State auditors descend on Region 2 Administration

Mar 20, 2018 News

…REO questions adherence to fiscal laws in certain situations

Rupert Hopkinson, Region Two Executive Officer (left) speaks with Financial Secretary, Dr. Hector Butts, following a recent PAC meeting at Parliament

Several projects are works executed by the Region Two Administration (Pomeroon-Supenaam) are now under the scrutiny of the Auditor General’s office following revelations that state funds were misdirected without relevant approval.

The bi-partisan Public Accounts Committee (PAC), led by People’s Progressive Party (PPP) Member of Parliament, Irfaan Ali, requested the review by auditors.

Rupert Hopkinson, Region Two Executive Officer, has admitted to having taken money approved for recurrent expenditure and diverting it towards capital projects within the region. Hopkinson has had a torrid time explaining his decisions before the PAC.

“We are of the opinion that the Public Accounts Committee acted correctly in ordering the swift audit to ensure government money is well spent, if indeed it felt something was amiss. But we are delighted that our actions brought relief to residents in the Region and that the major infraction was misallocation and not misappropriation of funds,” Hopkinson stated in a missive to the media.

Hopkinson had told the PAC that the practice had been corrected, stating that the PAC is not going to see any current expenses being transferred to capital expenses. Regional Engineer, Latchman Singh, then informed the PAC that the practice was still occurring based on the REO’s instructions.

Hopkinson stated that he is mortified by the waste of needed resources utilised to facilitate the PAC hearings. He said while laws and policies must be obeyed, he questioned why laws must be preventative.

“Why must there be a law, in the first place, that prevents a Regional Executive Officer and his/her management team from deciding and implementing at the level of the Region the construction of a bus shed for residents in the Region, or that a Health Centre should be extended to allow for better delivery of health services to its residents, or have the authority to employ a Clerk to advance development in the Region?” Hopkinson questioned.

He also asked why a broken landing, the only access to a school, should wait for approval from some official, centrally located, in the nation’s capital, burdened with his/her own tasks.

“Therein lies one explanation of our underdevelopment and poverty, as a nation,” the REO stated.

He said that with the appointment of regional ministers, more than three decades ago, Guyana embraced the notion of regionalism. Hence, Hopkinson explained that it is not unreasonable to expect that by now most conditions for regions to function effectively would have been put in place.

“If applying sanctions on Region Two officials will set Guyana on course for real and serious development, well, let it be. I do not wish to prejudice the decision of the Public Accounts Committee. The Public Accounts Committee and the Audit Office must to do their work unhindered and without fear or favour,” Hopkinson pointed out.

While indicating that he understands that permission needs to be sought before spending recurrent funds on capital projects, Hopkins noted that the six projects, undertaken from the Region’s 2017 savings of $250 M were responses to emergencies.

He explained that the savings were made possible through responsible spending and prudent management controls by the Regional Administration.

“This is a historic accomplishment that deserves commendation from all Guyana. For, even an experienced economist cannot accurately predict the level of development this country will realise if every government Budget Agency should replicate this performance,” Hopkinson stated.

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