/2006 report said that government entities are required, under relevant Acts of Parliament, to submit for audit annual financial statements within four months after the end of the financial year, March 31. However, many of them were in varying degrees of arrears in meeting this requirement. In the case of ministries and departments which should submit Appropriation Accounts, up to December 6, 2006, he had not received 57 accounts for 2005/2006 and 2l for 2004/2005.<P class=StoryText align=justify>He said the audits that were done identified a number of instances in which payments amounting to $50.4 million were made in breach of the stipulated rules or guidelines or without the requisite approval. Overpayments totalling $20.1 million were also observed or reported to the auditor general, based on the findings of internal auditors. The implicated agencies were told to bring themselves in compliance with the government regulations, to cease unauthorised payments and effect recovery of overpayments. The audits of several entities disclosed instances in which vouchers and supporting invoices we
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