International Journal of Government Auditing – January 2003
XII OLACEFS Assembly Held in Mexico
From September 24-28, 2002, delegates from SAIs across Latin America gathered in Mexico City, Mexico, to celebrate the XII Assembly of the Organization of Latin American and Caribbean Supreme Audit Institutions (OLACEFS). The Mexican SAI (Auditoría Superior de la Federación) hosted the assembly. Participating countries were Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Cuba, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Paraguay, Portugal, Panama, Peru, Puerto Rico, Spain, and Venezuela. Observers included representatives of the INTOSAI General Secretariat; the INTOSAI Development Initiative; the World Bank; EUROSAI; the European Court of Audit; and this Journal.
Don Arturo González de Aragón, Auditor General of Mexico addresses the Inaugural Ceremony of the XII OLACEFS Assembly
Inaugural Ceremony
During the inaugural ceremony, the Honorable Vicente Fox Quesada, President of Mexico, welcomed the delegates, stressing the ties of cooperation, brotherhood, and history that link Mexico to other countries in the hemisphere and around the world. He underscored the importance of the mandate of the SAIs in every country’s development and the commitment of his government to provide the independence and necessary resources for the Mexican SAI to carry out its task. In his opening remarks to the assembly, Dr. Genaro Matute Mejía, Comptroller General of Peru and President of OLACEFS, expressed his thanks to the Mexican SAI for its excellent organization of the assembly. He also sketched the importance of the evolving role of OLACEFS since its founding in 1965 and the common values that unite the SAIs: independence, transparency in service to democracy, and the fight against fraud and corruption. Don Arturo González de Aragón, Auditor General of Mexico, echoed these themes and emphasized the importance of the mandate the SAIs of Latin America share to help ensure that ineptitude, irresponsibility, and corruption not be the norm for government in the region during the 21st century. Following the inaugural ceremony, Francisco Barrio Terrazas, Secretary of the Office of Auditing and Administrative Development of the Mexican Government, outlined the three-pronged integrated anticorruption program of the government (punitive, preventive, and educational).
Technical Theme Presentations
The XII OLACEFS Assembly was organized around three technical themes. Plenary addresses introduced each theme, following which delegates discussed related professional and technical issues in principal papers and other presentations. Conclusions and recommendations were developed and approved for each theme.
Theme I: SAI Experiences in the Audit of Public Works
Brazil was the coordinator, the Dominican Republic was the moderator, and Guatemala was the rapporteur for this theme. The presenters discussed the statutory framework for public works, the audit process (pre-, post- and concurrent audit), and the goal (making public expenditures transparent. The conclusions and recommendations emphasized the need
- to use the services of technical experts in these audits;
- to focus not only on compliance with laws and regulations, but also on the instruments that guide overall planning for public works and on protection for the environment; and
- to rigorously combat any acts of corruption that these audits uncover.
Theme II: Auditing Information Systems
For this theme, Colombia was the coordinator, Cuba was the moderator, and Venezuela was the rapporteur. The presenters emphasized the new challenges created by rapidly
changing technology and increasing interdependence in the e-government age.
Conclusions and recommendations included the following:
- SAIs should promote development and investigative activities and an ongoing revision of audit methodology because SAIs still lack experience in this subject matter.
- Auditors should modernize their approaches and use of information technology tools in their work as the SAIs of the future will be based on computerized tools.
- SAIs should consider the use of international standards to prevent fraud in government systems.
Theme III: Strengthening SAIs: Experiences and Proposals for Action
For this theme, Costa was the coordinator, Ecuador was the moderator, and Bolivia was the rapporteur. The conclusions and recommendations included the following:
- SAIs should actively participate in the revision of their legislative mandates to ensure that any changes made correspond to the demands of society and strengthen the SAIs’ independence.
- SAI modernization processes should be accompanied by improvements in the management of the entities that are audited.
- SAIs should assume a proactive role in strengthening internal control in the public sector to help achieve the objectives of public management.
Administrative Issues
During the general business session on the last day of the assembly, a new president and secretariat of OLACEFS were elected, in accordance with changes approved at the 2001 General Assembly. Venezuela was elected to the presidency of OLACEFS for a 2-year term. Dr. Clodosbaldo Russián, Comptroller General of Venezuela, is the new president of OLACEFS. Also, Panama was elected to a 6-year term as the Secretariat of OLACEFS. Cuba, where INTOSAI was first established in 1953, was named as the site of the OLACEFS assembly in 2003, the 50th anniversary of INTOSAI.
Other Activities
Following the completion of the General Assembly, delegates and invited guests toured the ancient pyramids of Teotihuacán, on the outskirts of Mexico City.
For more information, contact the OLACEFS General Secretariat, c/o Contraloría General, Av. Balboa y Av. Federico Boyt, Apartado 5213, Zona 5, Ciudad de Panama; telephone: ++ 507 264 00 59; fax: ++507 269 00 94; email: centrodeinformacion@contraloria.gob.pa; Internet: www.contraloria.gob.pa.