BBC News - Watchdog refuses to sign off 'problematic' MoD accounts Whitehall's spending watchdog has refused to sign off the Ministry of Defence's accounts for the fourth year in succession. The National Audit Office (NAO) said it had failed to account properly for more than £6bn of equipment. The head of the NAO, Amyas Morse, said the MoD had made efforts to improve its accounting. But he said there remained "systemic and deep-rooted" problems with its asset management system. Mr Morse said it had emerged the problems were more extensive than previously thought, as the work done to track down the equipment had brought fresh difficulties to light. The report from the National Audit Office -an independent body that monitors government spending - said the MoD was unable to account for the whereabouts of £5.5bn of spares and other stocks. It said it could not find £752m of military equipment, including firearms and 5,961 Bowman radios worth £184m.