Commonwealth Fund

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Baroness Scotland, the head of the Commonwealth Secretariat , has been criticised by the auditors for the "bypass" usual tender procedure rules for

The has exposed The British government, whose funding from the Commonwealth Secretariat , The Body that runs The International organization in London , has learned BBC.

UK diplomats said that a woman from Scotland, to the Secretary-General of the Commonwealth , the United Kingdom, the annual £4. 7m will be forfeited voluntary contributions to the Secretariat to improve its financial procedures.

The Secretariat insisted that it was the implementation of the recommendations of the external auditor.

The British decision came after Lady Scotland has been criticised by the auditors for the "bypass" usual tender procedure rules, when they awarded a lucrative consulting contract to lead a company, from a friend.

The auditors also discovered that the procurement rules were repealed by the Secretariat not less than 50 times over three years.

Both New Zealand and Australia have also advised to use their discretionary funding to the Commonwealth Secretariat , to its financial systems to be sharpened and checked by external auditors.

The British decision threatens to plunge, the Secretariat is in a financial crisis and raise fresh questions about Lady Scotland's leadership.

Commonwealth heads of state and government have already rejected calls to give Lady Scotland, an automatic second term in office, when It Comes for renewal this year.

the financing of The crisis in the head came last week at the Commonwealth high commissioners in London , to discuss together on a form of organization of the board of Governors met to see the results of The Investigation by the external auditors, KPMG.

The Commonwealth Secretariat is the Central administrative hub for the intergovernmental organization, which consists of 54 countries - Many of them are former British colonies and includes almost a third of The World 's population.

About two-thirds of the Commonwealth Secretariat , the funding - around £18. 4m in the year 2018 - will be the automatic subscriptions by member States.

But there is also a second budget for the Secretariat - the Commonwealth Fund for Technical cooperation - this is arbitrary and represents about a third of its funds, worth around £12m in The Most recent audited financial statements. The United Kingdom is the largest contributor to this Fund.

A high-ranking British diplomat, Lady Scotland, wrote on 3. To say February, that further UK funding would be suspended until the Commonwealth Secretariat , the compliance with the recommendations of the KPMG Report .

These terms and conditions contain a register of the occasions when the procurement were repealed rules, a list of real and potential conflicts of interest and an updating of The Body 's whistleblower policy.

The official of the Secretariat gave a deadline of 21 February to implement the reforms, which must be signed by The Chairman of the Commonwealth of the independent audit Committee.

A spokesman for The Foreign office said: "We are committed to an effective Commonwealth provides for its member States, we have A Number of conditions on the UK funding the Commonwealth Fund for Technical cooperation for the current year.

"to ensure These conditions, the Secretariat for public procurement-Directive and its implementation in line with international best practice. "

A Commonwealth spokesman said: "The Commonwealth Secretariat to comment on the private exchange and its member States.

"keep The Secretariat fully with the audit process and the recommendations accordingly. "

'Apparently insolvent'

New Zealand also has its £1. 5m-contribution to keep.

A spokesman for its Ministry of Foreign Affairs and trade, said: "An independent examination of The Report by KPMG has identified material weaknesses in the Commonwealth Secretariat 's approach to managing procurement. As a result, New Zealand has put on hold, their voluntary financial contributions to the Secretariat , until we get independent confirmation of the recommendations from the audit have been addressed in The Report by the Secretariat . "

Australia went One Step further and cut funding for the Commonwealth Secretariat , the 260,000 quota to be implemented from £414,000, and has its remaining contribution of £to the reforms.

A spokesman for Australia's Department of Foreign Affairs and trade, said: "This new financing will be paid this amount only after independent confirmation that the identified problems have been addressed in the audit, by the Secretariat . "

Commonwealth high commissioners called at KPMG last September, amid concerns about the Secretariat and the financial procedures.

The resulting Report by the Commonwealth audit committee accused of Lady Scotland, "bypassing" the usual tender procedure rules, the award of £250,000 Commission to KYA Global to carry out an assessment of the Secretariat .

The consulting company was owned by Lord Patel of Bradford, a friend of Lady Scotland, and a fellow labour peer.

Lady Scottish lawyers have insisted the decision to award a contract to Mr. Patel's company was fully justified, and compliance with procurement procedures, at the time

The audit Committee Report from last November - claims Mr Patel company payment was "obviously incapable" at the time with debts of More Than £40,000. And it is said that the Commonwealth Secretariat was the controller with KYA Global's final Report on its recommendations.

The Report also found that the Secretariat had no register either of tender waivers and conflicts of interest, and was not able to, why. Under the Commonwealth legislation, the tender procedure may be cancelled, under certain circumstances, such as when there is a decision to be taken urgently or when there is not enough suppliers.

The Committee identified was 50 times between July 2015 and June 2018 in the case of the conventional tenders, was repealed Secretariat through the Commonwealth . Some of these decisions, Lady Scotland's appointment predated in April 2016.

Lady Scottish lawyers have insisted that the decision for the award of The Contract to Mr. Patel's company was fully justified, and compliance with, procurement procedures at the time.

In a statement last month, Lady Scottish solicitors, Carter-Ruck, said KYA Global Ltd was awarded the two contracts "on the basis of its proven track record in Change Management consulting" and his services were needed "urgently" at the beginning of Lady Scotland's office.

He said: "This decision was completely justified and SG Scotland, it was pointed out that this adherence to the procurement procedures were in force at the time. "

The Statement continued: "The Secretariat has been fully met, with The Request that its auditor, and has adopted and implemented, or the implementation of its recommendations. "

baroness scotland, the commonwealth, kpmg, foreign & commonwealth office, uk government

Source of news: bbc.com