INTEGRATED COASTAL ZONE MANAGEMENT PROJECT WEST BENGAL. State Project Management Unit (SPMU)

Transcription

1 INTEGRATED COASTAL ZONE MANAGEMENT PROJECT WEST BENGAL State Project Management Unit (SPMU) Contents Section I: Audit Scope and Approach:... 2 Objective and Scope... 2 Audit Approach... 2 Section II: Observations in Detail... 3 A. Advance to SHGs... 3 B. Internal Unaudited Financial Report:

2 Internal Audit Report for the period October to Section I: Audit Scope and Approach: Objective and Scope We have completed the Internal Audit of the State Project Management Unit (SPMU). Our work was carried out in accordance with the agreement dated June 21, 2013 with SPMU, ICZM Project and Scope of Work stipulated therein. Our report includes an overview, scope and our observations, together with our proposed recommendations. The global objective of the assignment will be to provide a professional opinion on the adequacy of applicable internal control framework and its adherence by the executing units, identifying areas of critical weakness and their improvement fund received and expenditure incurred by each Accounting Centre (AC) during the period under audit are in accordance with the laid down financial regulations, procurement procedure and other orders issued from time to time for this purpose. Accuracy of Internal Unaudited Financial Reports (IUFR) and compliance with the financing agreement. The specific objectives of the Internal Audit are to: Provide the timely fiduciary assurance to State Project Management Unit (SPMU), ICZM Project, West Bengal that the Financial Management Systems and Internal Control procedures, as applicable to the Project Component IV, are being adhered to by the various executing units, and the financial reports being submitted by PEAs to the SPMU are in agreement with the books of account and can be relied upon to support the disbursements made by the Bank; Verify the procurement procedures adopted in the project; Obtain a professional opinion on the accuracy of the IUFRs and compliance with financing agreements. The audit would cover all project activities including all sources and application of funds for the project. The Auditor will visit the various field offices for achieving the objective. At the request of SPMU, conduct special review of SPMU itself or any PEA as desired. Audit Approach Our approach to the internal audit started with an overview of activities through a study and documentation of the existing systems and procedures. We then identified, evaluated and tested the adequacy, efficiency and effectiveness of internal controls including standard policies and procedures laid down by the management (where applicable), for each of the areas included in the Scope of Work. 2

3 Testing of internal controls was carried out by checking a limited number of transactions for the period covered by the audit. Apart from the test of controls and samples we also carried out various types of analytical reviews to understand as well as highlight unusual or significant trends in the business. Our observations, resulting from the audit tests performed on a sample of transactions, are set out in the Detailed Observations of the audit report and include our recommendations for addressing these observations. Section II: Observations in Detail A. Advance to SHGs Observation Impact Recommendation Management Comment Delay in reflection Follow-up should As per management of fund utilization be made with the comment/reply given in IUFR. SHGs in order to in the 2 nd quarter, In make timely absence of any adjustments of the specific guideline in funds. the FM Manual for Sl. No. 1. On scrutiny of advance ledger it was observed that in 36 cases, significant delays (between 124 days to 976 days) were made in adjusting the advances in SPMU accounts after release of advances. Please refer to Annexure-I for details. adjustment of advance in phases against any work to be undertaken by the CBO/SHG, the adjustment of advance could not be done as and when the UCs were submitted by the SHG/CBO. Subsequently, from June, 2015 onwards the adjustment of advance against the installment has started. This has caused the delay of the adjustment of advances at the period under review as mentioned in the Annexure-I. However, after June, 2015, the process of adjusting advances 3

4 Sl. No. Observation Impact Recommendation Management Comment against the installment released has been carried out at the time of releasing of next installment advance. Follow-up has been made with the SHGs in order to make timely adjustments of the funds. B. Internal Unaudited Financial Report: We verified the internal unaudited financial report (IUFR) for the quarter ended December 2015 and observed that it gives a true and fair view of the financial situation of the project and sources and expenditure for the quarter ended on All the expenses incurred was eligible under the financing agreements and with reference to the Project Appraisal Document (PAD), the Procurement Plan and the Project Cost tables subject to our observations given in Para A to D above. The details of sources of fund and their utilization till 31 st December 2015are given below: Sources of Funds till Amount (Rs.) Utilisation of Funds till Amount (Rs.) Expenses by PEAs Government of India 85,27,00, Calcutta University(C.U.) 5,06,22, Government of West Bengal 29,23,80, Zoological Survey of India(ZSI) 1,53,08, Government of West Bengal (Not Claimed from World Bank) 9,58,00, West Bengal State Electricity Distribution Company Limited(WBSEDCL) 28,22,73,

5 Sources of Funds till Amount (Rs.) Utilisation of Funds till Other Income 10,60,15, Institute of Environment Studies and Wetland Management(IESWM) Department of Disaster Management(DMD) Amount (Rs.) 2,97,20, ,46, Sunderban 4,21,75, Infrastructures Development Corporation Limited(SIDCL) West Bengal Fisheries 18,28, Corporation Limited(WBFCL) Digha Sankarpur 18,31,16, Development Authority(DSDA) Public Health & 21,29,85, Engineering Directorate(PHED) Forest Department 1,18,25, Directorate West Bengal State Rural Livlihood Mission (WBSRLM) SPMU Expenses Institutional Cost 11,31,32, Communication 1,53,26, Capacity Building 19,38, Pilot Investment in 24,22, Environment & Pollution Management Pilot Investment in 5,28,39, Livelihood Security Monitoring & Evaluation 4,29,96,

