News Release Archive

The auditor general today tabled a special report under Section
15 of the Auditor General Act. The report provides a commentary
on the province's 1997 non-consolidated financial statements
released by the minister of finance Aug. 20.

While complimenting the minister and his department on the
progress that has been made in improving the quality of
accountability information and reporting as well as supporting
the initiatives that are planned, the auditor general repeated
the concern expressed in his 1996 annual report regarding the
application of an inappropriate accounting policy. This policy
resulted in an overstatement of the deficit in 1995-96 of

Continuing to apply this policy in 1996-97 resulted in
overstating the surplus of $8,276,000 by $39,198,516. Applying
generally accepted accounting principles, a deficit of
$30,922,516 would have been reported.

Copies of the special report are available at the Nova Scotia
Government Bookstore, 1700 Granville St., Halifax,
1-800-526-6575. It can also be viewed at on the Internet.


Contact: Auditor General Roy Salmon

ngr               August 22, 1997 - 10:05 am