Violations of Public Funds in Ministry of Labor

The Accounting Chamber on July 26 released the general report on the results of the audit in the Ministry of Labor and Social Protection of Population and 5 of its entities for query and use of funds from the state budget by the Ministry in 2014 and in the first 9 months of 2015.

Over the specified period, the Ministry and five structures used 433.8 million AZN, of which 86.4% was used in the context of functional activity.

The report posted on the Accounting Chamber’s website noted that the calculation of bonuses to the salaries of employees of the central apparatus of the Ministry was violated. Benefits and bonuses were granted to persons who are not civil servants.

Violations were revealed in ensuring control over the preparation and implementation of social projects, and competition in public procurement. In preparing the cost estimates the norms stipulated by the legislation were not taken into account. Forecasts on utility costs were not defined on the real consumption.

In the Ministry of Labor and Social Protection the volumes of inventory purchases and expenses for sports competitions exceed the established standards. There was inefficient spending due to the signing of contracts of varying value.

Even worse are investment projects. In the development of construction projects there were no feasibility studies or detailed plans of residential settlements, and their public examination was not held.

The Accounts Chamber does not report on the amount of deviation from the state budget and the recovery of the funds. --08D-