Source Pravda.Ru

Audit Chamber says Chukotka bankrupt

Russia

The Russian Audit Chamber has found the Chukot Autonomous Area bankrupt after having audited the region, Audit Chamber auditor Sergey Ryabukhin declared at a news conference today. According to him, Chukotka's state debt was 9.3bn rubles (about $320m) on January 1, 2004, which was more than 2.5 times higher than the region's revenues that were 3.9bn rubles (about $134m) on January 1. Debts on a "gold credit" were 6.2bn rubles (about $213m) including fines.

Ryabukhin reiterated that the region received 15.8 tons of gold ($190m) in credits in 1994. According to budget legislation, debts must not exceed the amount of a region's own resources. Thus, the conclusion is that the region is bankrupt, he specified.