Regulation 90 — Audit Regulations 2020
Original Rule Text
# 90. Audit of receipts and expenditure and review of internal controls and financial records
Audit of the receipts and expenditure of a substantially financed body or authority shall be conducted in accordance with the Regulations prescribed in respect of audit of expenditure and receipts. The Comptroller and Auditor General may also conduct a critical review of its system of internal controls and financial records as well as the tests performed by its auditor for expression of an opinion on its accounts.
What This Means
When the CAG audits a body or authority that receives substantial government funding, the audit covers both its receipts (income) and expenditure (spending), following the same procedures used for regular government audit. Additionally, the CAG can review the body's internal controls, financial records, and the checks performed by its own auditor before signing off on its accounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Substantially financed bodies are audited for both receipts and expenditure — not just spending
- 2The same audit regulations that apply to government departments apply here
- 3CAG can critically review internal controls and financial record-keeping systems
- 4The tests performed by the body's own auditor can also be examined by CAG
- 5This ensures that bodies receiving major public funds maintain the same standards as government offices
Practical Example
A National Skills Development Corporation receives over 75% of its funding from the Ministry of Skill Development. Under this regulation, the CAG audit team not only checks how the corporation spent government grants but also reviews its revenue streams, examines whether its internal audit department conducted proper checks, and verifies whether its chartered accountant's audit opinion was based on adequate testing.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What qualifies as a 'substantially financed' body?▼
Does this mean the CAG replaces the body's own auditor?▼
Can the body refuse access to its internal audit records?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.