Accra, Feb. 8, GNA - The total cash assets of the Consolidated Fund recorded an overdrawn balance of 204.7 billion cedis in 1997 compared with a negative balance of 44.5 billion cedis in 1996, according to the Auditor-General's report laid before Parliament on Tuesday.
The report, which covers the Consolidated Fund for the period ended 31st December, 1997, said the cash balance represents the balances on all the bank accounts maintained as part of the Consolidated Fund.
It also includes foreign cash balances translated into cedis at the prevailing rates applicable during the year under review. The Auditor-General's findings showed a departmental revolving fund of 31.6 million cedis standing in the name of the Institute of Accountancy Training, even though there was no loan recovery policy at the school to enable the authorities to retrieve the amounts from the past students.
The report, therefore, recommended that the school authorities should contact the employers of the past students to effect the necessary recovery to make the fund operative to benefit other students.
On loans, the report said that credit facilities granted out of the Consolidated Fund rose from 746.1 billion cedis in 1996 to 1,239.4 billion cedis in 1997, an increase of 493.3 billion cedis or 66.1 per cent.
The increase, the report said, was mainly due to additional loans granted to some institutions including the Public Servants' Housing Loan Scheme (two billion), Tamale Municipal Assembly Frandesco (WA) Ltd. 12.5 billion cedis, Pentrexx 3.5 billion cedis and Panafest Secretariat 300 million cedis.
The report showed that divestiture proceeds of 134.2 billion cedes, which should have been treated as other receipts, were included in the total revenue for the year.
In its summary of findings, the report said reconciliation of expenditure figures provided in the public accounts with figures obtained from the accounts of 13 randomly selected organisations, disclosed disparities due to non-compliance with the Financial Administration Regulations by the Controller and Accountant-General's Department. The report said loans amounting to 83.2 billion cedis granted to various organisations had remained dormant for the past 10 years. The Consolidated Fund did not also disclose any information on the operation of fuel sales by the Controller and Accountant-General's Department, contrary to the Financial Administration Decree of 1979. It noted that 102.3 billion cedis was released as revenue to the District Assemblies instead of 93.7 billion cedis stated in the Public Accounts by the Controller and Accountant-General, showing a difference of 8.6 billion cedis.
