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STATE AUDITOR INFORMS PARLIAMENT ABOUT 1995 STATE BUDGET AUDIT

ZAGREB, Feb 2 (Hina) - The Croatian Parliament House of Representatives is discussing today the Report on the Work of the State Audit Office in 1995 and the Report on the Completed Audit for 1994. The representatives heard the details of the two reports from the State Head Auditor, Sima Krasic.
ZAGREB, Feb 2 (Hina) - The Croatian Parliament House of Representatives is discussing today the Report on the Work of the State Audit Office in 1995 and the Report on the Completed Audit for 1994. The representatives heard the details of the two reports from the State Head Auditor, Sima Krasic. #L# Audits of the state budget, funds, the City of Zagreb budget, and budgets of 20 counties, 69 cities and 419 municipalities had been completed during 1995, Krasic said, adding that the extensive material, consisting of almost 11,000 pages, was being presented in a reduced form, on almost 1,400 pages. Krasic stressed that the public income in 1994, which is subject to the state audit, amounted to some 41 billion kunas, or some 50% of gross domestic product. Speaking about the irregularities which were registered during the audit, Krasic said that the 1993 state budget account was missing. Krasic also mentioned unauthorized spending, spending above the allowed amount, failure to organize public competition for purchases amounting to more than 50,000 German marks and non- existence of plans on the basis of which the distribution of budget resources could be carried out. A lot of mistakes had been registered in the way the users of the state budget were keeping their books, she added. As regards the irregularities in the work of the units of local self-government and administration, there was a large number of those units which had either failed to work out or had worked out completely wrong budgets, Krasic said. Income and expenditure in those units were in 50% of the cases unbalanced and some units did not have organized accounting departments. The biggest mistake of the majority of units of local self-government and administration was the lack of property statement. The Government Office for Temporary Management of Property lacked such a statement as well, Krasic said. There were reports that the users of the state budget had had less mistakes in 1995 than in 1994, Krasic said in the end. (hina) rm jn 021600 MET feb 96

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