Detective Controls - Office Accounts - [For Auditors]- Part 1

Detective Controls - Office accounts

The accounts that are used by the post offices and financial institutions for their internal purposes are called as office accounts in Finacle. The office accounts are opened for accounting purpose.

There are three types of office accounts. They are

1) Office accounts basic (OAB)

2) Office accounts pointing (OAP)

3) System office accounts.

In general all income accounts, expenditure accounts , asset accounts are basic office accounts.

The sundry creditors and suspense payment accounts are the office posting accounts.

Proxy accounts are the system office accounts.\

The transactions in the office accounts are monitored very carefully by the post office, controlling office and various agencies that come to the post office for audit/inspection (internal auditors or statutory auditors)

Why do we need to have the checks on internal accounts?

The auditor will be interested to see that a proper hear or an account is used for passing a particular type of transaction. For example, new accounts in finacle when a bank cheque is given for opening, should be opened by debiting account no 0382 only and not any other account. 

There is no other mechanism whereby the auditors can detect this kind of mistake. SO the auditors have to go through each and every transaction carefully. The auditor should be able to check and confirm  that the reversal of transactions from intermediary accounts have been proper  and have taken place within the given time frame, in case of OAB type of accounts. The auditor should make a note of delay in such reversal and should report to controlling office.

Note: If you are not aware of what is reversal, how it is done, what are intermediary accounts, what are office accounts, I suggest you to read all the lessons in our finacle training. We have clearly explained all the basics in our training. 

What are the options provided in finacle to conduct this part of audit process?

Finacle provides the auditors both the options to view the report and also take a print out of the report of various activities/ transactions conducted by the employees working in a post office. These reports and inquiries are effective for operations as well as detective controls for auditors.

Please use the following menus. 

A small note, These menus will only be accessible to auditors in MIS url login only. 

SL NO	MENU	FUNCTION
1	HIOT	Inquire on Transaction
2	HIEARP	Income and expenditure analysis report
3	HIEMRP	Income and expenditure monitor report
4	HMSGOIRP	minor subsidiary outstanding item report
5	HMSOIRP	minor subsidiary outstanding item report
6	HMSTRP	minor subsidiary transaction report
7	HIOGLT	inquiry on General Ledger transactions
8	HACLINQ	account ledger inquiry
9	HACLPOA	office a/c ledgers print

We request auditors to invoke these menus and get a feel about these menu screens.

In the next part of this article we will explain how to use these menus in a step by step manner.