Press Release – June 10, 2008
From July 2007 to March 2008, auditors from the Supreme Audit Office (SAO) performed an audit aimed at state budget funds used on investments within the projects for development and reconstruction of the material and technical bases of the prison service. System failures within the operation of Ministry of Justice included insufficient methodology of financing, administration of the programmes, and verifying of the determinant factors in deciding on financing from the state budget.
"The ministry poorly controlled calculations of expected costs when preparing the realisation of investments. In consequence, the financial requirements rose rapidly in some cases. Control systems of the Prison Service of the Czech Republic should have been effectual so that inadequacies of the programme's realisation process and the accountancy shortcomings were detected in time. The budgetary discipline was violated in result of the described drawbacks,“ said František Dohnal, president of the SAO.
Public demands within the prison service are based on the strategic objectives designed by the government of the Czech Republic and on European Prison Rules. It is necessary to ensure a proper material and technical base for the prison service so that the requirements can be met. Ministry of Justice produced three conceptual schemes in compliance with strategic objectives of the government as well as the EU aims.
"When the programmes miss an effectual objectivity and acceptable chronology of the conceptual goals, the economy gets jeopardized. This risk rises even more if a working system of responsibility for the preparation of conceptual documents has not been clearly set,“ said Dohnal.
The audited period extended from 2005 onwards. The audited bodies included Ministry of Justice, the Directorate General of the Prison Service of the Czech Republic, and prisons in Mírov, Valdice, and Rapotice.
The auditing operation was included into the 2007 Audit Plan of the SAO under No. 07/19. Petr Skála, Member of the SAO Board, controlled the operation and drew up the audit report as well.
Supreme Audit Office