New audit system sought to eliminate 'tactical funds'<\/p>\n
Ridwan Max Sijabat, The Jakarta Post\/Jakarta<\/p>\n
A review of the audit systems in this country are necessary to
\neliminate the raising and usage of slush funds, which have become
\na common practice in the bureaucracy, experts say.<\/p>\n
They say the current audit methods could not usually detect
\nthe presence of funds coming from sources other than the state
\nbudget, which is against the principles of good governance.<\/p>\n
\"We need a comprehensive audit system, which requires the
\nSupreme Audit Agency (BPK) to examine annual financial reports
\nsubmitted by all state institutions, state agencies and state
\nenterprises and verify their assets,\" said Ngadisah, the rector
\nof the state-run Institute of Public Administration (IIP).<\/p>\n
Under the current audit system, BPK scrutinizes only book
\nreports of state institutions and of state enterprises.<\/p>\n
\"BPK has never followed up its investigations into alleged
\nfinancial leakages, verified state institutions' expenditures and
\nassets, or audited state officials' wealth,\" she said.<\/p>\n
She said the collection and use of tactical funds was prone to
\ncorruption or at least unaccounted for, as evidenced by the case
\nof the General Elections Commission (KPU).<\/p>\n
The Corruption Eradication Commission found the KPU officials
\nraised Rp 20 billion (US$2.1 million) in \"tactical funds\" from
\nkickbacks collected from companies that won tenders to provide
\nelection materials.<\/p>\n
\"Slush funds come from numerous sources, including kickbacks,
\nseminars, public service events and 'gifts' from individuals or
\ncompanies, and are commonly used not only to cover unexpected
\nspending, but also to increase officials' income,\" Ngadisah said.<\/p>\n
Dedi Haryadi, a researcher and chief editor of bimonthly
\nbulletin Bujet in Bandung, West Java, urged a phasing out all
\nnon-budgetary funds and verification of all spending by state
\ninstitutions and enterprises by the BPK.<\/p>\n
\"Amid the intensive campaign for transparency and good
\ngovernance, the President should take concrete measures to scrap
\noff-budget revenues and expenditures because any use of funds
\nmust be expected and predicted and accounted for.<\/p>\n
\"Therefore, all public officials from the President,
\nministers, senior officials to local officials are required to
\nreport their operational costs, including the use of tactical
\nfunds,\" he said.<\/p>\n
Ngadisah said it was mandatory for state officials to submit a
\ndraft budget in their institutions and spell out the revenue
\nsources in order to eliminate tactical funds.<\/p>\n
\"Revenue sources should be limited to the state budget and
\nmoney collected from legal sources, while the use of funds for
\nunexpected spending should be limited to extreme emergency
\npayments,\" she said.<\/p>\n
She also suggested greater authority for internal comptrollers
\nto supervise the spending of all budgetary funds in all state
\ninstitutions.<\/p>\n
Both Ngadisah and Dedy said the country was in need of a
\nregulation governing the fee system in development projects and a
\nnew remuneration system of state employees to prevent them from
\nraising tactical funds, thereby curbing corruption.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/new-audit-system-sought-to-eliminate-tactical-funds-1447893297",
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