14 organisations benefit from the Good Causes Fund
Finance Minister says concern raised by Auditor General has been addressed and a new system adopted.
Between 2008 and 2012, over €10 million were donated to 600 organisations, beneficiaries of the National Lotteries Good Causes Fund.
Set up eight years ago, the Fund generates its income through a percentage contributed from the amount of tax payable from gaming activity and unclaimed prizes.
Presenting 14 organisations with a letter of commitment, Finance Minister Tonio Fenech said this fund was beneficial to help voluntary organisations whose input contributed positively to society at large.
"We hope to implement the initiatives proposed in Budget 2013 to help voluntary organisations during the next legislature," Fenech told the organisations.
The finance minister added that he hoped that the Good Causes Fund remained a fund from which voluntary organisations - whether philantropical, cultural, educational or sports - could benefit.
In his annual audit report on the public accounts for 2011, the Auditor General reported finding insufficient supporting documentation, evidencing the utilisation of funds granted to beneficiaries, during a review of the National Lotteries Good Causes Fund administered by the Ministry of Finance, for the years 2006 to 2010.
"Other shortcomings included funds distributed before completion of projects, receipt of funds not always backed-up by a signed declaration from the respective beneficiaries, and incomplete application forms, if at all."
But according to the Finance Minister, these shortcomings have long been addressed, when the Auditor General first sounded the alarm on a number of issues.
Fenech explained that the system has since changed, where today the beneficiaries receive the funds after the project has been completed.
"We today present the beneficiaries with a letter of commitment. On their part, the beneficiaries present us with all the necessary invoices to show that the project is actually taking place and all the funds are going to the said project," Fenech said.