TURKISH PRIME MINISTRY INSPECTION BOARD

TURKISH ADMINISTRATIVE SYSTEM

Turkey has a prominent place among today’s developing countries by the length of its experiences on the fields of economy, culture, law and public administration. The Turkish administrative system is based upon certain fundamental political and legal principles stated in the constitution of 1982.
The Constitution starts with announcing that the political system is republican democracy and outlines fundamental characteristics of the Republic such as separation of powers, secularism, supremacy of law, constitutional government.


These political and legal principles as also apply to the organisation and the functioning of the Administration as well. Some of these principles maybe enumerated as follows.
• Legality Of The Administration
• The Rule Of Law
• The Concept Of The Social State
• The State Intervention In The Economic Field
• Secularism
• Indivisibility Of Administration
• Judicial Review By Administrative Courts
All above mentioned principles are the cornerstones and inseparable characteristics of the contemporary Turkish Administration, which is composed of two main branches: Central Administration and Decentralised Administration.
Central Administration is the core of the administrative organisation, both from structural and functional aspects. Decentralised Administration, which functions under the administrative tutelage of the former, is divided in three parts: Local Administration (municipalities, provinces, villages), Functionally Decentralised Organisations (State Economic Enterprises etc.) and Public Professional Organisation (Bar Associations, Trade and Commerce Chambers).
The central administration includes The Office Of The Prime Minister, Council Of Ministers and Consultative Agencies.
Provincial Organisations are the provincial units of the Ministries. The departments in Ankara are the headquarters of each Ministry and the units at the provinces are the field organisations.



The Council Of Ministers appointed by The President Of The Republic, who is a part of the executive and exercises various administrative powers and has no political responsibility and acting with the confidence of the Parliament is at the head of the Central Administration. The Prime Minister, according to the 1982 Constitution (articles112,109) is the head of both the Council Of Minister and the Administration in general.
The Prime Minister, as Chairman of the Council of Ministers, shall ensure co-operation among the Ministers, and supervise the implementation of the government’s general policy. Each Minister shall be responsible to the Prime Minister and shall also be responsible for the conduct of affairs under his jurisdiction and for the acts and activities of his subordinates. The Prime Minister shall ensure that the ministers exercise their function in accordance with the constitution and the laws and shall take corrective measures to this and the Ministers can be dismissed, by the President of the Republic, upon the proposal of the Prime Minister when deemed necessary .

CONTROL OF ADMINISTRATION
According to the structure of the Constitution and the principles of Turkish Administrative System, the “Administration” is not a satellite of the Executive, it is within the Executive branch, but a separate entity. It operates, however, in close relation with the Executive and under the supervision of the legislative, executive and judicial branches.



1. Control by The Prime Ministry Inspection Board
The Prime Minister by means of the board of inspectors , may inspect both central and de-centralized administration (all public organizations, public economic enterprises, public professional organizations, associations, foundations, co-operatives), unions and private companies. The scope of this control goes so far as to conduct investigations, inspections, auditing and inquires. The Board, both an external and internal inspection organization and has the power and authority of all Inspection and auditing units in Turkey, has also a duty of regulating and co-ordinating inspection system in Country. Detailed information about the Board and its duties will be given in next pages.
2. Intra-Administration Control
Within the Central Administrations the head of each agency –Ministers, Under-secretariats Governors, Sub-governors-enjoys hierarchical supervision, including disciplinary authority over the acts, actions and persons of subordinates, from the point of view of expediency and legality. The same control exists in municipalities and functionally decentralized agencies, and is exercised by the hierarchical head of each agency, e.g. mayors, general directors, rectors, deans.
Intra-Administration control is conducted by the head of the institutions by means of the Inspection Boards attached to them. There is an inspection board at every ministry and some independent under-secretariat (like Treasury, Foreign Trade and Customs). Some of the Ministries have more than one inspection unit. For example; in the Ministry of Finance there is a Board of Financial Inspectors and Board of Accounts two of which are attached to the Finance Minister and carry out duties upon the request of the Minister. Naturally power and authority of the Boards is restricted by the authority and the power of the Post which they are attached.


