Financial Audit Reveals URA’s Undocumented Expenses and Revenue Discrepancies

The financial audit conducted by the State Audit Institution (DRI) has uncovered significant discrepancies within the financial records of the Civil Movement URA for the year 2024. The audit revealed unrecorded expenses amounting to €4,620.61 and underreported revenues totaling €18,807.64.

In its report, the DRI indicated that the overall financial statement of URA fails to meet essential material aspects of fair and objective presentation, which is required by current financial reporting standards. The audit was led by a team consisting of Vesna Mihailovic, Chairwoman of DRI, and Dr. Milan Dabovic, a member of the audit team.

The DRI’s findings noted inconsistencies in URA’s compliance with various legal frameworks, including the Law on Financing Political Entities and Election Campaigns. The report specifically pointed out breaches related to Articles 14, 24, 48, and 49 of the law, among others. The audit also identified failures to maintain adequate accounting records concerning the origin, amount, and structure of revenues, assets, and expenses.

According to the DRI, URA has outstanding obligations from the local elections in Podgorica amounting to €33,432.30, which were not settled by the closing of the election bank account. Additionally, the party did not adequately record expenses totaling €40,119.09 in the appropriate accounts. Irregularities were also noted in the inventory and documentation of assets.

As a result of these findings, URA is required to submit an action plan to implement the DRI’s seventeen recommendations by November 16, 2025. Furthermore, a report detailing the execution of these recommendations must be delivered by April 16, 2026.

Due to the negative opinion expressed by the DRI regarding URA’s financial practices, the final audit report for the 2024 financial statement has been forwarded to the Committee for Political System, Justice, and Administration of the Parliament of Montenegro. This transmission is part of a protocol of cooperation between the Agency for the Prevention of Corruption and the DRI, highlighting the seriousness of the audit’s conclusions.

The implications of these findings raise concerns about the financial governance of political entities in Montenegro, emphasizing the need for transparency and accountability in their operations.