The Audit Office of Guyana has flagged several instances of breaches in the Procurement Act as well as delays in projects in its report for the fiscal year ending December 2023.

According to the report, which was laid in the National Assembly on Thursday, the breaches of the Procurement Act were noted for contracts undertaken by the Guyana Defence Force and the National Drainage and Irrigation Authority, while a Contract under the Ministry of Public Works suffered significant delays in its completion, despite several notices of poor performance being issued to the Contractor.

Further, the report noted that 752 contracts totaling $47.4 Billion were examined for Ministries and the Regions and a total overpayment recorded amounted to $299.1 million on measured works on 74 contracts administered by Ministries and Regions in 2023.

Additionally, sums totaling $212.8 million were overpaid in relation to forty-one contracts under the Ministries, while $86.3 million for under 33 contracts were recorded under the Regional Democratic Councils. 

At the time of reporting in September 2024, all overpayments were recovered by repayment of sums overpaid, and by contractors completing unfinished or outstanding works for which payments had already been received, the Audit office stated.

Further for the period under review, five contracts totalling $1.857 billion were terminated.

The projects include the Construction of New Guyana Embassy in Brazil, Lot 8 Widening of corridor at Conversation Tree to Dennis Street – Exit to Sheriff Street – New Connector, Construction of Office and Training Centre at Corriverton and Construction of Child care Centre at Mahaica and (2) Repairs to TIP Building in Region 2. 

The Audit office explained that as a result of termination, the anticipated benefits of the respective infrastructure projects were delayed. In addition, sub-standard works were also observed under the terminated contracts of the Ministry of Labour and Ministry of Human Services and Social Security.

Further, the Audit office explained that as at the end of September this year, there were 3,134 cheques totaling $2.463 billion still on hand which should have been refunded to the Consolidated Fund in accordance with Section 43 of the Financial Management and Accountability Act, and the necessary adjustments made to the Appropriation Accounts. 

Of the total cheques on hand, 3,007 of them that totaled $2.2 billion were in relation to five Ministries/Department, while the remaining 127 cheques totaling $247.9M were in relation to Regions №. 1, 3, 4, 6 and 7.

In addition, there are eighty-one cheques totaling $77.7M, which relates to the years 2021 and 2022 still on hand at the Ministry of Health and the Guyana Defence Force.

Further, one hundred and forty-nine Payment Vouchers totaling $321.2M were not presented for audit, resulting in the limitation of scope, the Audit report stated.

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