THE NECESSITY FOR THE PRIME MINISTRY INSPECTION BOARD
As we mentioned above Turkish Administrative System has its own unique characters formulated in the 1982 Constitution in which the underlying philosophy is to have a strong executive i.e. strong president and the Prime Minister. The President who is a part of executive power and in certain times preside over the Council of Ministers and uses various administrative power. Like this the Prime Minister is not only first among equals (primus interpares) but also like a supervisor who controls the acts and actions of the Ministers. Upon the proposal of the Prime Minister, a Minister can be dismissed from his office by approval of the President . As being the head of the executive body, the Prime Minister has the responsibility of taking corrective measures in auditing and inspection area via the Prime Ministry Inspection Board.
On the other hand, parallel with the Constitution, some works which related more than one organizations, need for a coordination unit which can only be the Prime Ministry Inspection Board in order to avoid duplications.
As a legal necessity, the Central Organization of the Prime Ministry, can only be audited and inspected by the Prime Minister. In addition to that the heads of the bounded and related organizations (Treasury and Foreign Trade, State Planning Organization, Capital Market Board, Central Bank, General Directorate of Endowments, State Banks, etc.) can only be inspected by the Prime Minister.
Besides, there must be a regulating and coordinating body for the unity of standards in the inspection system. This role is given to the Prime Ministry Inspection Board by Code 3056.
Since the foundation, which goes back to 1946 and equipped with wider power and authority by the 1982 Constitution (Article 112), the Board gained a central and crucial role in the inspection system of the Republic of Turkey.
In the last years, the Board reached its zenith and gained a deeper confidence in common sense with independent, objective, reliable reports on ‘Susurluk’, ‘Fictive Exports’, ‘Selling of the Turkish Trade Bank’, ‘Ministry of Tourism and Casinos Relations’, ‘National Intelligence Agency’, ‘Sink Credits Opened by all Public Banks’, ‘Some Projects and Credits borrowed from World Bank (at Treasury, Ministry of Health, Public Housing Administration, etc.)’, ‘Duty Free Import’, ‘Smuggling on luxury automobiles’, ‘Corruption in Customs’, etc.
RECRUITMENT AND SELECTION OF THE INSPECTORS
There are 30 inspectors in The Prime Ministry Inspection Board. 10 of them are assistant inspectors. Actually, the inspectors are supposed to begin their jobs as an assistant inspector.
In order to be appointed, a candidate of assistant inspector must pass a three-phase examination to be held.
-multiple choice examination to be held by OSYM (Student Selection and Placement Centre)
-written examination to be held by the Board
-interview and verbal examination to be held by the Board
The following qualifications are required for appointments to positions as assistant inspectors:
- To receive passing mark in the examination to be held.
-Economics, business administration, Law, Political Sciences, Economics and Administrative Sciences degree or graduation from foreign faculties recognised as equivalent thereof.
-Not to be over thirty years of age as of the first day of January of the year of examination.
-To have character and qualifications of an inspector.
-To have the required qualifications on the 48th article of The State Employees Code.
There are five topics in this examination that candidates have to pass:
1. Law
a. Constitutional Law
b. Administrative Law
c. Criminal Law
d. Civil Code
e. Law of Obligations
f. Commercial Law
g. Law of Criminal Procedures
2. Economics
a. Theory of Economics (micro, macro and international economics)
b. Current Economic Problems
c. Money, Banking and Credit
d. National Income
e. International Economic Relations and Institutions
f. Business Auditing and Financial Management
3. Public Finance
a. General Theory of Public Finance and Financial Policies
b. Fundamentals of The Turkish Taxation Code
c. Public Expenditures and Fundamentals of The Expenditures Code
d. Budget and Fiscal Policies
e. Public Debt
4. Accounting
a. Financial Accounting
b. Analysis and Techniques of Financial Statements
c. Financial Mathematics.
5. Foreign Language
One of English, French or German languages
A candidate who passed all phases of the examination is appointed as an assistant inspector. After a 3-year training period, he/she has to pass the competence examination in order to be an inspector. Finally he is appointed by a Decree and published in the Official Gazette.
The Prime Ministry Inspection Board hold last assistant inspector examination in 1997 and 10 high-qualified applicants passed all phases of examination out of 2000 candidates and are recruited as Prime Ministry Assistant Inspector.

