Auditor General Odysseas Michaelides is looking into claims that the Central Office for Housing State Services (KFSKY) put the Famagusta District Land Registry Department in a building with far more expensive rental fees than other options available.
The KFSKY was set up by the cabinet several years ago, tasked with finding the best and cheapest possible solutions for the housing of state services and departments.
A recent letter sent by Michaelides to MPs Giorgos Perdikis and Christos Orphanides appears to show that the KFSKY had selected a building charging €10 per square metre instead of other buildings charge €3.5 to €7 per square metre.
A building had been initially sought around the wider Famagusta district before a decision was made to find a building only within the limits of the Municipalty Municipality.
According to Michaelides’ report, two offers outlining €3.95 per square in Liopetri were submitted on the final day of the tender competition before the competition was then scrapped in favour of a tender only for the Paralimni vicinity.
The chosen building also saw the state foot the bill for an additional €500,000 needed in maintenance in order to meet the standards required by the Land Registration. Michaelides added that the additional costs should have been covered by the building owner and not the state.
This means that the monthly rent comes to €22,630 instead of the €18,000 that was initially agreed.