Court of Auditors (Spain)

Last updated
Court of Auditors
Tribunal de Cuentas
Escudo de Espana (mazonado).svg
Coat of arms of Spain
Tribunal de Cuentas del Reino (Madrid) 01.jpg
Headquarters of the Court of Accounts, in Madrid.
Agency overview
FormedJuly 2, 1437;584 years ago (1437-07-02)
Current name: November 10, 1828
Jurisdiction All the administrations of Spain
Headquarters Fuencarral Street, 81, Madrid
Employees712 (31 December 2020) [1]
Annual budget € 74.97 million (2022) [2]
Agency executive
  • Enriqueta Chicano Jávega, President
Parent department Cortes Generales
Website tcu.es

The Court of Auditors (Spanish : Tribunal de Cuentas) is the supreme governmental accounting body of Spain responsible of the comptrolling of the public accounts and the auditing of the accountancy of the political parties, in accordance with the Constitution and its Organic Act.

Contents

The Court of Auditors is composed by the President and 12 counsellors. The Counsellors are appointed by the Cortes Generales, six of them by the Congress and the other six by the Senate. To be appointed Counsellor of the Court it is needed to be a person with knowledge in audit, judge, prosecutor, university teacher or a public servant in an office that requires superior studies, lawyer, economist or trade professor, all of them with recognized experience and with fifteen years of professional activity. The Court Account Counselors are independent and irremovable. Their term is 9 years. [3]

History

The very first origins of the Court go back to the Reign of John II of Castile. Álvaro de Luna, Constable of Castile, when the King was advised to approve a royal order to simplify tax collection due to the difficulties in the collection of taxes and in the ordering of the accounts. This royal order was approved on July 2, 1437, and it regulated the Senior Accountants, a group of civil servants in charge of resolving economic conflicts and reclaming the money that was not paid in time.

During the reign of Isabella and Ferdinand, new ordinances were granted on January 9, 1478, to put an end to the backlog of outstanding accounts since 1454, in the Kingdom of Castile. The Accountancy was given the exclusive and absolute authority to claim, censor and reject all the accounts of public officials that handle flows and effects. The Senior Accountants were given the responsibility of reviewing them, those taken and completed, as well as determining and judging the scope of accounts. They are also authorized to proceed against any person or Council, and allow them to act on behalf of the Kings.

In the last years of the reign of King Charles I, on July 10, 1554, new royal orders were granted in Valladolid to the Senior Accountants. They increased the number of accountants and the amount of the accommodation right (it was a duty of the citizens of lend a room to the King's servants during their stay in town). It was also the first time that, in a judicial process of accounts, when accounts were considered extraordinary, or with some amendment, the norms included the obligation of the people who have been in charge of the accounts to take an oath on the veracity of confusing data.

In the reign of Philip II, the Senior Accountants werre helped by lawyers that advised them and the Treasury Council was created. In 1593, a new reform in the accounting system meant that the King's Council lose its powers in accounting and these were given to the Council of the Treasury, and incompatibilities were created for the Senior Accountants, not hallowing them to have another job at the same time.

In 1605 the Court of Auditors of the Indies was created in Mexico, Bogotá and Santa Fe to control the accounts of the Spanish territories in America.

The Constitution of 1812, passed by the Cortes of Cadiz, provided for the creation of an Accounting Office "to examine all accounts of public funds". In 1828, the ordinance establishing the Highest Court of Auditors was approved, and remained in force until 1851. In 1828, the ordinance establishing the Highest Court of Auditors was approved, and remained in force until 1851.

During the regime established in the Constitution of 1845, a series of major reforms were carried out in the financial administration of the State. The Organic Act of the Court of Auditors was approved in 1851, and this was the seed of the current institution, with responsibility for the financial control of Public Administration.

In 1870, a new Law on Organization of the Court of Auditors of the Kingdom was approved and was in force until the Supreme Court of the Treasury was established in 1924, which integrated both external and internal control functions of the public sector.

The Court of Auditors of the Republic was established in the Constitution of 1931 as the supreme audit body of the economic and management in the public sector. Its Organic Act was approved in 1934.

Rules adapting the institution to the political regime in force became established later. A Law on Organization, Functions and Procedures of the Court of Auditors of the Kingdom was approved in 1953 during the Franco regime. It was amended in 1961, when the Court of Auditors was defined as the supreme external audit body of the State, with the function of reporting to the Head of State and the courts the result of its audit activity and the recognition of a genuine judicial function.

