Banner

Published Audit Report on Annual Consolidated Financial Statement of the Montenegrin democratic union for 2016

Podgorica, 30th December 2017 - The State Audit Institution has conducted a financial audit of the Annual Financial Statement and a regularity audit of the Montenegrin democratic union for 2016.

Based on the conducted audit, determined facts and the statement of the audited entity to the Preliminary Statement of the SAI, the competent Auditing Board comprised of a member of the Senate Nikola Kovačević, Head of the Auditing Board and president of the Senate, Milan Dabović, PhD, a member of the Auditing Board, has given unqualified opinion on the Annual financial statement and adverse opinion on compliance of the business operations of the audited entity with regulations.

Financial Audit has found that the Annual Financial Statement of the Montenegrin democratic union for 2016 was in all material aspects compiled and presented fairly and objectively in accordance with the applicable financial reporting framework.

Regularity audit has found that the audited entity did not harmonize all the financial and other actions with the legal and other regulations that had been identified as criteria for the given audit. Non-compliance refers to improper implementation of the Law on financing political entities and election campaigns (article 2, 17, 24 and 38), Law on accounting (article 19) and Law on personal income tax (article 46).

By auditing the Annual Financial Statement of the Montenegrin democratic union for 2016, the SAI has checked the implementation of recommendations given in the Audit report of the Annual Financial Statement of the Montenegrin democratic union for 2015. The audit of the Annual Financial Statements of the Montenegrin democratic union for 2016 has found that out of seven given recommendations, the audited entity implemented five recommendations, partially implemented one recommendation and did not implement one recommendation.

Due to a large number of irregularities and shortcomings in the work of the audit entity, the competent Auditing board has agreed to submit the report to the Committee on economy, finance and budget and Committee on political systems, justice and administration.

The final Audit Report on Annual Financial Statement of the Montenegrin democratic union for 2016, the statement of the Montenegrin democratic union on the Preliminary audit report and response of the competent Auditing Board has been published at the official web site of the State audit institution of Montenegro.

Audit Report of the Annual Consolidated Financial Report of Montenegrin Democratic Union (Montenegrin) for 2016 (mne)