Vietnam Top Govt, State Agencies to Be Audited This Year

“The audit plans have been approved in principle,” Khai said, noting that an independent group of auditors would be selected to do the work.

In the press conference, Khai also reviewed other elements of the State Audit's plan for 2008, including ongoing projects from 2007 and targets for this year.

SAV will audit 18 State-owned enterprises in 2008, including Electricity of Vietnam (EVN), Lilama, Coal and Mineral Industries (Vinacomin) Group, and 17 State-funded construction projects, among which were the Phap Van-Cau Gie overpass and the Thai Nguyen cement plant.

Last year, the state auditor's offices conducted 105 audits on state agencies and businesses, discovering financial violations worth VND11.6 trillion (US$727.7 million).

Outstanding debts of audited state-owned enterprises also grew to VND265.6 billion (US$16.6 million) over the amount reported by the State budget management office.

Another VND6.08 trillion (US$380.3 million) that had been appropriated from the organizational kitty, in many instances without government authorization, would have to be mopped up by the exchequer.

All the figures, however, were only estimates and the official ones will be announced after the National Assembly approves the balance of the State Budget for 2006, Khai said.

The State Audit had referred two of the audited projects, which showed “signs of corruption,” to the police, Chief Auditor Vuong Dinh Hue said.

One of them is the notorious Project 112 on promoting e-commerce, in which over a hundred billion dong was misspent. The project was aborted in April 2007 and several officials were arrested in September for alleged embezzlement and abuse of power.

The other is the Bac Thang Long-Van Tri urban infrastructure development project in which the police will investigate overpayments to the extent of VND584 million (US$36,600) and 1.8 million yen (US$16,900) as well as unauthorized compensation of VND54 billion (US$3.4 million) for reclaimed land.

The auditors have recommended that nearly VND75 billion (US$4.7 million) which had been misspent be recovered from the culprits.

They have also forwarded reports on the Song Hong General Construction Company and the Liksin General Packaging Company to tax agencies for examination.

The audit covered ministries and central agencies, provinces and cities, major development programs and projects, state-owned corporations, financial institutions, and businesses under the Ministry of Defense and Ministry of Public Security.

In 2006, the State Auditor of Vietnam uncovered VND5.03 trillion of financial wrongdoings.

(Local sources)