The formal instrument for the establishment of the Internal Audit Department in MDAs is the Financial Regulation (reverse 2009). As stated in chapter 17 thereof “an Internal Audit Department is established to provide a complete and continuous audit of account and records of revenue and expenditure, plants, allocated and unallocated stores.

MANDATE OF AN INTERNAL AUDIT

The internal audit department has been saddled with specific responsibilities by-laws for its operation, such as follows:

COMPLIANCE:

The Internal Audit is to ensure compliance with the approved operational standard and the provision of law, the Department will ascertain the Ministry’s system of recording and processing transactions and shall assess its adequacy as the basis for the preparation of the Final Account. Ministry’s compliance with the provision of the act and other extant rules and laws e.g. Financial Regulation, Fiscal Responsibility, Public Procurement Acts, Pension Acts, etc.

FUNCTIONS OF THE INTERNAL AUDIT DEPARTMENT

• To provide a compliance and continuous audit of the accounts and records of revenue and expenditures, assets, allocated and unallocated stores
• To examine the systems and procedures in force.
• To prepare and submit a detailed annual audit programme to the accounting officer.
• To prepare and submit monthly reports on the progress of the audit to the accounting officer and copy the Accountant General of the Federation.
• To issue special reports when in opinion, the attention of the accounting officer and the accountant in charge must be called to an irregularity in the accounting records or to an apparent weakness in the accounting procedures.

In order for the work of internal audit to add value and improve operations of the relevant government departments, the internal auditors must prepare and submit comprehensive, detailed, meaningful and timely audit reports. Such a report must give prominence to;

• Details of work undertaken.
• The auditor’s opinion on compliance with financial rules and regulations.
• Recommendation for remedial action for correction noted, lapses/deficiencies.

The internal auditors are to achieve the following objectives to prepare audit reports on timely basis as prescribed by the Financial Regulations.

CENTRAL PAY OFFICE

The Internal Auditors are mandated to check the central pay office of the Ministry with the following areas to cover among others:

• Public notice specifying the Central Pay Office
• General security of the Central Pay Office
• Records of books maintained at the CPO
• Cash Book and Bank Balances.

CAPITAL AND OTHER CHARGES

To ensure that the following records are maintained and that the treasury guidelines and control measures are complied with before presenting a report for the assessment of the Accountant General of the Federation.

• Appropriation
• Released mandate schedules
• Payment voucher register
• DVEA book
• Expenditure control.

ADVANCES

Internal Auditors are to ensure that all advances (personal and non-personal) granted to officers are properly accounted for by maintaining adequate records for retirement or monthly deductions from salaries.

REVENUE

Internal Auditors are to ensure that prescribed revenue is collected and properly accounted for according to laid down provisions in the Financial Regulations.

SALARIES/IPPIS

The Internal Auditors are to ensure Ministry compliance with the IPPIS (Integrated Personnel and Payroll Information System) instituted by the government to ensure that only approved employees' names appear on the payroll; and that emoluments are computed accurately according to approved rates, on a consistent basis, and proper records are continuously maintained for staff emoluments.

STORES ACCOUNTING CUSTODY (FR2101)

Internal Auditors are to ensure that all movable properties purchased from public funds or otherwise acquired by government are accounted for in the best interest of the public service, and proper records are maintained by both stores and stock verifier.

STOCK VERIFICATION (FR CH.28)

To ensure complete and continuous verification of stock records, the audit is involved in monitoring and evaluation of serviceable and obsolete items.

Boarding/auctioning of plants and allocated and unallocated stores are carried out in the Ministry with a view to ascertain whether proper records are kept in compliance with the provision of the financial regulations.

PUBLIC PROCUREMENT CONTRACTS (FR CH.29)

Internal Auditors are to ensure that all procurement contracts are made through appropriations from CRF complies with Public Procurement Act 2007

AUDIT QUERIES

To ensure that all outstanding audit queries are promptly attended to and that adequate records thereof are maintained.

OPERATION OF INTERNAL CHECK

Internal Audit are to review the general soundness, accuracy and application of internal control in place at the establishment, both financial and otherwise. Also to review the general internal control system in the Ministry through the application of internal checks and surveys with the view to ascertain the accuracy and soundness of the system that has been put in place by the management to prevent fraud and safeguard public assets.

INTERNAL AUDIT REPORT

The internal auditor is mandated to produce comprehensive and detailed audit reports, that such reports are timely and relevant, and that copies are submitted to the Office of Accountant General of the Federation and the Auditor General of the Federation in accordance with the Financial Regulations.

The internal auditor’s duties include:

• Checking compliance with laws, instructions, and directives.
• Checking economy, efficiency, and effectiveness of resources
• Checking the adequacy of financial and accounting systems
• Checking the level of achievement of set objectives
• Checking the total operation of government for economic efficiency and effectiveness.
• Monitoring of disbursement of funds/cash of any programme of event within and outside the auditors on the IPPIS platform.
• Checking of personnel emoluments and records to staff through the role play by the auditors on the IPPIS platform.