The State Immovable Assets Administered by the Children and Youth Fund "winding-up"
Press release on completion of the auditing operation No. 05/36
The aim of the auditing operation “The State Immovable Assets Administered by the Children and Youth Fund ‘winding-up’” was to examine process of dealing with the state immovable assets under administration of this fund.
The audit was carried out in period between July and December 2005 at the Ministry of Finance, to which all powers and responsibilities of the Children and Youth Fund ‘winding-up’ were transferred by the law.
The ministry also overtook from the Children and Youth Fund all files and accounting records. The auditing operation was managed by Mrs. Zdenka Profeldová, Member of the Supreme Audit Office.
The law, by which the Children and Youth Fund was liquidated, specified a group of bodies, to which immovable assets can be conveyed without payment. It further set down that the remaining property shell be conveyed against payment. The Czech Government established commissions selecting voluntary conveyances and it specified allowable kinds of using of these assets and conditions for relevant procedures.
The liquidator was obliged to deal with the state property winding-up in co-operation with the government and with the Ministry of Finance. The Ministry of Finance was deputed to supervise the liquidator activities.
Some immovable assets were excluded from conveying without payment for they were not very proper for work with children, although rightful bodies submitted projects for their usage. The government was not informed about this exclusion. Though particular legal regulations on the Czech republic property were applicable for the Children and Youth Fund’s property, they were not respected in cases of the conveyances for money. The Ministry of Finance has not applied any approving procedures for the paid conveyances contracts. The liquidator also sold buildings or grounds, where the selection procedures for conveyances without payment were not completed yet. In 2004, the liquidator sold for CZK 37 million immovable assets, which experts valued minimally at CZK 198 million. Main part of total 36 immovable assets – 28 items – were sold to only three companies.