Principle of legitimacy (all financial activities must be regulated by rules and laws; it is especially important for financial control);
Principle of publicity (all citizens must have access to the information about results of financial audits and inspections; they must receive information about all statutory acts passed in this sphere);
Principle of federalism (division of powers in the financial sphere between the federal government and its entities is an important element of financial control);
Principle of planning (the financial system must be based on a number of legislative acts, containing planning).
1) 1654 – special Accounting Office ( inspected the distribution of remuneration to people);
2) 1699 - special Chancery (responsible for analyzing information about allocation of funds and different items of expenditure);
3) The first part of the 19th century – introduction of the ministerial system. The Ministry of Finance became the most important authority in the system of financial control;
4) Soviet times - the system of People’s Comissariats. The People’s Comissariat of public control was responsible for all financial inspections;
5) The breakup of the Soviet Union - abolishment of some public control authorities;
6) Since 1996 appeared a number of new control authorities, some legislative acts were passed (President’s Decree № 1095 from the 25th of July 1996 “On the measures of provision of public financial control in the Russian Federation”).
1 ) The Accounts Chamber - regulates the legality and timeliness of the use of public funds by various financial institutions, estimates validity of federal budgets and off-budget funds;
2) President of the Russian Federation - issues decrees, concerning financial sphere, signs federal laws, appoints the Minister of Finance, offers candidatures on the post of the Chairman of the Bank of Russia and of the Accounts Chamber;
3) The Federal Treasury - conducts enforcement functions connected with the execution of the federal budget; provides the fact and concomitant control over financial operations involving public funds and implements some other activities;
4) The Federal agency of fiscal oversight - implements control over the usage of budgetary and off-budgetary funds, oversees residents’ and non-residents’ compliance with currency laws and acts concerning currency regulation and examines execution of budget legislation by financial control authorities;
5) The Federal Financial Monitoring Agency - prevents the legalisation from criminal revenues and the financing of terrorism and coordinates activities in this sphere by other executive authorities.
Reasons for falling efficiency of public financial control:
1)Liberal economic reforms;
2) Development of the market economy;
3) Privatisation of property;
4) Increasing number of economic crimes (illegal privatization, embezzlement and misappropriation of public funds, corruption )