Auditor General's Report on the Public Accounts of Montserrat 2004

103. Given the increased scale of operations and to keep management
abreast of the assets and legal obligations, we recommend that proper
financial statements be prepared.
104. Storage of canteen records. Storage conditions resulted in some
sales books being damaged making it impossible for some cash/credit sales
slips to be audited.
105. It is the duty of every Accounting Officer to provide suitable storage
facilities for accounting records. We therefore recommend that the
conditions be reviewed and necessary action taken to prevent further
incidence of records being damaged.
106. Non-Separation of Duties. Except for the writing up of daily cash and
credit sales slips, all other areas of accounting are the sole responsibility of
one official. This is inclusive of ordering goods, signing LPO’s, posting
invoices to ledger accounts, preparing cheques, maintaining cash book, making
bank deposits and preparing bank reconciliations. This is in breach of good
internal control practices and poses a significant risk.
107. It is recommended that some of the responsibilities be delegated to
other persons. For example, there should be separation of duties between
personnel maintaining the cash book and those preparing the bank
reconciliations.
3.3 BROADCASTING (RADIO MONTSERRAT)
3.3.1 Arrears of Revenue
108. Outstanding revenue at the end of the fiscal year $21,063.72.
47.73% of this amount related to outstanding revenue for 2004.
3.3.2 Fees
109. Despite assurances that an official rate sheet would be submitted to
the Office of the <strong>Auditor</strong> General none has been presented to date. As a
result, some of the fees charged do not appear to have been correctly
authorized or approved.
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