EU and state budget funds allotted and utilized in compliance with rules
Press Release – October 6, 2009
From May 2004 to the end of June 2008, nearly CZK 195 million were utilized to implement the LEADER+ measures. From August 2008 to March 2009, auditors from the Supreme Audit Office (SAO) audited around 20 % of the financial resources.
Among the audited bodies were Ministry of Agriculture, the State Agricultural Intervention Fund and its regional departments in Prague, České Budějovice, Brno, and Opava, and 26 selected grant recipients. The audit aimed at management of the state budget and EU funds allotted in the frame of the LEADER+ and LEADER measures.
“Auditors concluded that the finances allotted from the state budget and EU funds had been utilised in compliance with the regulations and set terms. In general, the funding system is efficient. Objectives of the audited projects have been achieved and aims have been kept to,” said president of the SAO František Dohnal. He continued: “The State Agricultural Intervention Fund efficiently carried out the administration, partially in cooperation with the local action groups, and auditors from the SAO did not detect any substantial insufficiencies.
While implementing the LEADER measures in the funding period 2007–2013, experiences from the previous funding period 2004–2006 have been put to a large use. The auditors concluded that terms concerning the force of regulation amendments and deductions had been specified only vaguely. No finances had been allotted for the LEADER measures implementation until June 30, 2008.
“Auditors repetitively detected some insufficiencies. The methodology of the financial flow as well as administrative procedures of the financial aid should have set straight terms for approving the applications for costs repayments. In case of the acquisition of low-value tangible fixed assets, terms of performance should be specified in order to ensure a proper utilisation of the assets in the future“, said Dohnal.
The auditing operation was included in the 2008 Audit Plan of the SAO under No. 08/25. Ludmila Brynychová, Member of the SAO Board, controlled the operation. The audit report was prepared by Member of the SAO Board Jiří Kalivoda .
Bc. Radka Burketová
Press Speaker
Supreme Audit Office