Financial Irregularities in the Palestinian Economic Sector, 2016

Report on the work of the Palestinian Deposit Insurance Corporation for the fiscal year 2016

- Disbursement of financial sums without meeting the legal conditions, including the Corporation executing the disbursement of a bonus... to members of the Board of Directors within days of the session being held and not on an annual basis, contrary to procedures..
 Conflict of interest in the Corporation: it was shown that the Chairman of the Board of Directors and also one member owned shares in member banks of the institution, contrary to procedures..

- A disclosure and transparency policy to publish data and reports regarding the Corporation and its tasks and achievements was not prepared and approved, contrary to procedures

- Procedures for compensating depositors in member banks in the event that one of the banks operating in Palestine is liquidated were not prepared and approved, contrary to procedures, which exposes depositors' funds to the risk of encountering some complications in compensation.

- Violations by the Corporation's Director General: an increase in the Director General's salary in the Corporation by 20%... contrary to the provisions of the Palestinian Deposit Insurance Corporation law.., where the increase amounted to four times the increase granted to other employees, which is a maximum of 5%!.

- Payment of a fixed transportation allowance to a Director General in the Corporation without a legal basis permitting that... which resulted in disbursements of financial sums in the amount of 12,900 dollars, in addition to an increase over the value agreed in the employment contract..500$ per month, and payment of 2,864 dollars as a fuel allowance to the Director General without a legal basis

· The Palestinian Deposit Insurance Corporation's response to the Court of Accounts report: providing justifications regarding the observations and violations in the report, affirming its compliance with implementing the recommendations contained in the report.