Audit of selected local currency - financed activities of the El Salvador Ministry of Public Health and Social Assistance

In 1985 and 1986, El Salvador"s Ministry of Public Health and Social Assistance did not retain inventory records to account for the receipt and distribution of medicines bought in those years for the two Projects. In 1987, the Ministry retained documentation accounting for receipt and distribution of drugs; however, it did not apply existing inventory control systems. This caused some deficiencies in the receipt, distribution, and storage of drugs purchased under the project. Further, the Ministry did not always comply with applicable Government of El Salvador regulations and good principles of management regarding accountability. From 1985 to 1988, the Ministry bought and delivered about $3.5 million in drugs and medical supplies under the project to 359 hospitals and health units for use in treating patients. In addition, it implemented an educational campaign for dengue fever control. According to the head of the Malaria Unit, the incidence of dengue fever decreased as a result of the campaign. This report contains four other findings. (1) The Ministry warehouses should implement better inventory control systems. (2) The malaria implementing unit did not have adequate internal controls and records. (3) The Ministry made a major real estate purchase without considering other properties. (4) The technical unit could not account for equipment and furniture purchased with project funds. (Author abstract)