Section 8.1: Overview of financial monitoring 2

Transcript:Section 8.1: Overview of financial monitoring 2:
Section 8.1: Overview of financial monitoring 2 “…the financial pass through to the beneficiaries such as: a) The food and transportation allowances, b) Post placement allowances and c) Payment to trainers, master trainers and Q team members will only be verified. This is expected to result in the audit of almost 70% of the payments to PIAs.” – extracted from DDU-GKY guidelines So focus is on the following cost through financial transactions recorded and validated in PFMS: Payment of entitlements to candidates are accurate and timely Payment of salaries to trainers, master trainers and the Q team members are accurate and timely, as they have critical impact on the quality of training and employment as envisaged in the scheme Other costs would be reviewed through the annual audit process by the Annual Auditor as per Auditing Standards of ICAI. Section 8.2: Financial monitoring: Roles and responsibilities of key agencies and actors PIA PIA OP Team: PIA OP team (finance): PIA Q Team: Auditor for conducting: Monthly verification. Hereinafter referred as Periodical Auditor Annual audit, financial audit for project closure and financial audit for orderly closure of a project. Hereinafter referred as Annual Auditor CTSA/SRLM Verification of expenditure limited to disbursement of candidates entitlements, payment to trainers, master trainers and Q team members, in line with the guidelines. Verification and review of the remarks reported by the periodic and annual auditor, if any, and seek compliance CTSA to recommend to MoRD for release of funds based on financial verification as above. In addition to financial verification, physical verification will also be taken into account for funds release as detailed in previous chapters and as per approved checklist. In the case of SRLM, such recommendation would be internal to the SRLM based on financial verification (contd…) Section 8.2: Financial monitoring: Roles and responsibilities of key agencies and actors (contd…) Thematic audit along with the MoRD empanelled auditor as per instructions of MoRD MoRD Review of expenditure limited to disbursement of candidates entitlements, payment to trainers, master trainers and Q team members Ensure that CTSA verifies and reviews remarks reported by the periodic and annual auditor, if any, and presents a compliance report submitted by the PIA along with its remarks Conduct of thematic audit Section 8.3: Project fund management 8.3.1 Operation of project account 8.3.1.1 Opening of bank account and mapping on PFMS Maintaining of project account: PIA should open only one