The GOA (Government Accountability Office)[1] discovered large problems in the auditing of the Pentagon. The problems about audits of the Pentagon goes about contracts worth hundred billion dollars. The GAO checked 69 audits executed by DCAA (Defense Contract Audit Agency)[2] and only 4 satisfy to the government auditing standards.
A report of the GAO gave proof that the relation between the management and the contractors was too good. Thus a senior accountant was threatened by the management and he was obligatory to remove the negative comments which concerned a large federal contractor. People who took their work seriously were often teased by their supervision holders. The DCAA says that they take the report seriously.
This report can lead to the largest scandal ever concerning auditing. The DCAA has already taken steps to solve the problems but this won’t go easy. There should be more done than they do now for solving the problem, and this will last years.
This is again an example that there must be more controls of matters where a lot of money is involved because there are so many things that ordinary people don’t know. It’s good to have such an organization like the GOA which try to do good things and reveal things like fraud.
[1] The GAO is the audit of the US Congress. It was established as the General Accounting Office and execute especially financial audits but it's also known for performance audits.
[2] The DCAA is the office which cares for the auditing of the defense including the Pentagon.
You can find the article here.
Geen opmerkingen:
Een reactie posten