At the sitting held on 25 July, the Finance Committee considered the Report on the financial statement and regulatory audit of Public Enterprise “Elektromreza Srbije” for 2009, submitted by the State Audit Institution (DRI), Deposit Insurance Agency 2009 and 2010 activity reports and nominations and establishment of the proposal of the decision on the election of a member of the Council of the Governor of the National Bank of Serbia.

Radoslav Sretenovic, DRI Council President presented the Report on the financial statement and regulatory audit of Public Enterprise “Elektromreza Srbije” for 2009, completed in 2010 after the DRI amended its auditing programme and begun auditing the business dealings of public enterprises. After the audit was completed, the DRI prepared a Draft Report which was forwarded to the audited subject and to which the public enterprise filed an objection. A clarifying meeting was set up afterwards with DRI representatives, which served as basis for an Audit Report Proposal which obliged the “Elektromreza Srbije” PE to remove the perceived discrepancies within the set deadline and made eight recommendations for the improvement of their business dealings. At the same time, the DRI filed two legal actions against the persons responsible for the violation of the public procurement process at “Elektromreza Srbije” PE. “Elektromreza Srbije” PE acted according to the DRI report and removed the discrepancies, on which the DRI drafted a conclusion.

Following a short discussion the Committee members unanimously accepted the DRI Report on the financial statement and regulatory audit of Public Enterprise “Elektromreza Srbije” for 2009.

The Committee members went on to review the Deposit Insurance Agency 2009 and 2010 activity reports presented by the Agency Director Milorad Dzambic. Presenting the reports, he stressed that in both years the Agency used its own assets in its business dealings and returned 60 million EUR into the budget of the Republic of Serbia for 2009 and 30 million EUR for 2010. Both years’ deposit structure is still mostly made up of deposits of physical entities and long-term deposits. In his address he also mentioned the bankruptcy and liquidation of four big banks saying that the completion of the process, particularly in the case of Beogradska banka and Jugobanka, depends on the succession process.

Following a short discussion, the Committee members accepted the Deposit Insurance Agency 2009 and 2010 activity reports.

The Committee members deliberated on the nominations for a member of the Council of the Governor of the National Bank of Serbia and formulated a Proposal of the Decision on the election of a member of the Council of the Governor of the National Bank of Serbia. At the proposal of the Socialist Party of Serbia – United Serbia Parliamentary Group, Nikola Martinovic was nominated member of the Council of the Governor of the National Bank of Serbia.

The sitting was chaired by the Committee Deputy Chairperson Branka Ljiljak.