TO
THE BRANCH MANAGER
(BANK NAME)
SUB: STATUTORY AUDIT OF YOUR BRANCH FOR THE YEAR 2007-08
----0O0----
RESPECTED SIR,
YOU ARE AWARE THAT WE HAVE BEEN APPOINTED AS STATUTORY AUDITORS OF YOURS BRANCH FOR THE YEAR 2007-08 VIDE YOUR H.O.LETTER NO. DATED 7TH MARCH, 2008. WE ARE SURE YOU WILL KEEP ALL THE BRANCH RETURNS MENTIONED IN YOUR H.O. CIRCULARS READY FOR AUDIT SOON AFTER THE CLOSURE OF ACCOUNTS AS ON 31ST MARCH, 2008.
IN ORDER TO COMPLETE THE AUDIT AND FURNISH THE REPORT WITHIN THE STIPULATED TIME LIMIT, YOUR WHOLE-HEARTED CO-OPERATION IS SOLICITED.
WE THEREFORE REQUEST YOU TO KINDLY KEEP THE FOLLOWING RECORDS/INFORMATION/CLARIFICATIONS READY AND MAKE THE SAME AVAILABLE TO OUR AUDIT TEAM ON THEIR VISIT TO YOUR BRANCH.
-----0O0-----
1. H.O.CIRCULARS IN CONNECTION WITH THE ANNUAL CLOSING OF ACCOUNTS.
2. ACCOUNTING POLOCIES.
LIST OF ACCOUNTING POLOCIES OF THE BANK TO BE FOLLOWED BY THE BRANCH. IN CASE THERE IS ANY CHANGE ION THE ACCOUNTING POLICIES IN THE YEAR UNDER AUDIT AS COMPARED TO THE PREVIOUS AUDIT, KINDLY INFORM US.
3. AUDIT REPORTS
COPIES OF THE FOLLOWING LATEST AUDIT REPORTS ON THE ACCOUNTS OF YOUR BRANCH AND COMPLIANCE BY THE BRANCH SENT TO THE CONTROLLING AUTHORITIES IN RESPECT THERETO.
1. INTERNAL INSPECTION REPORT FOR THE YEAR 2007-08
2. STATUTORY AUDIT REPORT FOR THE YEAR 2005-06
3. LFAR AND TAX AUDIT REPORT FOR THE YEAR 2005-06
4. CONCURRENT AUDIT REPORTS FOR THE YEAR 2007-08
5. REVENUE AUDIT REPORT FOR THE YEAR 2007-08
6. RBI INSPECTION REPORT IF ANY FOR THE YEAR 2007-08
4. BALANCING OF BOOKS
KINDLY CONFIRM WHETHER ALL SUBSIDIARY BOOKS RELATING TO DEPOSITS, ADVANCES ASSETS AND LIABILITIES HAVE BEEN BALANCED WITH THE RELEVANT CONTROL ACCOUNTS AS AT THE YEAR END AND IN CASE THERE IS ANY DIFFERENCE, STATE THE AMOUNT OF DIFFERENCE UNDER EACH HEAD OF ACCOUNT AND DATE UPTO WHICH THE SAID HEAD OF ACCOUNTS ARE TALLIED. ALSO INFORM US ABOUT THE EFFORTS TAKEN BY THE BRANCH FOR RECONCILING THESE DIFFERENCES.
5. CONFIRMATION CERTIFICATES
FOLLOWING CONFIRMATION CERTIFICATES MAY BE KEPT READY FOR OUR VERIFICATION AND RECORDS
1. BANK BALANCES CONFIRMATION AS ON 31ST MARCH 2007 FOR ALL THE BANK ACCOUNTS HELD BY THE BRANCH.
2. CERTIFICATE OF PHYSICAL VERIFICATION OF FIXED ASSETS FOR THE YEAR-END.
3. CASH BALANCE CERTIFICATE AS ON 31ST MARCH, 2007
4. CERTIFICATE REGARDING CONTINGENT LIABILITIES AS ON 31ST MARCH, 2007
5. CERTIFICATE OF PHYSICAL CERIFICATION OF SECURITY ITEMS AS ON 31ST MARCH,2007 AND CERTIFYING DIFFERENCES IF ANY BETWEEN BOOK BALANCES AND ACTUAL BALANCE ON PHYSICAL VERIFICATION.
6. CERTIFICATE REGARDING NON-CONTRAVENTION OF SEC.269T OF INCOME TAX ACT.
6. INTEREST PROVISION
KINDLY CONFIRM WHETHER THE INTEREST PROVISIONS ON DEPOSITS, H.O.INTEREST IS MADE AS PER THE INSTRUCTIONS OF THE H.O.
7. ADVANCES
KINDLY KEEP THE FOLLOWING STATEMENTS READY REGARDING ADVANCES FOR OUR VERIFICATION.
(i) STATEMENTOF ADVANCES SHOWING THE CLASSIFICATION –FACILITY WISE,SECTOR WISE,SECUTIRY WISE AND AS PER PRUDENTIAL NORMS WITH THE CLASSIFICATION INTO STANDARD,SUB-STANDARD,DOUBTFUL AND LOSS ASSETS.
(ii) SCHEDULE REGARDING THE ADVANCES WHERE PROVISION IS RECOMMENDED SHWOING THE DETAILS AS PER THE FORMAT GIVEN BY H.O.
