National Audit Office Refused to Certify the 2008 Annual Financial Report of the Council of Ministers

The president of the National Audit Office Prof. Valeri Dimitrov presented the audit opinion from and the opinion for certification of the 2008 Annual Financial Report of the Council of Ministers to Prime minister Boiko Borisov. Bulgarian National Audit Office refused the certification of the 2008 Report of the Council of Ministers.

In its opinion for the 2008 Annual Financial Report, the team of the Audit Office expresses its view, that because of the significant errors and irregularities, the report for the cash implementation of the budget funded accounts and second-level spenders of budget appropriations the accounts for 2008 and the balance until December 31, 2008 of Council of Ministers do not provide correct and honest idea for the financial situation of the institution.

The grounds for the refusal is Audit Standard № 3 of the National Audit Office. The document states that the audit opinion for refusal of certification is given, if the "audit opinion indicates that the financial report has not been completed correctly and honestly".
According to the National Audit Office Act, in case of refusal for certification of an annual financial report of that kind, the National Audit Office informs the Minister of Finance for concrete actions in accordance with his legal powers.

In the process of conducting the audit of the financial management of the budget and the property status of the Council of Ministers for the period between January 1, 2009 and July 31, 2009, the findings contradict the opinion for certification without reservations of the 2008 annual financial report of the Council of Ministers, given by the head of Department V Erdzhan Alkova.

The president of the Audit Office ordered internal probe of the activities of the audit team from Departent V which conducted the initial certification of the 2008 Annual Financial Report of the Council of Ministers. Dimitrov will perform the duties of head of Department V until another person is appointed.