The current Court of Auditors was established in its present form by the Constitution of 1978 as the supreme audit body of the economic and management for the public sector. It is independent of the executive power and is directly linked to the Spanish Parliament. [4]

Structure

The Court of Auditors is formed by the President, the Plenary, the Management Board, the Audit Section, the Prosecution Section, the Audit Counsellors, the Court of Auditors Prosecutor's Office and the General Secretariat. [3] It has a staff of over 700. There is clear evidence of nepotism, and reports speak of at least 100 members of staff being family members of current or former members of the Plenum or senior post holders. [5]

Even the Supreme Court complained in February 2013 of this politization, pointing out that the Court of Auditors had more civil servants appounted by political parties than staff who had won their jobs through civil service exams. [6]

President

The English version of the structure of the Court is here: https://www.tcu.es/tribunal-de-cuentas/en/organizacion/

The President is the head of the Court. The President represents the court, convenes and chairs the Plenum and the Management Board, oversees the personnel of the Court and is the body in charge of recruitment and control the budget.

Plenum

The Plenum, in general, deals with the audit function and proposes the approach to conflicts affecting the competences or powers of the Court of Auditors to Parliament. It also gives resolutions against the provisions and acts of other organs of the Court in the performance of governmental or staff-related functions.

The Plenum is composed of twelve Audit Counsellors (one of whom shall be the President) and the Chief Prosecutor of the Court of Auditors. The Secretary-General acts as secretary of the Plenum, with voice but without vote, and writes the minutes, reflecting the outcome of the deliberations and resolutions adopted.

The Plenum will meet at least once c month, except in the holiday period of August, as well as the extraordinary calls made by the President with justified cause, or upon request of three members of the Plenum. The quorum to validly constitute the meetings shall be two thirds of its members and their resolutions shall be adopted by a majority of participants, except in cases where the law requires a qualified majority.

The discussions of the Plenum are confidential, must be kept secret by attendees and all those who could know them by reason of their duties.

Management Board

The management board in general, sets the working conditions of the Court, exercises disciplinary powers in cases of gross misconduct, distributes cases between Sections and appoints delegates instructors.

The management board is composed of the President of the Court of Auditors and the Presidents of the Audit and Prosecution Sections. The Secretary-General acts as Secretary of the Management Board, with the right to speak but not to vote.

Audit Section

It is the body of the Court of Auditors assigned the functions of verifying the accounts of public sector bodies, reviewing and auditing accounts subject to audit, examining audit procedures conducted in the various departments and making proposals to the Plenum regarding the results of audit procedures (report, motion or memo) taken to the Spanish Parliament.

The Audit Section is organized into seven departments: four sectoral departments, which are aligned, as far as possible, with the broad areas of the financial-economic activity in the public sector; two territorial departments, one of which audits economic and financial activity of the Autonomous Communities and Autonomous Cities and another for local authorities and a department of Political Parties.

The section consists of seven Audit Counsellors appointed by the audit departments. One of them is also the President of the Audit Section.

Prosecution Section

It is the jurisdictional body of the Court. Among its functions are preparing the Summary of Court proceedings during the relevant financial year and making an appropriate proposal to the Plenum, submitting to the Plenum the amendments to be made to the structure of the Section, as well as creating new units when the number of cases so requires and laying down the criteria on the basis of which case-allocation is decided among the Units and Counsellors of the Prosecution Section.

The Prosecution Section comprises the President and the Audit Counsellors, aware of court proceedings as first instance bodies or attached to the Courtroom or Courtrooms.

Court of Auditors Prosecutor's Office

The Court of Auditors Prosecutor's Office functionally reports to the Attorney General and is composed of the Chief Prosecutor (member of the Plenum of the Court), and the Prosecuting Attorneys. The Prosecutor of the Court of Auditors is appointed by the Government.

The Court of Auditors Prosecutors’ Office is responsible for being heard in audit procedures before final approval and issue its opinion on the General State Accounts and the other reports, memoranda, motions and memos of the Court of Auditors, being able to request the adoption of the measures that it deems appropriate in order to assign liability for the financial responsibilities that may result; take notice of all the audit procedures and court proceedings being dealt with in the Court of Auditors for the purpose of clarifying the possible financial liabilities arising from them and bringing an action for accounting liability and deducting the claims of this nature in the repayment for debtor balance proceedings and in the auditing of accounts.

General Secretariat

The General Secretariat performs the functions leading to the proper exercise of governmental powers of the President of the Court, the Plenum and the Management Board in all matters relating to the Court of Auditors the internal system.

