The search is still on to find the reports on funds disbursed by the central Government to the International Airport Development Company (IADC).
The leader of the Democratic Republican Party (DRP), Anesia Baptiste says she has not found any evidence of the disbursements to the IADC in the reports by the Director of Audit (DOA) for the years ending 2009 and 2010, despite claims made by Prime Minister Dr. Ralph Gonsalves, suggesting otherwise.
The IADC is a private company that was established in 2004 by the Dr. Gonsalves administration to spearhead the construction of the Argyle International Airport (AIA).
The DRP Leader’s comments came via a May 2nd, 2017 live Facebook Video, titled, “Why The Director of Audit has legal permission to audit the I.A.D.C.”
Baptiste was responding to statements made by Prime Minister Dr Ralph Gonsalves that evidence of the disbursement was accounted for by the Auditor General. This follows allegations of a lack of accountability by the Gonsalves led administration about funds spent by the IADC, the agency responsible for overseeing the construction of the recently opened AIA.
Lack of accountability charges against the ruling Unity Labour Party (ULP) was raised recently by Leader of the Opposition New Democratic Party (NDP), Dr. Loraine Friday.
Baptiste noted, however, that a lack of personnel and other resources may account for the department being unable to effectively carry out its role on behalf of taxpayers, by auditing the various agencies and statutory bodies of Government.
News784 contacted Mrs Baptiste, following her live Facebook video, to get further insights on some aspects of her analysis, in the following typed interview.
News784: You have called for more financial and other resources to be invested in the Audit Department to help improves its operations. What are your expectations in that regard?
DRP Leader, Mrs Anesia Baptiste: Firstly, just for clarity, let me note that the audit report was submitted in 2014, but they are for the years ending 2009 and 2010. So what I was saying is that I do not see any evidence of government’s money disbursed to the IADC since its establishment in 2004, reflected in that report of the Director of Audit for years ending 2009 and 2010.
As for my expectations regarding greater financial and other resources to be invested in the Audit office, I would hope that any government who is sincere about accountability to taxpayers would see this as crucial. Respect for the constitutional duty of the Director of Audit in pursuance of the protection of the people’s inalienable right to private property demands it. However, if we have to go by the repeated concerns of the Director of Audit as expressed in the 2008 and 2009-2010 reports, it is evident that there is grave neglect in this area and no care motivation for the people under the constitution.
News784: What is your take on the use of private auditors to carry out the auditing of IADC, or any other body established by the government, and the role the Director of Audit should play in that exercise?
DRP Leader, Mrs Anesia Baptiste: Interesting question. I understand that companies may hire their own auditors. However, my reading of section 150 of the Companies Act makes me concerned when I consider the argument that it is sufficient for IADC to submit its audited reports to CIPO without auditing by the Director of Audit. This section reads thus. “Upon the application of the company for authorization to omit from its financial statements any prescribed item, or to dispense with the publication of any specified financial statement, the Registrar may, if he reasonably believes that disclosure of the information therein contained would be detrimental to the company, permit its omission on such reasonable conditions as he thinks fit.”
My concern is that if you only subject the auditing of a body such as IADC- responsible for spending hundreds of millions of public funds then they may make use of a clause like this too and in less than ideal situations (with fallible human beings in positions) the way is left opened for untoward behavior regarding financial statements of public funds. There is no guarantee, if the registrar agrees with IADC under this section, that the public will get all the details of their audited statements if omissions are allowed. I am saying ultimately that the Director of Audit should audit bodies spending such government funds such as IADC and this is law, statutes and constitution wise.
News784: You have concluded that no evidence of government’s money disbursed to the IADC since its establishment in 2004, is reflected in reports of the Director of Audit for years ending 2009 and 2010.
Moreover, in your live Facebook video, today, May 2nd, 2017, you have chided both the governing ULP and the Opposition NDP for failing in their respective roles to ensure accountability was delivered. Is that a correct assessment of your analysis?
DRP Leader, Mrs. Anesia Baptiste: I explained the role of both parties in parliament regarding the functioning of the Public Accounts Committee and sought to show how they have both failed there. Regarding the audit report’s account of monies disbursed to IADC what I show is that despite the Prime Minister’s claim that the D.O.A. does report on government spent funds in her annual report, I do not see any such report regarding IADC in the latest annual report. If it is hiding in some general category, it ought to be specified. It is important enough a company and receives significant enough money of government to be dealt with as a special audit report, and we do not see it.
Since the Public Accounts Committee will look at the annual audit reports, then its functioning will certainly cause to be raised the need for a special audit report of the IADC. However, I imagine the same arguments being made by the Minister of Finance today will be made at P.A.C meetings regarding that. It is necessary however to face the fight and demand accountability for the people. This is the role of parliamentarians. Government parliamentarians are on record as having blocked the functioning of the P.A.C.
News784: Thank you, Mrs. Baptiste. At News784, we are grateful for your responses to the questions we have raised.
DRP Leader, Mrs. Anesia Baptiste: You are welcome.
News784 readers can view the video of Mrs. Baptiste via the link attached below.