Projects that failed to fulfil the requirements supported from the Integrated Operational Programme
Press Release – December 10, 2012
The Supreme Audit Office (SAO) performed an audit of the Integrated Operational Programme and its implementation within the period 2007–2011. Auditors aimed at the support provided for utilisation of the culture heritage. Funds provided from the EU and state budget have been utilized to reconstruct and make use of the UNESCO World Heritage Sites and national culture sights and monuments in the Czech Republic. The SAO scrutinized the Ministry of Regional Development, which was in charge of the Integrated Operational Programme, as well as the Ministry of Culture, which administered the specific sub-programmes, selected projects, and provided funds to the beneficiaries. The SAO selected 13 particular projects and audited their implementation processes.
The SAO revealed that the Programme had lacked an independent supervisor as the authorized auditing subject who had to control the Programme’s operations depended personally and financially on the Ministry of Regional Development, which was in charge of the Integrated Operational Programme. The Ministry of Regional Development also failed to set the necessary monitoring criteria, which should have ensured the proper evaluation whether the funds were spent economically, effectively, and efficiently.
The Ministry of Culture supported projects, which had been found risky by experts as they would count for forbidden support. Instead of providing the funds, the Ministry should have notified the Commission. There is a certain risk that a substantial part of the allocated EU funds will not be provided in the end. The Ministry of Culture – with the approval of the Ministry of Regional Development – reimbursed CZK 185.4 million of ineligible expenses, when provided funds for reconstruction of buildings, which were not listed by the UNESCO or were not proclaimed national culture sights and monuments, including the former granary and stables in Velehrad and former Jesuit college buildings in Jindřichův Hradec.
Auditors scrutinized 12 beneficiaries of the support totalling to CZK 980.6 million. Violations of the Public Procurement Act were revealed in 8 cases. For example, Roman Catholic parish in Velehrad selected as the most suitable offer one that had failed to fulfil the requirements of the contracting authority – such a tenderer should have been eliminated. The beneficiary in Vítkovice Lower District was provided support amounting to CZK 1.5 million and reimbursed works and supplies, which did not correspond with agreements and invoices. Six beneficiaries made accounting errors.
For further details about the auditing operation No. 12/02 (in Czech only), see the following link: http://www.nku.cz/assets/media/informace-12-02.pdf (pdf 309 kB).
Communication Department
Supreme Audit Office