The Court of Accounts is the supreme institution exercising external subsequent financial control over the formation, administration and use of the financial resources of the state and of the public sector. The Court of Accounts also exercises jurisdictional prerogatives under the terms of the present law. The Court of Accounts functions near the Parliament of Romania and performs its activity independently, in keeping with the provisions of the Constitution and of the laws of the country.
The Parliament appoints the President of the Court of Accounts, its vice-president and the presidents of the sections from among the counsellors of accounts. The persons appointed in the offices of President and vice-president shall have higher economic or juridical studies. For the appointment as counsellor of accounts, the following conditions must be met: an experience of at least fifteen years in economic and financial or juridical activities, higher economic or juridical studies, and a high professional competence. The head of the SAI is appointed for a 6 years tenure, and this fixed tenure is the condition of service of the Head of the SAI to secure independence of the SAI. Cooperative relationship exists with the other branches of Government.
The Court of Accounts exercises its external subsequent financial control function over the formation, administration and use of the financial resources of the state and of the public sector, as well as over the management of the public and private patrimony of the state and of the administrative-territorial units. By exercising its control, The Court of Accounts aims at ensuring that the law is observed in the management of the material and financial means. Also, The Court of Accounts analyses the quality of financial administration from the point of view of the economy, efficiency and effectiveness.
The Court of Accounts has free access to whatever acts, documents and information are necessary for the exercise of its control and jurisdictional functions, whoever the legal or natural persons possessing the acts, documents and information may be. All legal and natural persons subject to the control or jurisdiction of the" Court of Accounts are obliged to provide the acts, documents and information required on the dates set by the Court, and to ensure its free access to their seats if the Court decides to undertake on-site controls or examinations. If, during the exercise of its functions, the Court of Accounts takes knowledge of information that constitutes state, office, commercial or individual secrets, it is obliged to observe its secrecy and to reveal it only to the entitled authorities.
The SAI has powers of requisitioning all records of the auditee departments/organisations to discharge its mandate. Further, it has powers to enforce or initiate enforcement action to secure access to needed records, which are not produced. However, the SAI does not have power to seal, search and seize documents and other related items considered necessary for audit and inspection. It has the powers to seek testimonials of the persons concerned (appearances and answers) of the persons concerned or those who are deemed to have been involved in the matter subject to audit and inspection.
As regards the powers to seek co-operation of persons other than agencies subject to audit and inspection, the SAI has free access to deeds, documents and information necessary for its control and jurisdictional functions, whatever might be the natural or legal person holding them. The SAI has powers of instructing government investigating agencies by applying to the organisms of the Ministry of Finance. Regarding the authority to re-examine its own adjudication, there is a jurisdictional recourse to the Jurisdictional Section of the Court of Accounts and recourse at the Supreme Court of Justice.
The SAI can decide on claims of interested persons in connection with official actions, duties and behaviour of persons subject to audit and inspection. The SAI has the authority to dispense with, in whole or part, the audit of Federal, Provincial and local Governments accounts and other related matters. It has powers to take punitive action and/or impose surcharges.
The SAI has powers to access the computer systems of the auditees and to download and use electronic data either in site of off site. Further it can also review the development of computer systems of the auditees and suggest/enforce any controls.
The main duty of the Court of Accounts is to verify:
In exercising its duty provided under art. 22, on the basis of its own control programme, the Court of Accounts verifies during the budgetary year and at its end:
By performing controls on the legal persons provided under article 18, the Court mainly has in view:
a) the exactness and truthfulness of the balance sheets and of the profit and loss accounts;
b) the discharging of financial obligations towards the budget or other funds established by law;
c) the use of the funds allotted from the budget or from special funds, according to the established purpose;
d) the quality of economic and financial management, if this affects the rights of the state, the administrative-territorial units or the public institutions or if obligations are imputed to them.;
e) the economy, efficiency and effectiveness of public acquisitions.
The Court of Accounts is composed of: The Subsequent Financial Control Section, The Jurisdictional Section, The Jurisdictional Board of The Court of Accounts, the district chambers of accounts and the chamber of accounts of the municipality of Bucharest. The Court of Accounts has a General Secretariat.
Financial public prosecutors exercise their function near the Court of Accounts.
The Court of Accounts draws up its own budget, which is provided for distinctly in the state budget. The control of the budget of the Court of Accounts is exercised by a commission especially established by the two chambers of the Parliament. The Court of Accounts submits to the Parliament for its approval, the execution of the budget proposed in the first session of each year, with the endorsement of the commission.
It is within the competence of the Court of Accounts to set the minimum amount limits from which the accounts specified in the preceding article are subject to its control every budgetary year. The Court also analyses the legality of the concession or leasing of goods which constitute public propriety;