DND neglects to spend $1B

Department will have to return most of funds to treasury

The Department of National Defence did not spend more than $1.5 billion of its $21 billion budget for the 2010-11 fiscal year. Most of that sum will go back to government coffers, save for $444 million that DND will be allowed to carry over. The lapse in funds has been chalked up to poor management practices and a lack of procurement staff to oversee the funds allocated to proposed equipment purchases, the Ottawa Citizen reports. Similarly, in 2009-10, DND lapsed $1.18 billion in funds. In a 2009 report, auditor general Sheila Fraser pointed to inadequate financial management and monitoring of resources.

Ottawa Citizen

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