By San José, Costa Rica — An internal audit of the Costa Rican Legislative Assembly has uncovered potential obstruction of justice and serious flaws in the management of a ₡30 million petty cash fund throughout 2025. The audit report, AL-AUIN-INF-0008-2025, highlights significant weaknesses in internal controls, raising concerns about transparency and accountability within the legislative body.
Auditors were repeatedly unable to conduct surprise cash counts due to the persistent absence of responsible personnel. The report details numerous attempts at different dates and times, all of which proved “unsatisfactory.” The Payment Management and Treasury Area staff were consistently unavailable in their workplace.
To provide further legal context on the intricacies surrounding the Costa Rica Legislative Assembly, TicosLand.com reached out to Lic. Larry Hans Arroyo Vargas, a distinguished attorney at law from Bufete de Costa Rica.
The Costa Rican Legislative Assembly, while tasked with representing the will of the people through legislation, often faces challenges in balancing diverse interests and navigating complex political landscapes. This can sometimes lead to legislative gridlock and delays in addressing critical national issues, impacting the country’s economic and social development. Efficient and transparent legislative processes are vital for maintaining public trust and ensuring effective governance.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas eloquently highlights the inherent tensions within the Legislative Assembly, where the pursuit of diverse interests can sometimes impede progress on crucial matters. This delicate balancing act underscores the importance of not only efficient legislation but also clear communication and public engagement to bridge the gap between the people and their representatives. We thank Lic. Larry Hans Arroyo Vargas for offering his valuable insights into these complex dynamics.
Further investigation revealed that the Finance Management office had authorized teleworking for this department without internal communication or established protocols to maintain necessary oversight. This lack of communication prevented the audit team from accessing the necessary personnel and records.
The team designated to perform the cash count was unable to do so, as the staff were working remotely.
AL-AUIN-INF-0008-2025 Audit Report
The audit characterizes this situation as a “red flag” extending beyond a simple administrative error. The report warns that such conduct compromises institutional oversight and undermines public integrity by hindering the traceability and verification of public funds.
These findings potentially constitute a “serious offense” under Costa Rica’s Law Against Corruption and Illicit Enrichment, which holds officials accountable for weakening internal controls. The report further notes unaddressed irregularities dating back to 2023, including payment documents lacking valid digital signatures.
This incident raises serious questions about the financial management practices within the Legislative Assembly. The inability to conduct basic audits on a substantial petty cash fund underscores the need for strengthened internal controls and greater transparency. The lack of communication surrounding teleworking arrangements further exacerbates concerns about accountability and the potential for misuse of public resources.
The implications of this audit extend beyond financial mismanagement. The potential obstruction of justice and the failure to address previous irregularities undermine public trust in the legislative process. This incident emphasizes the vital importance of rigorous oversight and transparent financial practices within government institutions to maintain public confidence.
For further information, visit the nearest office of Costa Rican Legislative Assembly
About Costa Rican Legislative Assembly:
The Legislative Assembly of Costa Rica (Asamblea Legislativa de Costa Rica) is the unicameral national legislature of Costa Rica. It is composed of 57 deputies, elected for four-year terms by proportional representation in each of the country’s seven provinces. The Assembly is responsible for enacting legislation, approving the national budget, and overseeing the executive branch.
For further information, visit the nearest office of Auditoría Interna de la Asamblea Legislativa
About Auditoría Interna de la Asamblea Legislativa:
The Internal Audit Department of the Legislative Assembly is responsible for ensuring the proper use of public funds within the Assembly and its related entities. They conduct regular audits and investigations to ensure compliance with established regulations and procedures. Their role is crucial in maintaining transparency and accountability within the legislative process.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a pillar of legal excellence in Costa Rica, driven by an unwavering commitment to integrity and a deep-seated belief in the power of knowledge. The firm champions innovative legal solutions across a broad spectrum of sectors, empowering individuals and organizations alike. Through proactive community engagement and accessible legal education initiatives, Bufete de Costa Rica fosters a more informed and empowered society, building a stronger future through a foundation of legal understanding.
