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FGMSD-79-21 1 (1979-03-16)

handle is hein.gao/gaobaayvp0001 and id is 1 raw text is: 



REPORT BY THE


Comptroller General


OF THE UNITED STATES     RELEASED
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The Defense Department's

Systems Of Accounting For

The Value Of Foreign Military

Sales Need Improvement


GAO identified $1.1 billon of inconsist-
encies and errors in accounting for fiscal 1977
arms sales. Had the correct sales figure been
known, the Presidents fiscal 1978 arms
sales ceiling, based on fiscal 1977 sales,
might have been set $420 million lower.
GAO also identified $540 million in differ-
ences in sales information on the two systems
Defense uses to account for the value of for-
eign military sales. Further, Defense iden-
tified an additional $800 million in differ-
ences in sales information on one of these
systems.
Defense recognizes that its systems of ac-
counting for the value of arms sales are not
adequate and an extensive effort is underway
to improve them. A special effort should be
made by Defense to assure that the systems
are made fully effective and that adequate
automated controls are included.
This review was made at the request of the
Chairman, Subcommittee on Europe and the
Middle East, House Committee on Foreign
Affairs.


Oval


108890


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   FGMSD-79-21
MARCH 16, 1979


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