Banner

Published Audit Report of the Final Statement of Accounts of the Budget of Plav Municipality for 2018

Podgorica, 23rd December 2019 – The State audit institution has conducted audit of the Final statement of accounts of the budget of Plav Municipality for 2018.

Based on the conducted audit, established facts and statement of the audited entity on Preliminary audit report of the Final statement of accounts of the budget of Plav Municipality for 2018, the competent Auditing board of the SAI comprised of Mr. Zoran Jelić (member of Senate – head of Auditing board) and Mr. Radule Žurić (member of Senate – member of Auditing board), expresses adverse opinion on financial audit of the Final statement of accounts of the budget of Plav Municipality for 2018 and adverse opinion on regularity audit.

Financial audit has found that the data stated in the Report on consolidated public expenditures, by individual budgetary items of revenues and expenditures, do not correspond to the real data. This lead to the difference in expressed financial result – surplus in amount of 540.250,17€, while the audit findings determined budget deficit in the amount of 301.214,47€.

Regularity audit of Decision on Final Statement of accounts of the Budget of Plav Municipality for 2018 has determined that the Municipality failed to comply in all aspects the business activities with the legal and other regulations. The audit established individual discrepancies and non-compliance with the following legal and sub-legal acts: Law on budget and fiscal responsibility, Law on financing local self-government, Law on public internal financial control system, Law on protection and rescue, Law on communal police, Law on tax administration, Law on Spatial Planning and Construction of Structures, Law on salaries in public sector, Law on civil servants and employees, Labour Law, Law on state property, Regulation on reimbursement of expenses of the employees in the public sector, Regulation on Unified Classification of Accounts for the Budget of Montenegro and Budget of municipalities, Rule book on the manner of preparing and submitting financial statements of budgets, state funds and local self-government units, Instruction on the Treasury operations of the local self-government and Contract on reprogramming tax debt of the Plav Municipality.

Taking into account the scope and characteristics of identified irregularities and discrepancies at the audited entity, the competent Auditing board orders that:

-          Government, Ministry of finance and Ministry of public administration should be informed about the content of the Audit report in order to take measures in establishing sustainable framework and accountability in public finance management.

-          Parliamentary committee on economy, finance and budget should be informed about the content of the Audit report.

-          Union of municipalities of Montenegro should be informed about the content of the Audit report.

The Final Audit Report of the Final Statement of Accounts of the Budget of Plav Municipality for 2018 has been published at the official web site of the State audit institution.