Administrative Appointments part 2 Sint Maarten

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With this report, the General Audit Chamber (hereinafter: Audit Chamber), addresses the subject of administrative appointments of directors of government-owned companies and entities that fall within the collective sector. The Audit Chamber investigated whether the representative minister(s) correctly applied the procedure as stipulated in the National Ordinance Corporate Governance (hereinafter: NOCG).

Findings


• Appointments

Like in our previous report, the findings paint a worrisome picture. Based on the respective articles of incorporation, the appointment procedure stipulated in the National Ordinance Corporate Governance is applicable for 9 of the 20 entities under review. Those 9 entities represent 23 directors. We determined that advice from the Corporate Governance Council for the function of director was present in 7 of the 23 appointments. Furthermore, we found that in 4 of 7 cases, the minister did not follow the advice of the Corporate Governance Council. We were unable to establish whether the minister provided a reason, in writing, for failing to follow the advice in those 4 cases. It should be noted that the 4 appointments in question, occurred after publication of our first report on administrative appointments, published in October 2016.

• Additional information or substantiation

For 2 of the 7 appointments, the Corporate Governance Council requested additional information or substantiation from the minister. We were unable to establish whether the minister provided the Corporate Governance Council with the requested information or substantiation in writing.

• Transparency

In terms of the entities we investigated, and for cases where the National Ordinance Corporate Governance appointment procedure is applicable for directors, we conclude that between January 2015 and May 2017, only 1 appointment was made in accordance with the rules and in keeping with principles of transparency.

Contribution


By means of our reports, we strive to contribute to the improvement of the process of administrative appointments, and by extension, improved financial-management of the country. In accordance with article 26 of the National Ordinance General Audit Chamber, a legal obligation exists to disclose information.

The report is available under the button:

Number of pages 29 • Language English • Country Sint Maarten

Bron: Algemene Rekenkamer Sint Maarten
Tags: general government, audit, report, onderzoek, rapport, sint maarten, st. maarten, compliance, parliament, Minister of Tourism, Economic Affairs, economic affairs sint maarten, Traffic and Telecommunications, TEATT, transport and telecommunication sint maarten,  Minister of Education, Culture, Youth and Sports, VSA, public health, social development and labor, sociale ontwikkelingen sint maarten, good governance, integrity, government, telem.

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