Eureka! Institutional Repository

This work aims at analyzing the existing situation and the current framework of the Local Authorities with regard to the internal audit. The basic principle of every well-governed state and the characteristic of a healthy democracy is the control of those who manage the public finances of the country. The current institutional framework for supervision and control of the first degree Organizations of Local Authorities (OLA) and their businesses have weaknesses in their effectiveness. The phenomena of mismanagement and irregularities observed in recent years in these municipalities and their businesses call for a new legislative framework for their control and supervision. The institution of internal control in OLA it is now necessary to promote transparency, effective administration and the achievement of the objectives of virtuous financial management. The internal control function in each OLA is necessary because it only reduces the phenomena of mismanagement and fraud. Implementing governance standards is necessary because only then will the administration be able to exercise control if the standard procedures are in place to have the desired results and effective management of its resources