DUTIES, POWERS AND RESPONSIBILITIES OF THE BOARD
The Constitution of the Republic of Turkey in Article 112 states that :
“.. The Prime Minister, as the Chairman of the Council of Ministers, should ensure co-operation among the Ministers and supervise the implementation of the government’s general policy...Each Minister shall be responsible to the Prime Minister and shall also be responsible for the conduct of affairs under his jurisdiction and for the acts and activities of his subordinates.
The Prime Minister shall ensure that the Ministers exercise their functions in accordance with the Constitution and the Laws and shall take corrective measures to this end ”.
The Constitution and many other Laws authorized the Prime Minister with inspection, auditing power and duties, and the responsibility of taking corrective and necessary measures.
The Prime Minister uses this power and carries out his responsibilities and takes corrective measures by means of The Prime Ministry Inspection Board.
In this framework; The Law of Prime Ministry (No:3056), that regulates the organizational structure of The Prime Ministry, its duties, powers and responsibilities , in the 20th article states that:
Upon the request and the authorization of the Prime Minister,
The Prime Ministry Inspection Board have the following duties and powers:
* to set up the general principles of inspection and auditing regarding the effective and efficient inspection system, in which personnel is encouraged to work efficiently and effectively and to achieve high performance, for all public institutions, organizations and State Economic Enterprises.
* to carry out inspections, auditing, inquiries and investigations (or to get Inspection Institutions to audit the matter) at all public institutions & organizations (both domestic units and units in abroad) , State Economic Enterprises, their affiliates and corporations, Chambers of Commerce &Industry, Public Professional Organizations, Chamber of Certified Public Accounts, with the (having the) full power and responsibility and authority of all Bodies, which is established for inspection, auditing and the control , in them.
* to carry out inspections, auditing, inquiries and investigations (or to get Inspection Institutions to audit the matter ) at Endowments, Associations, Cooperatives, all kinds of Labor and Employers’ Unions with the (having the) full power and responsibility and authority of all Bodies which is established for inspection, auditing and the control , in them.
* to make inspection, auditing and investigation at Prime Ministry Central Organization and its bounded and related organizations ( such as Treasury and Foreign Trade, Capital Market Board, Stock Market, Central Bank, Exim-Bank, National Intelligence Agency, Atomic Energy Organization et.).
* If it deemed necessary, to make inspections and auditing at Preferential Corporations, Private Companies regarding the financial matters (like tax)
* to perform other duties related the inspection and auditing requested by the Prime Minister.

THE FORMATION OF THE BOARD
The Board is directly attached to the Prime Minister and perform its duties upon his/her request. The Board presently consists of total of 31 Inspectors, including the Chairman and the two Vice- Chairmen and 10 newly recruited assistant inspectors. There is also a bureau and necessary staff for clerical works and keeping records.



THE CHAIRMANSHIP
The Chairmanship consists of a Chairman and two Deputy Chairmen of the Board.
The Chairman of the Board is the chief officer and Inspector of the Board is responsible for the general management and representation of the Board. The works are distributed among the Inspectors or a group of Inspectors by the Chairman.
The Chairman and all the Inspectors are appointed by a Decree.

