History of the State Audit Office The state audit institution was first mentioned in the Estonian-language press õn October 25, 1893 in the newspaper Olevik. Introducing the state institutions of the Russian Empire the newspaper writes: “THE PRINCIPAL CONTROL OFFICE OF THE STATE. Otherwise this office is equal to a ministry, but, due to the character of its work, it bears a different näme. This office wiil carry out the checking of all official accounting procedures concerning customs and tax affairs, etc. in order to preclude any fraud or error.” The first institution of state economic audit in the world was established in World's first state audit England in 1314. In time the functions and principles of activity of state audit institution was institutions have changed and developed, all with the aim of improving state established in 1314. governance. The State Audit Office of the Republic of Estonia The State Audit Office of the Republic of The State Audit Office of the Republic of Estonia (S AO) was established õn Estonia was established December 27, 1918 by the decision of 37 councillors of the Maapäev (National õn December 27, 1918. Assembly) which was the highest body of authority at the time. The tasks of the SAO were defined as follows: “ . supervision of all institu­ tions, official positions, undertakings and households with respect to adminis­ tration of the state property in their possession, fulfilment of their budgets and regularity and purposefulness of their economic activity.” These principles, involving in addition to the control of regularity and tax audit also the monitoring of purposefulness, have proven to be evergreen and make it possible to draw parallels with the modem SAO. The economist Aleksander Oinas was appointed the first Auditor General of the Republic of Estonia. After five months in office he was appointed Minister of Internal Affairs. Later, in 1921-1926, he again held the post of the Auditor General. The first Auditor General Other Auditors General of the pre-war period include Karl August Einbund Aleksander Oinas. (Kaarel Eenpalu) in 1919-1920, Johannes Friedrich Zimmermann in 1926-1929 and Karl Johannes Soonberg (Soonpää) who was awarded the Order of the Cross of Liberty and held the office for the longest time - from 1929 until 1940. The surveys of the Auditor General about the early activity of the SAO (February-April 1919) contain plentiful and captivating material. For in­ stance the survey of the Army Department that was created first tells us about the scarcity of experienced bureaucrats in the state. The selection of stafffor the Army Department of the SAO was made particularly difficult by the small number of officials competent in military procedures and economy who would have been able to provide advice and guidance. Due to their qualifications these officials were sometimes incompetent to make decisions about the regu­ larity and purposefulness of army activities. The knowledge and skills of its officials remain ofparamount importance also for the present-day SAO. (-------------EESTI------------- RAHVUSRAAMATUKOGU V—-______ая J Õn June 17, 1940 the Red Army occupied Estonia. Already õn July 10 the Auditor General Karl Soonpää was relieved from his office by a decree of Konstantin Päts who at that time was still permitted to hold the presidential office. As of July 13 Aleksander Aben was appointed Acting Auditor General. A year earlier the man had become famous as the MP whom the Supreme Army Court had sentenced to five years of hard labour for dissemination of slander about the head of the state and who had managed to flee to Sweden. Having returned to Estonia in June 1940 he continued to hold high governmental offices for several years after the war. Upon enforcement of the Stalinist Constitution in Estonia õn August 25, 1940 the activities of the SAO were terminated. Arkaadi Uibo was appointed head of the new People’s Commissariat of the State Audit Office of Estonian SSR. Re-establishment of the SAO In 1989, in the framework of the programme for Economically Independent Estonia, active planning for setting up a suitable system of state institutions Auditor General Karl was started. With the decision of May 29, 1989 of the Council of Ministers Soonpää. (the government) a work team for the reorganisation of control institutions was established. At the end of June the work team submitted to the government its The activity of the SAO concept of state control institutions that foresaw the liquidation of all existing was terminated õn 31 state institutions with control functions. The checking of correctness of ac­ August 25, 1940. counting and reporting of the state institutions was to be undertaken by the new State Audit Office accountable to the Riigikogu (Parliament). The programme for The State Audit Office Act was adopted õn July 6, 1990 and thereby the SAO Economically was re-established. Independent Estonia Õn September 20, 1990 Hindrek-Peeter Meri was appointed Auditor General comprised also for seven years. the SAO. The re-established SAO started its activity õn November 1, 1990 at 1 Suur- Ameerika St. in Tallinn, in February 1991 the institution moved to 4 Narva Rd. The SAO restarted its Since August 2000 the SAO is located at 11A Narva Rd. activity õn November 1, In 1998 the Parliament appointed Juhan Parts Auditor General, his five-year 1990. term in office started õn June 9, 1998. Auditor General Julian Parts. The building of the SAO at 11A Narva Rd..