The General Secretariat is vested with the powers of management, processing, documentation and registration of matters within the competence of the President, the Plenum and the Management Board. The Secretary-General acts as Secretary of the Plenum and the Management Board, with the right to speak but not to vote.

Related Research Articles

Accountant Practitioner of accounting or accountancy

An accountant is a practitioner of accounting or accountancy. Accountants who have demonstrated competency through their professional associations' certification exams are certified to use titles such as Chartered Accountant, Chartered Certified Accountant or Certified Public Accountant, or Registered Public Accountant. Such professionals are granted certain responsibilities by statute, such as the ability to certify an organization's financial statements, and may be held liable for professional misconduct. Non-qualified accountants may be employed by a qualified accountant, or may work independently without statutory privileges and obligations.

Audit Systematic and independent examination of books, accounts, documents and vouchers of an organization

An audit is an "independent examination of financial information of any entity, whether profit oriented or not, irrespective of its size or legal form when such an examination is conducted with a view to express an opinion thereon.” Auditing also attempts to ensure that the books of accounts are properly maintained by the concern as required by law. Auditors consider the propositions before them, obtain evidence, and evaluate the propositions in their auditing report.

National Audit Office (United Kingdom) UK Parliamentary auditing body

The National Audit Office (NAO) is an independent Parliamentary body in the United Kingdom which is responsible for auditing central government departments, government agencies and non-departmental public bodies. The NAO also carries out value for money (VFM) audits into the administration of public policy.

Court of Audit (France)

The Court of Audit is the national French administrative court charged with conducting financial and legislative audits of most public institutions and some private institutions, including the central Government, national public corporations, social security agencies, and public services. The Court is essentially a cross between a court of exchequer, comptroller general's office, and auditor general's office in common-law countries.

Judiciary of France Overview of Frances court system

In France, career judges are considered civil servants exercising one of the sovereign powers of the state, so French citizens are eligible for judgeship, but not citizens of the other EU countries. France's independent court system enjoys special statutory protection from the executive branch. Procedures for the appointment, promotion, and removal of judges vary depending on whether it is for the ordinary or administrative stream. Judicial appointments in the judicial stream must be approved by a special panel, the High Council of the Judiciary. Once appointed, career judges serve for life and cannot be removed without specific disciplinary proceedings conducted before the Council with due process.

External auditor

An external auditor performs an audit, in accordance with specific laws or rules, of the financial statements of a company, government entity, other legal entity, or organization, and is independent of the entity being audited. Users of these entities' financial information, such as investors, government agencies, and the general public, rely on the external auditor to present an unbiased and independent audit report.

South African Institute of Chartered Accountants

The South African Institute of Chartered Accountants (SAICA), South Africa’s pre-eminent accountancy body, is widely recognised as one of the world’s leading accounting institutes. The institute provides a wide range of support services to more than 48 000 members and associates who are chartered accountants, as well as associate general accountants and accounting technicians.

The Public Company Accounting Oversight Board (PCAOB) is a nonprofit corporation created by the Sarbanes–Oxley Act of 2002 to oversee the audits of public companies and other issuers in order to protect the interests of investors and further the public interest in the preparation of informative, accurate and independent audit reports. The PCAOB also oversees the audits of broker-dealers, including compliance reports filed pursuant to federal securities laws, to promote investor protection. All PCAOB rules and standards must be approved by the U.S. Securities and Exchange Commission (SEC).

Institute of Chartered Accountants of India National professional accounting body in India

The Institute of Chartered Accountants of India (ICAI) is the World's second largest professional accounting body and largest professional accounting body of India under the ownership of Ministry of Corporate Affairs, Government of India. It was established on 1 July 1949 as a statutory body under the Chartered Accountants Act, 1949 enacted by the Parliament for regulating the profession of Chartered Accountancy in India.

Court of Audit (Greece)

In Greece, the Hellenic Court of Audit is The Supreme Audit Institution of the Hellenic Republic, auditing the use of public funds in Greece according to the principles of legality, regularity and sound financial management. Synedrio is also the Supreme Financial Court, one of the three Supreme Courts of Justice, grounded on the Constitution, provides for its jurisdictional, advisory and auditing competences.

International Standards on Auditing

International Standards on Auditing (ISA) are professional standards for the auditing of financial information. These standards are issued by the International Federation of Accountants (IFAC) through the International Auditing and Assurance Standards Board (IAASB). According to Olung M, ISA guides the auditor to add value to the assignment hence building confidence of investors.

