Is this true?(Auditing process)
Singer and socmed blogger Richard Poon took to Facebook to ask the opinion of his FB followers regarding comment of a certain Matutis Rolando that President Duterte was correct to ask COA to stop publishing incomplete audit report.
Matutis Rolando, who introduced himself as a Certified Internal Auditor by the Institute of Internal Auditors in Florida USA can’t help but share his opinion regarding President Duterte’s sentiment on COA making incomplete audit reports public.
You can check the video below from Inquirer showing President Duterte castigating COA for releasing incomplete audit report. Just skipped to the 2-minute part of the video wherein President Duterte appealed to COA to stop publishing initial reports.
In audit, the auditee has the right of reply and/or before issuing an audit report to the intended users, you have to discuss your audit observation first to the person subjected for audit. It is a mortal sin for auditors to issue a report without communicating the issue and/or getting the comments of the auditee. “Mumurahin ka ng auditee mo kapag nag-issue ka ng findings na di mo naipapapaalam sa kanila.” Hence, do not release a report to the public that is still at the “draft level”: some issues may me revised after the discussion.
Poon’s post has generated quite a buzz among like-minded netizens or plain kibitzers.
yes it’s true. if you’ve found discrepancies, you need to gather more info without informing the one youre auditing. you still gotta give them the benefit of the doubt. after thoroughly investigating and have gathered enough info, you do not go out and expose them. instead you should set up a meeting with the higher management kasama yung inaaudit mong tao o dept. tapos dun mo ilalatag lahat ng discrepancies na nakita mo. hindi yung magkakalat ka, it’s not the job of an auditor to do that, commented a netizen.
Yes that is true, as an ISO Certified Lead Auditor, your initial findings should be discussed to the concerned auditees and release the Final Audit Report once all have agreed to the findings. Kakaloka why COA is releasing a draft/initial report. May mga issues sa initial report na need icomply for a certain period bago magawa ang Final Audit Report, refer to Auditing Process, seconded another netizen.
I like to believe it is the standard. Unfair talaga na di mo pa pala naipaparating at di pa nagagawan ng action ng dept ang mga discrepancies ay pinublicize mo na. I may not be an accountant, but I do liquidation sa halagang 30k max and mind you submitting receipts and documents for tax evaluation is not easy at it seems. Napakadali po mabura kahit ng official receipts. At compiling them is another horror by itself. Eh di lalo na kung million. I’m not saying na walang pagkukulang but it isn’t fair or justifiable to demonized something that isn’t final. Trial by publicity is for barbarians, replied another.
That’s right. All gov’t agencies receives Audit Observation Memorandum (AOM). The agency is given a time frame to respond and comply the necessary documents (usually attachments). It does not mean that money is lost to corruption. Most of the time kulang lang ng documents, commented another.
Our company always has this quarterly audit and everytime they find something, they give us ample time to reply to the “why” before submitting the report to the higher ups, chimed in another netizen.
DOH was actually given up until Mid September (if my memory is right) to comply on COA’s requirement pero they released the report prior to the deadline they provided to DOH. Half baked yung report which caused the masses to immediately put preterm judgement on DOH, noted another netizen.
On one hand, some netizens defended COA from the backlash.
I am an external auditor for 5 years but I am not a government auditor- I read somewhere that COA is mandated by law to publish its findings on their website and exit interviews and meetings are done where they discuss with the concerned agency their findings and recommendations. The agency is given a timeframe to correct and submit any deficiencies. COA is doing its job and it is not unfortunate that the reports are coming out in June every year (I think before the SONA)…don’t twist facts please.. commented a netizen.
On Magtutis Rolando’s thread, one netizen also defended COA from criticism.
#UPDATE: COA Chairman Michael Aguinaldo: Yung audit report is a requirement by law. That has to come out. Before this audit is issued, mayroon pa yang exit conference. It’s not correct at all na sabihing walang due process. | via ABSCBN@JohnsonManabat
Matutis wasted no time in replying to the commenter sympathetic to COA.
That is the assumption, but i read the report, there was no comment of the auditee. So i presumed this is still atvthe draft level. Ang report kapag napublish may reply/comment yan nakasulat. Kung may exit conference, it means nadiscuss pero walang dinisclose na comments sa body ng report. In fact, after ng comment sasagot si COA tawag sa reply niya if nagdisagree “Rejoinder” after sumagot si auditee.
Another netizen shared her observation regarding the presence of COA internal auditors in government agencies.
ninong, in the first place may resident or internal auditors and COA sa mga government agencies kung tama ako bakit inaallow yun. at bakit pagdating sa National ay iba ang treatment. Hindi ko alam ang buong kwento pero kung nasunod ba ang audit process bago ilabas ang report sa media at public. During interim audit kung mayroon man dapat nareresolve na yang mga observations at recommendations then finalize ng audit report.
To which Magtutis replied: Hindi nasunod. Binasa ko ang report, wala pang comment/reply sa auditee. Hence draft level palang ito. Hindi dapat nilabas. Guilty of trial by publicity si COA in legal parlance. Aawayin ko auditor kung ako.
Source: Richard Poon