The report also notes the failure of statutory bodies to report to the minister or to lay their financial statements before the National Assembly. Raj Jugurnath therefore recommends that the amendment of the Statutory Bodies (Account and Audit) Act should make provisions for specific periods given to the boards for the submission of their annual reports to the minister as well as to for submitting the annual report to the National Assembly.

Despite the implementation of audit committees in ministries and departments, the audit director found that there were still constraints and that the committees have not functioned as expected. It is true that audit committees are a new concept and it will take time to achieve the targeted objectives but there is a need for committee members to feel more involved in the committee. The report also underlined, ?Unlike other committees, members of the audit committee are not remunerated for the extra effort and time spent?.

In view of the fact that the 2002-03 report had already pointed at the ?lack of accountability and transparency in the traditional model of public administration where there was no system of proper reporting and accounting at the ministry and departmental level?, the audit director cannot fail to be delighted with the introduction of the PBB. But he regrets that ?no key strategic policies were formulated and entrusted to ministries/departments?. As a result, the implementation plan of the PBB ?is clearly utopian,? he noted. ?The time frame of one year for the launching of the PBB from scratch is definitely unrealistic,? states the report. The more so as it appears difficult for the audit director to shift to the PBB without any trial period.

The audit director also commented on the perceived low level of productivity in the public sector and found that ?such remarks are not totally founded?. There is a shortage of manpower that is ?bound to cause disruption in service delivery, especially as the bulk of officers in post (around 70 %) are concentrated in three essential sectors ?education, health and law and order ? that devolve upon the government. The core of the civil service is manned by some 14,500 officers only?.

<B>A glimpse into a few departments?</B>

<B> Prisons: </B>?More than seven years since its inception, a new prison complex has still not been built despite the acute problem of overcrowded prisons,? states the report. It was supposed to accommodate 500 detainees and the land was already identified in Rose-Belle eight years back.

<B> National Development Unit:</B> ?Again it is suggested that the NDU must ensure that projects are completed on time.? Besides increased consultancy costs and additional claims from contractors, delays may give rise to changes in user?s needs resulting in re-design of projects as well as disruption of the cash flow of the NDU.

<B>Ministry of Housing and Land:</B> ?Land acquisition is a lengthy and time-consuming process and is costly. Acquisitions are being made without a firm commitment to implement projects.? The report makes it clear that the responsibility of the ministry does not stop when the land is invested in. ?It should ensure that Government resources are used economically, effectively and efficiently.?

<B>Ministry of Education: </B>?There were delays in the implementation of projects.? A priority list of projects was submitted to the Ministry of Public Infrastructure (MPI) in March 2006 whereby seven secondary schools projects were identified for implementation on a fast track under the item ?construction/conversion/extension of secondary schools?. Although funds were provided for all of them, work was done only on four schools.