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The Parliamentary Committee for the Monitoring of Public Expenditure Development Plans and Control met today, Thursday, 24 February 2022, for the ex officio examination of the Annual Report of the Auditor General for the Year 2020 [CYPRUS BROADCASTING CORPORATION (CBC) - SPECIAL REPORT FOR THE YEAR ENDED 31.12.2019 (INCLUDING MATTERS ARISING AND CONSIDERED UP TO DECEMBER 2021) - SPECIAL REPORT 24.1.2022 (RIK/01/2022)] (File No. 23.04.039.002-2022, 05.14.007.001), in the context of which the findings of the said report in relation to the financial results of RIK for the year ended 31 December 2019 were discussed. The degree of compliance of the institution with the relevant institutional framework as a public service broadcaster and its ability to respond directly to the democratic, social and cultural needs of the Cypriot society, while providing quality information to the Cypriot citizen was also discussed.
In particular, the discussion focused on the financial situation of the Foundation as of 31 December 2019, according to which its total liabilities exceeded its total assets, while its ability to continue its activities seems to be based on the legal obligation of the Republic of Cyprus to cover any deficit presented in its annual budget approved by the House of Representatives, the continuation of the provision of state sponsorship, as well as its non-obligation to defend its assets. Furthermore, as mentioned, despite the recommendations of a study on the strategic and operational planning of the RIC indicating the need to reduce its staff, the Foundation not only does not take measures to address the problem, but, on the contrary, acts in such a way that the problem is increasing, without, in addition, observing the good practices and procedures required by the principles of good administration and sound financial management, and, in many cases, shows weaknesses and omissions in its compliance with the relevant legislation. He also noted that some of the findings of the report under consideration are long-standing pathologies of the Foundation and assured the Commission that it is the intention of the new Management Board to take all appropriate measures to streamline the organisation.
The Commission, recognising the role of the Foundation as a provider of quality broadcasting services, as well as the need for its modernisation, pointed out the need to promote measures to contain and/or gradually reduce its overall costs, in particular those related to its staff.
Secretariat of the Parliamentary Committee for the Monitoring of Public Expenditure Development and Control Plans
Email: parliamentary-committees@parliament.cy
(NΓ)
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