In recent audit performed at Rezekne municipality, Latvian State Audit (VK) found major inconsistencies, a completely disorganised internal control environment, as we ll as a lack of clear accountability, non-transparency of processes, the impossibility of obtaining all the necessary work-related information, as LETA was told by the head of Latvian State Audit Edgars Korčagins.
It is also unclear how Rezekne approves and plans its financing.
“The emotional aspect is a sense of great disappointment, because we have cooperated with municipalities for a very long time, not only in audits but also in provision of various kinds of support,” said Korčagins, commenting on results of the audit in Rezekne municipality.
At the start of the audit there were two main questions. VK found answers to both.
The first, concerned the size of the municipality’s financial liabilities. VK found the annual audit did not contain liabilities worth more than EUR 13.7 million.
The second question concerned the assessment of the budget formation procedure. VK found a number of legal violations.
Korčagins mentioned in his interview that the Corruption Prevention and Combating Bureau (KNAB) and State Police were…
