Annual report on Norad’s investigation cases 2023

About the publication

  • Published: February 2024
  • Series: --
  • Type: --
  • Carried out by: Internal Audit and Investigations Unit, Norad
  • Commissioned by: --
  • Country: --
  • Theme: --
  • Pages: 21
  • Serial number: --
  • ISBN: 978 82 8369 195 5
  • ISSN: --
NB! The publication is ONLY available online and can not be ordered on paper.

Annual report for Norad's investigation cases 2023

Norad’s grant recipients are responsible for ensuring that all public funds are used in accordance with the grant agreement, and that the use can be documented as required by the agreement. Good prevention and risk management will reduce the likelihood of funds being misused. If financial irregularities is suspected, the grant recipient must immediately report the matter. Zero tolerance for corruption and other types of financial fraud is a general principle in Norwegian aid work.

Norad's internal audit receives and processes cases of suspicion of financial fraud or sexual exploitation, abuse or sexual harassment affecting Norad's funds. In 2023, Norad introduced a requirement in standard agreement templates that suspicions of SEAH that merit an investigation must also be reported to Norad. In 2023, Norad received nine such notifications.

The annual report on investigation cases contains some of the results from this work through 2023. Norad received 108 notifications of in 2023. Of these, investigations were opened in 65 cases. In the majority of the cases, it can be established that there is substantially insufficient follow-up from Norad's grant recipient of its partner. The report shows which forms of sanctions were implemented and the amounts that had to be repaid as a result of the breaches of agreement. About NOK 16.5 million was repaid. The breaches of agreement happened in 22 countries, and embezzlement was the most widespread form of financial irregularities.

The annual report emphasizes that preventive work is more cost-effective than reacting when something has gone wrong. Good advice is given on how to use accounting information as part of the follow-up of measures. This preventive work and the work on investigation cases have many overlapping conclusions. Among other things, that weaknesses in the procurement processes and matters relating to salaries and allowances are among the processes where internal controls most often fail. The report points out that regular accounting audits rarely detect financial fraud. And that it often takes little effort to correct deficiencies, as long as management pays attention.

Published 13.03.2024
Last updated 13.03.2024