State Control Service to control expenditure of public funds 

ArmInfo. The functions of control over the expenditure of public funds will be transferred from the Ministry of Finance of the Republic of Armenia to the State Control Service under the Prime Minister of the Republic of Armenia.  At the meeting on February 3, the Committee on Financial, Credit and  Budgetary Affairs of the National Assembly of the Republic of Armenia  issued a positive conclusion on the amendments to the Law "On the  State Control Service" and a large package of related documents  submitted by the Government of the Republic of Armenia.

Presenting the package in the first reading, the head of the Service  Romanos Petrosyan emphasized that over the past 6 years, a number of  problems have been identified in the activities of the control body  that require legislative regulation. In particular, it is envisaged  to transfer control functions over the expenditure of budget funds  from the Ministry of Finance to the State Control Service. The  corresponding structure in the Ministry of Finance will be removed  from its subordination and transferred to the Service.

The speaker also reported that in order for the Service to more fully  and effectively implement its powers, it is sometimes necessary to  have information constituting a medical secret. The development of  the healthcare sector is one of the main priorities of the  government, and the policy is aimed at maintaining and improving the  health of the individual and society by ensuring the provision of  accessible, modern and high-quality medical services. The healthcare  sector, and especially the implementation of state-guaranteed free  and preferential medical care and services within the framework of  the state order, is one of the most sensitive areas of the state's  domestic policy. 

Therefore, control over the quality and volume of medical services  provided within the framework of the state order, control over the  legality and effectiveness of financing and other related functions  cannot remain outside the activities of the Service. Moreover, as a  result of the studies conducted in this area, the Service recorded  violations totaling about 590 million drams, of which about 210  million drams were restored to the state budget. In addition, a  schedule was drawn up with 2 medical organizations for the return of  another 12 million drams to the state budget of the Republic of  Armenia. Based on the materials prepared as a result of the research,  a criminal case was opened.

The package grants the head of the Service the right to conduct  control measures for transactions within the framework of purchases  carried out by state bodies and local governments. In particular,  this concerns purchases within the framework of subsidy programs,  financed, among other things, by the state budget of the country.

The documents also present the procedure for admitting Service  employees to data containing classified information, which is  necessary for disclosing corruption schemes. In total, in order to  implement the requirements of the bills, two new divisions and about  30 new staff units will be created in the structure of the Service.

Answering questions from deputies, Petrosyan also reported that out  of 18 water user companies, studies were conducted in 3, on the basis  of which two cases were reported to the Prime Minister and the cases  were transferred to law enforcement agencies, where criminal cases  were initiated, and in one case the process of summarizing the  results of the monitoring is underway. In total, during the current  year, it is planned to conduct studies in about a dozen water user  companies.