THE DUTIES OF THE CHAIRMANSHIP
The Chairman of the Board, who is attached directly to the Prime Minister and has the title and power of Prime Ministry Inspector, on the behalf of the Prime Minister carries out the following duties:
1. To organize and co-ordinate the activities and duties of the Board of Inspectors , defined in the Law (No:3056).
2. To carry out investigations , inquiries, auditing and inspections, if it deems necessary.
3. To take necessary measures for training the assistant inspectors in 3-year training period.
4. To organize and encourage the inspectors for making researches in the field of inspection and auditing and to have research published.
5. To propose legal and administrative necessary measures to Prime Minister and take corrective actions in the field of inspections and auditing.
6. To chair the meetings at which the principles, which must be taken into considerations while preparing the inspection program of the Inspection Bodies of all Ministries, Public Institutions & Organizations, their affiliates and Corporations, are determined.

COORDINATION ROLE OF THE CHAIRMANSHIP OF THE PRIME MINISTRY INSPECTION BOARD
The Chairmanship of The Prime Ministry Inspection Board is authorized and has jurisdiction to achieve the execution of procedures and rules relevant to auditing services in health and harmony, to prevent duplications and deviations from standards, to take all measures and corrective actions to improve the inspection system.
Consequently;
a) The Head of The Prime Ministry High Auditing Board, Heads All Ministry Inspection Boards, The Head of Board of Account, The Head of Treasury Controllers Board and The Head of Sworned Banking Auditors Board is summoned to meet at least once each year. At this meeting, The Head of Prime Ministry Inspection Board executes the chairmanship and coordinatory duty.
b) All regulations and by-laws drafts including amendments concerned with the inspection and auditing system are sent to The Chairmanship of Prime Ministry Inspection Board for examination and evaluation. They will be effective after the approval of the Board and promulgation in the Official Gazette.
c) All inspection and auditing bodies mentioned in (a), shall prepare an annual report, which includes the investigation, examination, inquiry and auditing activities and their results, and sent to the Prime Ministry Inspection Board in January of every year.
Additionally,
The Chairmanship of the Board is a settlement authority of all conflicts and disputes arising from duties, power and jurisdictions of all inspection and auditing institution.

COORDINATION DUTY OF THE PRIME MINISTERY INSPECTORS
The Prime Ministry Inspectors may utilize the studies, works and efforts of the other institutions’ inspectors and auditors.
All auditing and inspection bodies have to fulfill the written demands of The Prime Ministry Inspection Board.
During the joint works with the other Body’s inspectors, The Prime Ministry Inspector, as the ‘Group Coordinator’, is entitled and has jurisdiction to regulate and to conclude the works by selecting the most appropriate way.
SECURITY OF TENURE OF INSPECTORS
The Inspection services are organized as a career different than the administrative duties. The Prime Ministry Inspectors can not be appointed to other positions and duties without their consent unless health, moral and professional insufficiencies is proved with the health report, judicial decision and inspector report.

KINDS OF REPORTS
1. Inspection Report with Replies.
2. Examination Report (for specific cases)
3. General Examination and Evaluation Report.
4. Personnel Inspection Report
5. Investigation Report
6. Inquiry Report for Public Personnel

THE AIM AND WORK PHILOSOPHY OF THE INSPECTORS
The Board has always sought to provide the Turkish State, the Government and the Public with relevant, objective and independent reports which are formulated on the basis of inspections (audits) carried out to the highest professional international (INTOSAI) standards.
The main goal in the works is to bring proposals in order to have the best and optimum result in audited entities for the future and to decrease the corruption and misuse.
From this point of view;
The Inspectors take into considerations of the following rules:
• To find out obstacles and duplications preventing the efficient and effective inspection and auditing for all public organizations.
• To carry out value-for-money audit for public expenditures and develop methods for this end.
• To find out the deviations from the standards and analyze the social, economic, legal and administrative reasons behind them and bring proposals for preventing the deviations, correcting irregularities and increase efficiency and effectiveness for an optimal result of the public works and functioning of public organizations.
• To foresee an effective, efficient and a deterrent inspection system and reject only a fault-seeking, criticize-based inspection methods.
• To obtain sufficient, relevant and reliable written audit evidence to be able to draw reasonable conclusions and to apply analytical procedures at all stages of the works.