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Ekonomia

The state and local administration cheated with the Albanians' money, in 2023 alone the economic damage will reach 72.3 billion ALL, KLSH reveals the scandal and raises the alarm

The state and local administration cheated with the Albanians' money, in

The Supreme State Audit has identified an economic damage of 72.3 billion lek due to the mismanagement of public funds and legal violations committed by the state and local administration during 2023. The performance report, published on the website of the Assembly, divides the damage into three voices; over ALL 5.1 billion economic damage, ALL 64.8 billion negative effects due to irregularities and ALL 2.3 billion due to deficiencies in tax control. Out of 160 audits performed in 195 entities, only for 2 audits no opinions were given on the financial statements. According to the HSC, the findings in the financial field refer to; irregularities and deficiencies in the implementation of budget discipline in the programming and realization of public expenditures, the liquidation of expenditures, including those for investments, the creation of arrears; the use of funds without effectiveness, economy and efficiency mainly in the field of public procurement, due to deficiencies in the implementation of procedures which in many cases result in not being carried out in full accordance with the legal and sub-legal framework in force.

Compensation for judgments and arrears

The highest figures of the financial damage have the item for "compensations for court decisions, arrears and other obligations" amounting to more than 43 billion ALL and concessionaires' obligations to Albpetrol and other public companies in the amount of 12.3 billion ALL. Yes, during the audits carried out in the fiscal administration institutions (taxes and customs), the HSC has found irregularities and deficiencies in the collection of tax and customs revenues, which have been assessed and considered missing revenues in the state budget, in total 2.3 billion ALL. Compared to the performance report for the year 2022, it seems that there is a halving of the economic damage evidenced by the audit of the KLSH, which according to this institution depends on many factors, such as the structure of the audited entities, the structure of the audits performed, the number of the subjects included in the audit, the period of the audited activity, the size of the activity and the decrease in the level of investments in 2022. In addition, the KLSH states that, "it should be seen as a kind of reaction of the public administration in terms of improving the administration and management of funds and public property, as well as within the framework of strengthening the fight against corruption of public officials by reforming the justice system". The report highlights the fact that the SSC has not only been satisfied with recommendations and measures for the audited institutions, but has also cooperated with law-enforcement institutions, such as the Special Structure Against Corruption and Organized Crime and first-degree prosecutors, making audits available. different in the service of the investigations that these bodies have opened. KLSH informs that it has also criminally charged 10 officials of the state administration for the criminal offense of abuse of office, as well as the violation of the equality of participants in public tenders or auctions.

Management of public funds

The audit generally reveals problems in the management of public funds by state institutions, legal violations in tenders, lack of monitoring in the implementation of concession contracts, lack of realization of public investments, etc. Concessions in the health sector continue to be problematic, where, according to the HSC, payments continue to be made for incomplete services. For the concession of basic medical control (Check-up), payments were made for incomplete service for 20172 cases at a cost of 31 million ALL without VAT. Even for the hemodialysis concession, concessionaire payments are not made for service performed, but for billed service, which includes the liquidation of unfinished cases or otherwise expressed under annual projection. Payments for incomplete service for this concession are calculated at 99 million ALL. For the medical equipment sterilization concession, it turns out that in more than 24 thousand cases, different sets were used for the same surgical typology. Problems have also been found in the implementation of the laboratory service concession, where, according to the HSC, the limitations of the budget ceiling of each hospital endanger the provision of laboratory analyzes according to hospital needs. KLSH states that "...this results in directing patients to receive this service at private entities, with additional costs for citizens, as well as deterioration of health from not performing the relevant analyzes in time".