Audit Manual - Core Treasury System Uttarakhand

Government of Uttarakhand
Audit Manual
Sr. No Activity Risk Audit Steps
• Obtain the reasons for exception and report the same
21 Maintenance contracts
(Refer rule no. 19 of
Procurement Rules 2008)
• Risk of incurring expenses on
maintenance when item is under
warranty period
• Unauthorized contracts
• Obtain a list of all the maintenance contracts entered during the audit period
• Verify that all the maintenance contracts are entered after approval from
competent authority
• Is there any maintenance contracts for items which are still under warranty
period
22 Verify the process for selection
of supplier/bidder
• Possibility of non selection of
lowest bidder leading to increase in
purchase cost
• Take a sample of purchase orders and contracts awarded
• Verify that the order is awarded as per Chapter 3, Rule 24 (2xiv) and a
provide a detailed analysis
• Verify date of tender v/s date of order placed
23 • Verify adequacy of Earnest
Money Deposit (EMD) as per
below mentioned limits:
Up to Rs. 1 lakh - 5%
Rs. 1 lakh to 5 lakh - 4%
Rs 5 lakh to 25 lakh - 3%
and,
• Potential risk of non/under
furnishing of EMDs
• Non adherence to Procurement
Rules 2008
• Take an appropriate sample size out of the total EMDs received
• Verify the documents of EMD for its completeness for eg.when was EMD
received , date of tender finalization, date of return of EMD
• Verify that the EMD has been returned to the successful bidder upon receipt
of performance security, report any abnormal delays
• Report any deviations/ exceptions
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