Second COPE report to be tabled in Parliament :

Better financial discipline for State enterprises soon

by P. Krishnaswamy

COPE Chairman and Senior Minister Dew Gunasekara has expressed confidence that the widespread financial mismanagement in several public enterprises would be adequately dealt with after implementing recommendations of the committee’s second report.

COPE which had completed its investigations on irregularities, malpractices and mismanagement in public enterprises would table its second report in Parliament next month, he said.

Minister Gunasekera said that it was a Herculean task to investigate 235 public enterprises but the committee headed by him completed the work successfully within the mandated time limit of one year, he said.

Strict financial discipline will be enforced in State enterprises on the recommendations of the report, he said.

The major recommendations include the introduction of accounting/auditing systems and bringing it to an international level, appointing professionals such as Chartered Accountants and Actuaries and long-term forecast of profitability and sustainability of all State enterprises, he said.

There are no Actuaries in State institutions unlike in the private sector, and there are only a few Chartered Accountants employed.

This shortcoming is mainly due to the poor remuneration in State institutions, he said.

Proposals have been presented to formulate new schemes to overcome this issue, the Minister said.