SAO audited the state property managed by the Ministry of Justice
Press Release – November 8, 2010
From March to August, 2010, auditors from the Supreme Audit Office (SAO) performed an audit of the state property managed by the Ministry of Justice as well as the related financial means and transactions, which occurred in 2008 and 2009. Auditors detected violations of the State Property Act and the Accountancy Act.
Auditors stated that balances of accounts No. 031 – Lands and No. 021 – Buildings had shown little conclusiveness, as the Ministry failed to inventory the actual state of their immovable property in its entirety and itemize it in the balance-sheets.
“The Ministry failed to take accounts of the acquired immovable property in the proper accounting period. – For example, the Ministry’s accounts omitted lands that measured 569 m2 and its accounting value was over CZK 66 thousand. A building worth nearly CZK 4.4 million was not filed either“, said president of the SAO František Dohnal.
The Ministry also violated the State Property Act when entered a leasing contract with indeterminate duration, in spite according to the above mentioned Act, leasing the state immovable property should not continue for more than 8 years.
“The Ministry violated the State Property Act when its immovable property was let ad infinitum to a private company without charge, by which means the Ministry decreased returns from the referenced property. The Ministry misinterpreted expenses of construction works that technically reviewed the property’s state when placed CZK 74 thousand on account of repairs and maintenance“, said Dohnal.
The auditing operation was included into 2010 Audit Plan of the SAO under No. 10/05. Karel Sehoř, Member of the SAO Board, controlled the operation and prepared the audit conclusion as well.
Mgr. Bc. Radka Burketová
Press Speaker
Supreme Audit Office