Thursday, November 14, 2024
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Nineteen companies have misappropriated funds: Billions in losses

During the primary and secondary market transactions using EPF funds in connection with Treasury bonds, the Forensic Audit Report of the Central Bank reveals that the government has incurred billions of rupees pertaining to 19 leading companies in the country, according to Central Bank sources.

A committee was formed to look into any financial discrepancies that may have arisen during the Central Bank transactions from 2002 to 2015 and EPF transactions and according to its report many such details have been revealed.

According to the recommendations of the Presidential Commission, six forensic audits had been carried out and five of them have released their reports so far to the Finance Minister, Prime Minister Mahinda Rajapaksa. The other forensic report would be released once the judicial process has been completed.

What is a Forensic Audit Report

A forensic audit report goes beyond a regular audit report and examines an audit in a more judicial like manner. In a regular audit it usually states the limitations in the first section and details what factors had been considered in formulating the audit report.

According to certain recommendations of an audit, there are suggestions that investigations should be carried out beyond the limitations of an audit report in order to determine if an offence has been committed. Such recommendations were made by the Auditor General’s Department in the previous audit reports pertaining to the Treasury Bond transaction as well.

(Mirror)