A tale of two audits

Fri, Oct 10th 2014, 12:58 AM

This week saw revelations of serious and costly irregularities at two government-run entities.
On Monday, The Nassau Guardian disclosed the contents of a forensic audit into pharmaceutical supplies at the Public Hospitals Authority (PHA), which revealed a $10 million difference between the drug inventory count and what is reflected in Princess Margaret Hospital's (PMH) computer system.
It also came to light that a report on the discrepancy had been sent to Minister of Health Dr. Perry Gomez six months ago, yet he made no public announcement.
On Thursday, it was revealed that in a separate inquiry, Auditor General Terrance Bastian found that a "large number" of bills of lading were released by the Customs Department "without evidence to suggest that duties were collected". The combined value of the missing funds amounted to almost $220,000.
This information was disclosed in the 2012 Report of the Auditor General, which was tabled in the House of Assembly. It covers the period between July 1, 2011 and June 30, 2012.
What we have then is the tale of two audits: one concerning missing funds reckoned in the low hundreds of thousands, disclosed to Parliament and therefore to the public; the other concerning missing funds thought to be in the multiple millions, kept secret for half a year with no indication of when, if ever, it would have been officially disclosed were it not for the efforts of The Nassau Guardian.
To be fair, the customs investigation covers a period ending more than two years ago, and it remains unclear how long ago it was completed. In this case too, there may have been a substantial delay between the government receiving the report and its tabling in Parliament.
Still, critics will note that of the two reports, the one that was released covers a period almost entirely in the purview of the former Free National Movement (FNM) administration, while the thus far concealed report, detailing a far more substantial shortfall in funds, covers periods when both the FNM and the now governing Progressive Liberal Party (PLP) were in office.
Whether justified or not, some will see this as more than a coincidence.
Be that as it may, far more worrying from a national perspective is the picture this tale paints of the slack manner in which our government institutions are run generally; and in particular, the haphazard way in which evidence of the loss, wastage or pilfering of our public funds only occasionally stumbles into the light of day.
The PLP said it needs another two years to bring an amended Freedom of Information Act (FOIA) to Parliament for debate. By then, the party's current mandate will all but be complete.
It is totally unacceptable that the Christie administration, after promising on the election trail to swiftly enact an FOIA, should be allowed to complete this term in office with public disclosure remaining such a fraught and arbitrary question.
It is simply not good enough. The public should demand freedom of information immediately.

Click here to read more at The Nassau Guardian

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