CREDUT UNION REPORT 2013.pdf April 2013 | Page 41

GPSCCU Annual Report 2013 During the period under review, the following tasks were planned: • • • • • • • • Financial statement review and sign off Review of books and documents of the credit union Review of loan Files Cash audit Review of board minutes Review of the accounts of committee members, management and staff Review of complaints received from members Member confirmations Financial Statement review and sign off This task required the committee to ensure that the information presented in the Financial Statements correctly reflected the transactions that took place during the period under review. The Committee was of the view that the statements were correct to the best of its knowledge. Review of Books and Documents of the Society This area covered a wide cross section of activities including: • Investments • Securities • Loans • Review of Cash/ Bank accounts Investments The Supervisory and Compliance Committee carried out its review to ascertain whether the processing of Investments were in accordance with the Investment Policy and Procedures of the Credit Union. The review fulfilled two important objectives: • Confirmation that the amount of the investment stated in the Financial Statement was correct.-All investments undertaken during the year was reflected. • Confirmation that processes outlined by the policy were adhered to. (Proper documentation, signage, correct rate applied, requisite approval analyses, etc.) 40 Generally, the Committee was satisfied that the investments were supported with relevant documentation and that the amounts quoted on investments were correct. However, the Committee noted that greater compliance to the Investment Policy is needed in the following areas: • Board approval of Investments recommended by the Investment Committee. • Preparation of reports in accordance with the policy • Asset allocation requirements. Securities The Committee in accordance with By- Law 74 (2f), assessed whether the assets of the Credit Union were properly protected, in which case it is meant, that, the assets were insured against loss or damage. The SCC was satisfied that the assets were insured and the coverage was up-to-date. The categories examined were Fire and allied perils (Building & Contents), Burglary, Employer’s Liability, Public Liability, Money (cash in transit), Motor Vehicle and Computers All Risks.