site.btaAudit Office Imposes BGN 312,000 in Fines for Public Procurement Violations in 2024

In 2024, the National Audit Office (NAO) probed open and negotiated procedures under the Public Procurement Act totalling BGN 139.9 million, the institution said on Wednesday. The amount included BGN 132.4 million in open procedures (142 cases) and BGN 7.4 million in negotiated procedures (89 cases). NAO also audited 99 public procurement contracts totalling BGN 21.6 million, concluded as a result of these two types of procedures.

The auditors issued 153 written statements of administrative violations under the Public Procurement Act against leaders of central government departments, town and village mayors and deputy mayors, among other officials. The NAO President pronounced himself in 104 cases, issuing 67 penal orders and 30 warnings. Fines totalling BGN 312,000 were imposed. Three statements of violation were followed by settlements as per Article 58d of the Administrative Offenses and Penalties Act.

By comparison, in 2023, NAO issued 53 written statements of administrative violations of the Public Procurement Act and imposed BGN 278,000 in fines. The data for 2022 show 13 statements and a BGN 77,487 worth of fines.

In 2024, administrative penalty procedures under the Public Procurement Act were most often initiated for the following violations: setting conditions which imposed undue restrictions or gave undue advantage to contract bidders; approving assessment parameters which did not allow objective comparisons of contract bids; failure of the contracting authority to apply the terms established by law; splitting procedures into separate parts to apply terms prescribed for lower values; opting for non-competitive procedures (negotiations without prior notice, or direct negotiations) when there were no circumstances to warrant it; and failing to provide within the legally established timeframe documents and information subject to publication in the Public Procurement Register.

In addition to sanctioning violations under the Public Procurement Act, NAO also issued 59 statements in 2024 about administrative violations of the Election Code. The NAO President issued 17 penal orders concerning such violations. Fines totalling BGN 51,000 were imposed. Ten penal orders were challenged.

A further two statements of administrative violations were drawn up under the Political Parties Act.