Post by Logan on Feb 25, 2016 20:35:11 GMT -6
There are significant deficiencies in financial reporting noted in the Moss and Adam’s audit report on the ASG Employees Retirement Fund’s (ASGERF) Internal Controls and Compliance. And of one of these, the auditors say is the lack of internal controls surrounding the employee verification process, which provides an increased risk of fictitious members showing up on the rolls.
According to the auditors, during their testing of member and sponsor data, they noted certain errors related to information maintained in the fund’s database. “Similar errors have been noted during our audits in prior years. While these errors do not represent a direct risk of material misstatement to the fund’s financial statement, missing and erroneous information in the fund’s database represents a significant deficiency in internal; controls relating to the accuracy and completeness of data used in the fund’s actuarial evolution and financial reporting.”
The auditors noted a number of new employees who were eligible for enrollment in the fund were not entered in the fund’s database in a timely manner. New employees are not identified by the fund until the sponsor (or ASG department or agency) payroll reports are uploaded into the database and a Transmittal Error report (Exception Report) is generated.
“We noted that 8 of 18 new employees tested were either not enrolled in the fund or were not enrolled until several months after their employment commenced. The fund has continued to have difficulty accessing the American Samoa Government, Human Resources system on a consistent basis and has only limited access through the systems for the participating employers in the fund.”
Read more: www.samoanews.com/content/en/retirement-fund-audit-notes-deficiencies-reporting
According to the auditors, during their testing of member and sponsor data, they noted certain errors related to information maintained in the fund’s database. “Similar errors have been noted during our audits in prior years. While these errors do not represent a direct risk of material misstatement to the fund’s financial statement, missing and erroneous information in the fund’s database represents a significant deficiency in internal; controls relating to the accuracy and completeness of data used in the fund’s actuarial evolution and financial reporting.”
The auditors noted a number of new employees who were eligible for enrollment in the fund were not entered in the fund’s database in a timely manner. New employees are not identified by the fund until the sponsor (or ASG department or agency) payroll reports are uploaded into the database and a Transmittal Error report (Exception Report) is generated.
“We noted that 8 of 18 new employees tested were either not enrolled in the fund or were not enrolled until several months after their employment commenced. The fund has continued to have difficulty accessing the American Samoa Government, Human Resources system on a consistent basis and has only limited access through the systems for the participating employers in the fund.”
Read more: www.samoanews.com/content/en/retirement-fund-audit-notes-deficiencies-reporting