Judiciary of Portugal

The Judiciary of Portugal is a system of courts that together constitute one of the four organs of Sovereignty as defined by the Portuguese Constitution. The courts are independent from the other three Portuguese organs of Sovereignty.

The Institute of Chartered Accountants of Nigeria (ICAN) is a professional accountancy body in Nigeria. It is one of the two professional accountancy associations with regulatory authority in Nigeria, the other being the Association of National Accountants of Nigeria (ANAN). The relationship between the two organizations has been tense. In 2007 ICAN attempted to have the bill establishing ANAN declared void.

International Organization of Supreme Audit Institutions Worldwide affiliation of governmental entities

The International Organization of Supreme Audit Institutions (INTOSAI) is an intergovernmental organization whose members are supreme audit institutions. Nearly every supreme audit institution in the world is a member of INTOSAI. Depending on the type of system used in their home country, the members of INTOSAI may be variously titled the Chief Financial Controller, the Office of the Comptroller General, the Office of the Auditor General, the Court of Accounts, or the Board of Audit.

In Bangladesh, the profession of accountancy developed during the British colonial period. The basic requirements for financial reporting by all companies in Bangladesh are provided by the Companies Act of 1994. Today, it is represented by two professional bodies, the Institute of Cost & Management Accountants of Bangladesh (ICMAB) and the Institute of Chartered Accountants of Bangladesh (ICAB).

A supreme audit institution is an independent national-level institution which conducts audits of government activities. Most supreme audit institutions are established in their country's constitution, and their mandate is further refined in national legislation. Supreme audit institutions play an important role in providing oversight and accountability in a country by monitoring the use of public funds and reviewing the quality and accuracy of government financial reporting. They also contribute to anti-corruption efforts. Depending on the country, a supreme audit institution may be called a court of audit, auditor-general or the board of audit. Nearly every supreme audit institution in the world is a member of the International Organization of Supreme Audit Institutions, which works to establish and disseminate international standards and good practices.

National Board of Accountants and Auditors

The National Board of Accountants and Auditors (NBAA) is an accounting professional and regulatory body operating under the Ministry of Finance and Economic Affairs, the sole body to certify accountants in Tanzania. It began operating on 15 January 1973.

Comptroller and Auditor General (Bangladesh) Supreme Audit Institution (SAI) of Bangladesh

The Office of the Comptroller and Auditor General of Bangladesh (C&AG) is the Supreme Audit Institution (SAI) of the country. Like the SAIs in many other countries across the world the institution is established by the Constitution of Bangladesh. This institute is responsible for maintaining accounts of the republic and audits all receipts and expenditure of the Government of Bangladesh, including those of bodies and authorities substantially financed by the government. The reports of the CAG are discussed by the Public Accounts Committee, which is a standing committee in the Parliament of Bangladesh.

The Comptroller and Auditor General (C&AG) is the constitutional officer responsible for public audit in Ireland. The Office of the Comptroller and Auditor General is the public audit body for the Republic of Ireland and is headed by the C&AG.

Superior Auditor of the Federation Supreme audit institution of Mexico

The Superior Auditor of the Federation is the supreme audit institution of Mexico. A technical agency of the Chamber of Deputies, it is empowered to conduct external audits of federal, state and local governments and agencies. The ASF is a member of the International Organization of Supreme Audit Institutions.

References

  1. ↑ "2020 Memory of the Court of Auditors" (PDF). Court of Auditors: 7. 2020.
  2. ↑ "Court of Auditors Budget for 2022" (PDF).
  3. 1 2 "Organic Law 2/1982, of May 12, of the Court of Auditors". www.boe.es (in Spanish). Retrieved 2018-09-17.
  4. ↑ The Institution and its background (PDF). Spain: Tribunal de Cuentas. pp. 2–14. Archived from the original (PDF) on 2018-09-18. Retrieved 2018-09-17.
  5. ↑ [http://politica.elpais.com/politica/2014/06/23/actualidad/1403548994_107851.html Los lazos de parentesco en el Tribunal de Cuentas alcanzan a 100 empleados. Los dos últimos presidentes del comité de empresa acumulan 17 allegados. Varios altos cargos tienen numerosos familiares en la institución.- El País .
  6. ↑ [http://politica.elpais.com/politica/2013/02/09/actualidad/1360438194_544177.html «El Supremo denuncia la politización del Tribunal de Cuentas.» El País .
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.