SAO audited the Office of the Government Representation in Property Affairs
Press Release – June 22, 2010
From September 2009 to March 2010, auditors from the Supreme Audit Operation (SAO) performed an audit of the protection and economical administration of the property owned by the Czech Republic that was administered by the Office of the Government Representation in Property Affairs within the years 2007 and 2008. Auditors focused on property disposals, rental income, and administrative procedures related to assets, including recovering of the claims.
Auditors scrutinized the economical administration and treatment of the property as defined in § 10 of Act No. 219/2000 Sb., on the Property of the Czech Republic and its performance in legal relations. The aim of the audit was to focus on the acquired state property without explicitly determined administrators.
“Auditors found insufficiencies in property records, evaluation of the property, and inventory. They also detected insufficient performances of the essential duties linked with the state property administration, namely within the field of the state property used by third-parties and in the administration of claims“, said president of the SAO František Dohnal.
Auditors concluded that it is necessary to improve the legal regulations for the physical inventory of the property, which is kept in operational records. The term “larger offer of the property to organizational units of the state” should be redefined in the Act on the Property of the Czech Republic and its performance in legal relations.
“The Act on the Property of the Czech Republic and its performance in legal relations omitted a clear definition of the term ‘stored by the organizational unit’ – whether it means only the ‘place where the subdivisions of the organizational unit reside’ or the term concerns all premises, which are administered by the organizational unit including the hired storage area. Under current conditions, it is not possible to determine the right course“, said Dohnal.
The auditing operation was included into 2009 Audit Plan of the SAO under No. 09/21. Zdeňka Profeldová, Member of the SAO Board, controlled the operation and prepared the audit conclusion as well.