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Control Chamber Of Armenia Reveals Financial Violations At Organizat

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  • Control Chamber Of Armenia Reveals Financial Violations At Organizat

    CONTROL CHAMBER OF ARMENIA REVEALS FINANCIAL VIOLATIONS AT ORGANIZATIONS UNDER JURISDICTION OF RA MINISTRY OF CULTURE

    Noyan Tapan
    July 2, 2009

    YEREVAN, JULY 2, NOYAN TAPAN. The Control Chamber (CC) of Armenia
    conducted checks on the use of budgetary allocations and the management
    of state property at the RA Ministry of Culture in 2007-2008, as a
    result of which a number of violations, including financial ones,
    have been revealed, is said in the report approved at the June 30
    sitting of the CC Board.

    The Chairman of the Control Chamber Ishkhan Zakarian said at a
    press conference following the sitting that finacial violations
    of a total of 61.499 million drams were revealed through analysis
    of the documents regarding authenticity of expenditures on several
    programs at the expense of allocations of the government's reserve
    fund in the indicated period. This money, including 14.9 million
    drams allocated for Sayat-Nova opera which was not staged in 2006,
    is subject to repayment to the state budget.

    Violations of 24 million drams were revealed at some state
    noncommercial organizations under the jurisdiction of the ministry
    of culture. In particular, 19.96 million drams for the development
    of legal acts was transferred to the Yerevan subsidiary of a UK-based
    company in an offshore zone. According to I. Zakarian, the examination
    found that the indicated organization provides advisory services
    on insurance. However, they failed to find this organization to
    determine authenticity of the documents on the money transferred. The
    organization must repay the transferred sum to the budget.

    In the words of I. Zakarian, the saddest picture is with regard to the
    program on the restoration of monuments, where ineffective spending
    of budgetary resources, as well as facts of embezzlement were recorded.

    Expenses of about 66 million drams on design work were considered
    ineffective. I. Zakarian underlined that the 188 million drams
    allocated under the program must be repaid to the state budget.

    Gross violations were also revealed at Gugark company engaged in
    restoration of historical and cultural monuments. The company must
    repay 321 million drams received for the restoration of Hnevank
    complex and Kobayri Monastery (10th-11th centuries) to the state
    budget. I. Zakarian said that he had intended to send the case on this
    company to the prosecutor's office, but the day before he received
    an official letter from the minister of culture informing him that
    the ministry has already applied to Lori regional prosecutor's office.
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