1. A general view on SAI

2. What is an SAI
The national audit body, independent of the executive, that provides reports on the use of public funds for the legislature and public
Can be seen as “guardian of the public interest”

3. What an SAI is not Not a private firm of audit
Not a government department or agency among others
Not an internal audit departement

4. Why is it important ? A standard feature of a democratic state
Its purpose is to ensure all citizens of a country that funds provided directly or indirectly by them to the government are put to good use

5. What are public funds ?
ALL FUNDS THAT WERE MADE AVAILABLE TO THE GOVERNEMENT OR PUBLIC ENTITIES
all resources gathered and intended for public purpose :
- money raised through taxes,
- and in the case of developing countries, funds received from the donors community

6. Institutional differences
The rationale is the same but institutional arrangements may vary
European tradition of “ Courts of accounts” and “Contraloria general”
Anglo-saxon tradition of “Auditor general”
What may vary :
link with the Parliament,
internal procedures and organization
degree of formalization of auditing work

7. Different types of audit
Compliance audits
Reviewing compliance with financial laws and regulation
Financial audits
Providing an opinion on the fairness of the information presented in gvt financial statements
Performance audits (value for money)
May vary significantly in scope

8. A word on Court of Accounts
A Court of accounts is a judicial body,
But its activity is not entirely judicial

9. Responsibilities of a Court of Accounts
1.     REGULARITY AUDITS (COMPLIANCE)
ð     Judicial role : the Court is the judge of the accounts kept by Public accountants
2. FINANCIAL AUDIT OF EXECUTED BUDGET
ð Its purpose is to assist the Parliament and the government in overseeing the implementation of the Finance Acts, and of Laws governing social security funding
3.     MANAGEMENT AUDITS
ð Similar approach as an Auditor general

10. 1. Regularity audit : Why a judge to audit public accounts ?
 Historical heritage of a strong system of financial control – three officers with separate roles :
ordonnateur / controleur financier / comptable
authorizing off./ financial controller / accountant
The public accountant is personnally and financially liable for his acts
The law states punishment to those who have misused public money, therefore a judicial procedure is required 
First Man: "Incredible! They've proposed Carmen Higaonna to be
> Comptroller General!"
>
> Second Man: "Now the only thing lacking is that they propose Leonel
> Figueroa and Hector Neyra to head Customs"
> (Explanation: Higaonna was formerly head of Peruvian Customs and was
> removed due to charges of covering up massive corruption in customs made
> by a Minister in the same government. She in turn charged the Minister
> with bringing a car into the country without paying duty and he too was
> forced out and changed to the opposition party. The charges against
> Higaonna were "investigated" and dropped. Figueroa and Neyra are the two
> Central Bank officials that were extradited and jailed for taking millions
> from the country's foreign reserves during the BCCI scandal.")

11. 2. Financial audit / overseeing the budget implentation : the example of France
Role mentioned by the Constitution
Work achieved through a close collaboration with the Ministry of Finance (access to the MoF databases)
An in-depth examination of the executed budget : deficits, fiscal performance, spendings, differences between the actual implementation and the appropriation bill, investments, accounting issues
Result includes precise recommandations
Appreciated tool for the parliamentary discussion

12. 3. Management audit
less standardized than the performance audit of the Auditor general
less emphasis on measuring indicators
more reliance on the auditor’s judgment in the conduct of the audit
can tackle entire government policies

13. Main obstacles an SAI can face
1. LACK OF INDEPENDENCE OR AUTHORITY
2. LACK OF MOTIVATION
3. A POOR AUDITING ENVIRONMENT

14. What answers ? Twinning arrangements
Re-orienting the SAI towards the examination, in a timely manner of the implementation of the State budget
Organizing working links with the MOF and the Finance Committees of the Parliament