Update: The report is posted at http://www.doioig.gov.

An investigation by the Interior Department's Inspector General has found major problems with the collection of royalties by the Minerals Management Service.

MMS uses inaccurate and incomplete data, relies too much on energy companies and audits only a small percentage of oil and gas leases, the report said. Since the Bush administration took over, the number of audits has dropped significantly even as drilling has increased.

The report was presented to Congress, The New York Times said. A copy is not yet available on the OIG website [Link].

MMS is responsible for collecting more than $8 billion in royalties on federal and Indian lands.

Get the Story:
Report Says Oil Royalties Go Unpaid (The New York Times 12/7)
pwnyt

GAO Letter:
Suggested Areas for Oversight for the 110th Congress (November 17, 2006)

Inspector General Testimony:
Devaney Interior Department: A Culture of Managerial Irresponsibility and Lack of Accountability? (September 2006)

Inspector General Report:
Allegations Concerning Senior Officials of the Office of Special Trustee for American Indians (May 2005)

Relevant Links:
Government Accountability Office:
Office of Special Trustee - http://www.ost.doi.gov

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