The Court of Auditors has deemed illegal the award of hotel services by the Government of Madeira (PSD/CDS-PP) to two companies during the covid-19 pandemic in 2020, says the audit report on the Institute of Health Administration, released today.
The Court of Auditors (TdC) clarifies that it looked at a sample of six contracts, the combined price of which amounted to 3.5 million euros, in order to assess compliance with the legality and regularity of the expenditure contracted in 2020 by the Madeira Health Administration Institute (IASAÚDE) to combat the pandemic caused by covid-19 and its effects.
“The Court concluded that the awarding of hotel services with full board and accommodation to the companies ITI – Sociedade de Investimentos Turísticos na Ilha da Madeira, S.A. and M. & J. Pestana, S.A. was illegal,” a press release states.
The authority adds that, before each contract was signed, payments were “illegally authorized” to those companies, amounting to 109,797 euros and 574,671 euros, respectively.
“Due to the lack of effective consideration, the portion of the illegal payments, relating to the occasional food services associated with the so-called guarantee rooms (not occupied), is causing damage to the public purse, which must be reinstated,” says the ECA.
The Court specifies that the amounts to be reinstated are 8,701.82 euros, in relation to the contract signed with the company ITI – Sociedade de Investimentos Turísticos na Ilha da Madeira, S.A. and 106,419.64 euros, in relation to the contract signed with the company M. & J. Pestana, S.A..
“Despite the pandemic context, the internal control system of the Instituto de Administração da Saúde da Madeira revealed, with regard to the contracts included in the sample analyzed, important weaknesses that require corrective action,” says the Court of Auditors, recommending the implementation of procedures at the level of the internal control system.
The TdC also recommends that “strict compliance with legislation” on public procurement be ensured.
