In a report covering a Jan. 2010 – Sept. 2011, the High State Audit says the abuses have caused the state budget financial damage of 1.8 billion lek (Euro 13 million)
TIRANA, May 15 – Albania’s High State Audit says it has filed lawsuits against 5 officials of the Ministry of Economy, Trade and Energy (METE) after identifying abuses with concession contracts in the copper, chrome and hydroelectricity areas. In a report covering a Jan. 2010 – Sept. 2011, the High State Audit says the abuses have caused the state budget financial damage of 1.8 billion lek (Euro 13 million).
The financial damage is a result of failure to implement conditions in the concession contracts after violations were identified in most of the audited contracts. The report says that among 126 audited concession contracts, 84 of them had serious violations while for another 24 contracts penalties worth around 6 million lek had not been calculated or collected.
The auditors identified violations in the negotiation of contracts and their implementation.
“In many cases the concessionaires started works without completing the technical and economic-financial documentation, which proved in lack of objective and accurate assessment about the implementation of contract terms, especially investments and financial performance related to economic and tax activity of the concessionaire for the respective period.”
The sued METE employees include senior officials including the director general who are alleged to have caused a damage of 6 million lek. The Audit has also recommended a series of administrative measures including dismissals and demotions for METE employees.
Albania’s High State Audit identified 221 million lek (around Euro 1.55 million) of financial abuses during controls carried out in the first quarter of this year. The damage unveiled in the 85 inspections carried out in state institutions during this year belongs to the 2009-2011 financial activity and was mostly identified in central government institutions.
Soon after the report was published, the Ministry of Economy and Energy, announced it has launched procedures to dismisses the director of the Agency for Concession Treatment (ATRAKO) Shkelqim Kerluku.
Since 2009, METE has been run by minister representing the Socialist Movement for Integration, the key ally of the ruling Democratic Party-led coalition.
