COMPLIANCEOFAUDITREPORTS.ppt

PREPARATIONS AND COMPLETION OF AUDIT FOR THE YEAR 2009-2010 The preparations for the conduct of audit of the accounts of SSA, SIS for the year 2009-2010 were initiated by the Ministry of HRD in June 2010. A letter was issued by name to all the SPDs of SSA States/UTs on 4th June 2010 in which the need for timely completion of accounts and accounts records properly was emphasized. Attention of the State Project Directors was drawn to the Schedule of Audits as contained in the Manual on Financial Management Procurement. They were also requested to appoint CA firms for the conduct of audit immediately if the same had not already been done. It was also requested that the account and Financial Statements for the year 2009-2010 complete in all respects should be made over to the auditor for commencement of Audit work by the end of June 2010 so as enable the CA firm to complete the audit work in a proper and timely manner. In order to avoid recurrence of audit observations timely, completion of audit work and submission of audit reports by the due date, the following steps were advised.(i)????Appointment of Statutory Auditor latest by 1st April 2010; wherever, the auditors are not engaged, the same may please be done immediately. (Para 109.1 (2) of Manual.)(ii)???Timely adjustment of advances and obtaining receipt of all the outstanding UCs from the sub-districts level before the accounts are finalized at DPO level. The State must ensure that advances against which expenditure has been incurred during the year should be adjusted at the close of the accounts for the year. (iii)?????Proper maintenance of the books of accounts and finalization of annual account statements before 30th June each year. The steps should be taken to make these available to the CAs for audit in time.(iv)?????Compliance and settlement of audit observations of previous audit report. The current audit report should necessarily contain a paragraph on compliance of previous years’ audit ob