MVR 1.3m spent on foreign observers during 2018 Presidential Elections: Audit

An audit report of the Election's Commission (EC)'s expenses for 2019 has revealed that MVR 1.3 million was spent on catering to foreign observers during the 2018 Presidential Elections, in violation of the Public Finance Act.

THe report released by the Auditor General's Office confirms that amendments to the Public Finance Act brought about on 14 June 2018 requires leaders of government and independent institutions to check budget allocations before hosting receptions for guests and dignitaries, and that such arrangements should be made under the government's procurement policy. Article 10.31 of the Public Finance Act also requires a public announcement to be made for expenses over MVR 35,000.

Despite this, the EC's audit report for 2019 shows that the commission spent MVR 1,308,777 on hosting an official dinner for foreign observers during the 2018 Presidential Elections. The EC's planning section had also chosen select businesses in Male' to provide services to the observers at a standard that the commission had determined, but had failed to document details of the services acquired and their cost.

The Auditor General has forwarded a recommendation to check budget allocations before hosting receptions for foreign guests and dignitaries in order to resolve this issue, in addition to ensuring that expensive projects are conducted according to the government's procurement policy, by issuing a public notice for those projects that cost more than MVR 35,000 to seek providers.