Sep 23, 2021 News
…Auditor General says scrap old books, start afresh
Kaieteur News – It is no secret that deficient and unkempt financial records at City Hall have made it difficult for auditors to do their statutory duty to keep track of municipal expenditures and make the necessary recommendations for better accounting systems.
As such, Auditor General (AG), Deodat Sharma, repeated a call for the Georgetown Mayor and City Council (M&CC) to close its financial books and start afresh.
The AG was at the time speaking to reporters on the sidelines of the handing over ceremony of the 2020 Audit Reports at the Arthur Chung Conference Centre on Monday.
Sharma told reporters that a fresh financial system will help enable the Audit Office of Guyana to properly audit the entity.
At present, the AG explained the Audit Office’s current undertaking to audit the records of City Hall has proven difficult due to missing records. He said too, that though the municipality has submitted its draft financial report, it is not in compliance with the requisite legislation.
“They have submitted their draft financial report but it is not in compliance with the Act. For example, the balance sheet, it just gives a list of budgeted assets, that’s not how you prepare a balance sheet, so we have returned it for it to be corrected,” he said.
According to the (AG), auditors found that there is a gap for several years in terms of financial reporting at City Hall.
“What I’ve advised several entities, including them, is let’s close the books, open new books, assess what is there and let’s start fresh. Get a new bank account and everything, because it doesn’t make sense to go back to 2005, 2006,” he said.
“My advice to them is let’s sit down, list all the assets that we have, list all the cash positions and let’s start a new balance sheet, at least from now on your accounts can be audited,” he said.
The last audit of City Hall was in 2004, and the municipality submitted financial statements for only 2019 and 2020.
At that time, the Audit Office even then indicated, via disclaimer, that it could not guarantee the accuracy of the information provided. A similar disclaimer was issued in 2005.
For the period 2006 to 2011, there were no financial statements submitted, and from 2012 to 2015, financial statements were submitted but the information supplied did not allow the auditors to express an opinion.
For the year 2016 to 2020, the audit records show that no financial statements were submitted.
In 2019, an investigation found that the City Council failed to remit workers’ contributions for NIS, Credit Union and GRA, and also failed to pay retirement benefits and gratuity to a number of workers. There were issues surrounding contracts, the waiver of rates and taxes, the rental of wharf facilities and the granting of leases.
Auditors found clear violations and breaches of the financial and accounting systems, yet no attempts were made by City Hall to correct their faults.
Oct 26, 2021Kaieteur News – The stakes were high on Saturday afternoon last at the Lusignan Golf Club as golfers came out in droves for the final tune up tournament sponsored by C&V Shipping, prior the...
Oct 26, 2021
Oct 26, 2021
Oct 26, 2021
Oct 25, 2021
Oct 25, 2021
Kaieteur News – The answer to the question above is that they met in a confluence last Saturday morning in my head.... more
By Sir Ronald Sanders Kaieteur News – It is nothing short of shocking to learn that, despite the fact that the world... more
Freedom of speech is our core value at Kaieteur News. If the letter/e-mail you sent was not published, and you believe that its contents were not libellous, let us know, please contact us by phone or email.
Feel free to send us your comments and/or criticisms.
Contact: 624-6456; 225-8452; 225-8458; 225-8463; 225-8465; 225-8473 or 225-8491.
Or by Email: [email protected] / [email protected]