(iii) DETAILS OF NON-PERFORMING ADVANCES ELIGIBLE FOR UPGRADATION.
(iv) ALL THE RETURNS RELATING TO ADVANCES.
8. LONG FORM AUDIT REPORT
KINDLY LET US HAVE COMPLETE INFORMATION REGARDING FOLLOWING ITEMS MENTIONED IN THE QUESTIONNAIRE OF LFAR FOR THE PURPOSE OF VERIFICATION:-
(i) DETAILS OF OUTSTANDING GUARANTEES AS ON THE 31ST MARCH, 2003 GURANTEES INVOKED AND PENDING PAYMENT BY THE BRANCH AT THE YEAR END, GURANTEES INVOKED,PAID BUT NOT ADJUSTED, GUARANTEES INVOKED BUT NOT PAID AND OUTSTANDING AMOUNTS OF LETTERS OF CREDIT.
(ii) YEAR-WISE DETAILS OF OLD OUTSTANDING ENTRIES IN SUSPENSE/SUNDRY ASSESTS ACCOUNTS
(iii) ACCOUNT-WISE DETAILS OF OVERDUE/METURED TERM DEPOSITS INVOLVING AMOUNT THEREIN.
(iv) NO.OF ITEMS AND AGGREGATE AMOUNT OF OLD OUTSTANDING ENTRIES FOR THREE YEAR OR MORE IN RESPECT OFBIILS PAYABLE AND SUNDRY DEPOSITS.
(v) THE NOTE REGARDING EXTENT OF COMPUTERISATION IN THE BRANCH AND THE AREAS OF COMPUTERISATION.
(vi) DETAILS OF INTERNAL CONTROLS ACCESS AND DATA SECURITY MEASURES.
(vii) OUTSTANDING ENTRIES IN INTER BRANCH ACCOUNTS AND DETAILS OF OLD OUTSTANDING ENTRIES IN SUCH ACCOUNTS.
(viii) DETAILS OF FRAUDS, IF ANY DISCOVERED DURING THE YEAR.
9. TAX AUDIT U/S 44AB OF THE INCOME-TAX AUDIT,1961
KINDLY LET US HAVE COMPLETE INFORMATION REGARDING FOLLOWING ITEMS MENTIONED IN THE QUESTIONNAIRE OF TAX AUDIT IN FORM NO-3CD FOR THE PURPOSE OF VERIFICATION:
(i) DEPRECIATION SCHEDULE AS PER THE REQUIREMENTS OF CLAUSE NO.XIV OF FORM 3CD
(ii) LIST OF BOOKS OF ACCOUNTS MAINTAINED.
(iii) DETAILS OF TAX, FEES, CESS, and DUTIES ALLOWABLE U/S 43B OF THE INCOME TAX ACT AS PER THE PRESCRIBED FORMAT.
(iv) DETAILS OF TAX DEDUCATED AS SOURCE ON VARIOUS PAYMENTS MADE TO THE VARIOUS PAYEES ALONG WITH THE CHALLANS FOR THE PAYMENT OF THE SAME TO THE GOVT.AND SHOWING THE DELAY,IF ANY IN SUCH PAYMENT IN THE PRESCRIBED FORMAT.
(v) PERMANENT ACCOUNT NUMBER OF THE BANK.
(vi) DETAILS OF INCOME/EXPENDITURE OF PRIOR PERIOD CREDITED/DEBITED TO PROFIT AND LOSS ACCOUNT.
10. CERTIFICATION
PLEASE KEEP THE RECORDS READY FOR VERIFICATION REQUIRED FOR THE PURPOSE OF ISSUE OF CERTIFICATES:
1. CERTIFICATE FOR SLR COMPLIANCES IN THE PRESCRIBED FORMAT
2. CERTIFICATE FOR DICGC CLAIM
3. CERTIFICATE IN THE PRESCRIBED FORMAT AS PER LFAR GUIDELINES FOR THE ADVANCES ENJOYING LIMITS IN EXCESS OF RS.2.00CRORES TO BE CERTIFIED BY THE BRANCH MANAGER.
4. STATEMENT OF CAPITAL ADEQUACY DATA.
5. STATEMENT ON MATURITY PATTERN OF LOANS AND ADVANCES (RESODIAL MATURITY)
6. STATEMENT OF MATURITY PATTERN OF DEPOSITS (RESIDUAL MATURITY)
7. MOVEMENT OF NPAS
8. ANY OTHER STATEMENT REQUIRED BY THE BANK OF MIS OR OTHER PURPOSES.
9. CERTIFICATE REGARDING LOANS UNDER PMRY SCHEME.
10. CERTIFICATE REGARDING IMPLEMENTATION OF JILANI COMMITTEE AND GHOSH COMMITTEE RECOMMENDATIONS.
11. CERTIFICATE REGARDING ADVANCE TO SENSITIVE SECTORS.
WE SHALL BE GRATEFUL TO YOU IF YOU CAN INFORM US THE NAME OF THE NODAL OFFICER, WHO WILL BE COORDINATING WITH US FOR SUBMITTING REQUIRED DOCUMENTS AND GIVING THE NECESSARY INFORMATION TO ENABLE US TO EXPEDITE THE AUDIT WORK, REPORTING AND CERTIFICATION.
WE LOOK FORWARD TO YOUR CO-OPERATION IN THE MATTER.
THANKING YOU,
YOURS FAITHFULLY,
DATE: 19TH MARCH, 2008
CAclubindia