6 Sources of Funds till Amount (Rs.) Utilisation of Funds till Amount (Rs.) Studies 1,76,22, Training & Workshop 30,86, TOTAL 1,34,68,95, TOTAL 1,08,22,68, Fund Balance as on ,46,26, For Mookherjee Biswas & Pathak Firm Registration no E Chartered Accountants (P Chakrabarti) Partner Membership no. F61643 Kolkata August 10,

7 Sl. No. SHG Name Contract Number State Project Management Unit (SPMU) Time taken for adjustment of advance of SHG (more than 90 days) No. Advance Instalment Amount(Rs.) Provided on Date of Adjustment Entry (As per Tally) Annexure-I Total time taken for adjustment in SPMU accounts after release of advances (Days) DARIKA NATH MAHILA SGSY GR MAHENDRAGANJ BABASAHEB SWANIRVAR GOSTHI DHASPARA NEHERU MAMATAMOYE SGSY GROUP NAGENDRAGANJ MA SITLA SHG VIDYASAGAR SWYANBHAR SHG A B C D=C-B ICZMP-WB-161/ st 165, /3/ /1/ ICZMP-WB-178/ nd 374, /5/ /7/ ICZMP-WB-185/ nd 345, /5/ /7/ ICZMP-WB-196/ nd 321, /5/ /7/ ICZMP-WB-344/ st 319, /16/ /9/ CHATANA SHG ICZMP-WB-352/ st 319, /26/ /9/ MAA GOSTABURI MAHILA SHG ICZMP-WB-24/ st 270, /31/ /14/ MAA GOSTABURI MAHILA SHG ICZMP-WB-24/ nd 270, /24/ /14/ MAA GOSTABURI MAHILA SHG ICZMP-WB-24/ rd 270, /16/ /14/ RADHAKRISHNAPUR RADHEKRISHNA S.H.G ICZMP-WB-25/ st 163, /31/ /14/ RADHAKRISHNAPUR RADHEKRISHNA S.H.G ICZMP-WB-25/ nd 163, /11/ /14/ RADHAKRISHNAPUR ICZMP-WB-25/ RADHEKRISHNA S.H.G 3rd 163, /16/ /14/ MOTHER TERIJA SWANIRBHAR DAL. ICZMP-WB-339/ st 319, /3/ /16/ BAMANKHALI PURBAPARA MAA ICZMP-WB-353/ st KARUNAMOYE SGSY 158, /16/ /16/ MANDIRTALA MA SARASWATI SHG ICZMP-WB-338/ st 319, /15/ /16/ MANDIRTALA ALOR DISHARI SWANIRVARDAL ICZMP-WB-354/ st 158, /30/ /16/ BHAGINI NIVEDITA MAHILA SGSY ICZMP-WB-355/ st 158, /30/ /16/ MA LAXMI MAHILA SWANIRBHAR GROUP ICZMP-WB-207/ nd 366, /10/ /20/ RABINDRA MAHILA SGSY ICZMP-WB-033/ st 169, /14/ /1/ MA MANASA SGSY GROUP ICZMP-WB-396/ st 90, /22/ /1/ INDIRA SHG MAHILA SWANIRVAR GROUP ICZMP-WB-395/ st 395, /22/ /1/ MA SAGARIKA SGSY ICZMP-WB-034/ st 169, /12/ /1/ MANMOHINI MAHILA SWANIRVAR GROUP ICZMP-WB-26/ st 152, /31/ /2/ MANMOHINI MAHILA SWANIRVAR GROUP ICZMP-WB-26/ nd 50, /9/ /2/ MA BISHALAKHI SGSY ICZMP-WB-383/ st 181, /20/ /2/ NABARUN SANGHA SGSY ICZMP-WB-382/ st 395, /2/ /2/ NETAJI SWARNA JAYANTI SWAROJGARI DAL ICZMP-WB-163/ st 165, /3/ /4/ PURUSHOTTAMPUR MAMATAMAYEE SGSY ICZMP-WB-378/ nd 319, /24/ /29/ MA BHAGABATI SWARAJGARI DAL ICZMP-WB-514/ nd 243, /24/ /29/ MA BASANTI SWANIRBHAR GROUP ICZMP-WB-474/ st 128, /16/ /29/ JANAKALYAN MAHILA SHG ICZMP-WB-358/ st 158, /10/ /29/ UTTARAN MAHILA SGSY ICZMP-WB-372/ st 158, /10/ /29/ RABINDRA SHG ICZMP-WB-368/ st 158, /10/ /29/ DHABLAT ISWARCHANDRA VIDYASAGAR PURUSH ICZMP-WB-475/ st 158, /10/ /29/ SWANIRBHAR G 35 BAPUJI SWANIRBHAR GROUP ICZMP-WB-357/ st 158, /10/ /29/ MEGHDUT SGSY ICZMP-WB-377/ nd 319, /10/ /29/