Chamber of Control of Georgia

On the 16th of June, in Kutaisi, the Chairman of the Parliament of Georgia, Mr. David Bakradze met with the Chairman of the Chamber of Control, Mr. Levan Bezhashvili and other representatives of the CCG.
The main topics reviewed during the meeting were the processes of the Public Finance Management reforms and the major directions of the annual report for the year 2009 of the CCG:
• From 2009 The Law “On the Chamber of Control of Georgia” has been enacted which brought cardinal changes to the spheres of the competency and authority of the CCG.
• According to the new mandate, CCG shall perform public sector audit and provide expert services to the public organizations.
• Branch based audit departments have been created
• Chamber of Control was the first state institution that has initiated the creation of the internal audit department in the CCG.
• A unit of auditor-interns has been created, and as a result, following the competition based selection and upon the completion of the course, 6 successful interns continue working in the CCG as auditor-assistants.
• In 2009, based on the international standards of the Supreme Audit Institutions, financial audit standards that regulate the audit processes of the CCG have been developed, staffs retraining programs have been carried out and a draft manual for the financial audit of the CCG has been developed.
• Following the internationally accepted standards the CCG performs risk based audits and audit assurance model adopted by the CCG assumes 2% detention risk
• From 2009 the CCG started an internal audit system evaluation within the audit entities that makes the management process of the public finance sector more flexible and effective.
• The procedures of the evaluation of risks considered in advance gives an opportunity to measure work and time resources
• An audit act became more reliable, easily understandable and contains all the essential aspects of the audit entity
• In 2009 the CCG has carried out 243 audits and the budget amounted to 4.5 million GEL
• As the result of the performed audits the CCG has revealed 1 195 cases of law violations
• As the result of the performed audits the CCG contributed 12 963 033 GEL to the budget resources savings or budget income growth
o Budget received additional income of 315 352 GEL
5 266 406 GEL
o Cases of the inappropriately or ineffectively spent resources amounting to 5 266 406 GEL have been detected
o An opportunity for the mobilization of 2 381 275 GEL of the state budget has been generated

• In 2009, as the result of the audits carried out by the CCG, 23 cases out of those having traces of law violations have been passed to law enforcement institutions. The outcome: 21 individuals were brought to account and the sum of the reimbursement received by the state amounted to 3 324 233 GEL.
• In 2009, as the result of the audits carried out by the CCG, audit entities made important arrangements for the detection of the deficiencies and reimbursed 78 600 GEL to the state budget
• Public disputes that followed the results of the audits carried out by the CCG were one of the reasons that provided the basis for the adoption of the new Law “On State Procurement”
• Based on the results of the audits carried out by the CCG, Enterprise Management Agency began working on the systematic regulation of the state enterprise management system