Errors found in the support for fisheries
Press Release – March 31, 2009
From April to November 2009, auditors from the Supreme Audit Office (SAO) scrutinized the support for fisheries, which was co-financed from operational programmes (OP) Rural Development and Multifunctional Agriculture and Fisheries within the programming period 2004–2008. Auditors found errors mainly in the activities of the managing authority, which was Ministry of Agriculture.
Among the audited bodies were 11 selected recipients of the allotments, Ministry of Agriculture, and State Agricultural Intervention Fund with its regional offices in Prague, České Budějovice, and in Brno.
“Auditors concluded that managing and controlling systems lacked necessary means to ensure effectiveness, efficiency, and expediency of the provided support. Errors included insufficient monitoring of the programmes as well as errors in projects’ approval processes and control systems. The available data on achievements bear little evidence of success in meeting objectives of the support for fisheries, which was co-financed from the operational programme Rural Development and Multifunctional Agriculture within the period 2004–2006“, said president of the SAO František Dohnal.
When scrutinizing the selected samples, auditors found errors, which amounted to CZK 7 million (some 25 % of the audited amounts). The found errors also included reimbursements, which violated requirements of the EU legislation.
“Auditors also concluded that Ministry of Agriculture violated the Act on Public Orders while implementing a project, which was aimed at encouraging the consummation of farmed fish. The project’s value was estimated to almost CZK 150 million. Errors amounted to CZK 17.6 million, which is around 10 % of the audited financial resources“, said Dohnal.
The Ministry failed to perform preliminary administrative controls according to the requirements laid down by the Act on Financial Control. When issuing decrees on the provided financial support, the Ministry omitted several terms as required within the Act on Budgetary Principles. When administering the operational programmes, the Ministry also failed to provide the required information to other authorities involved into the support’s management and to perform its duty to sufficiently inform the public.
The auditing operation was included into 2009 Audit Plan of the SAO under No. 09/12. Jan Vedral, Member of the SAO Board, controlled the operation and prepared the audit conclusion as well.
Comparison of total allotments, audited amount of finances, and found insufficiencies (in CZK million)
The amounts of allotments were transferred to CZK according to the Czech National Bank’s exchange rate as for February 3, 2010 (1 € = CZK 26.025).
Bc. Radka Burketová
Press Speaker
Supreme Audit Office