aes to be issued 8213
TRANSCRIPT
7/26/2019 AEs to Be Issued 8213
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AEs to be issued
Accrued interest on loan
Acturaial Bonus
R and P Account
I and E Account
Unposted premium
Unposted loan recoveries
Cancellation of cheques
Pension contribution short adjustment
Pension contribution non adjustment 3
Depreciation Polic !
Adjustment of advance prior to receipt of assets "
Time barred cheques #
Reconciliation for 2009-10 $
Reconciliation for 2010-11 %
Telephone charges &
Amount under adjustment '(
!ariation in outstanding management e"pences ''
#epreciation on A$% #epreciation on computers ')
Cancellation of bank drafts towards loan and claim
&verstatement of misc'receipts
'3
!ariation in &() claims bet*een +alance sheet and
Reserve Account
'!
Rangaredd, A '"
Ranga redd, claims variations '#
Reconciliation of &utstanding cheque balances *ith
those sho*n in +alance sheet
'%
.on ma/ing reversal entries of cancelled ban/ drafts' '&
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Information to be obtained
Cheques cancelled durin* the ears +
,ear -ise . District -ise
/utstandin* Cheques at the end of the ear 0
,ear -ise . District -ise
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To be returned in original along *ith repl,
PA1 2144A5.414+#3.)(')+'3.AE 6o7)' Date8 )3 7(37)('3
9o
9he Director:Directorate of Insurance:
1overnment of AP
3#RA+A#-400001
4ir:
4ub8 Discrepancies in preparation of Reserve Accounts7
;;;;;; As seen from the proforma accounts: the amount of cheques and
Ban< drafts cancelled durin* the ear is bein* credited to the
outstandin* balance of claims7
Durin* the verification of accounts: it -as observed that there are
variations in amounts credited to-ards cheques and ban< drafts
cancelled as detailed belo-7
,ear Amountof
cheques
cancelled
Amountcredited
in
Reserve
Accounts
difference Amountof ban<
drafts
cancelled
Amountcredited
in
Reserve
Accounts
difference
)((&+
'('($"(!'# ($&& ')'&")# '($%&) #%!(#) 2+5"#")%(
)('(+
'' ')$!'&3( '')"'"%$ '"&(3") )!'%3# "%))'% 2+533(!$'
Based on the amounts credited in reserve accounts =Es -ere
passed to credit the same to outstandin* claims in proforma accounts7
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As seen from the information furnished to audit: ban< drafts for
the follo-in* values of claims -ere cancelled7
)((&+'( )('(+''
>aturit2 4A5 )$'"# !$$&'
>aturit 2B5 ")#%# %#(()
Death 24A5 ))$((
Death 2B5 ))))&
?o-ever: amounts -ere credited to other claims also in =Es
passed durin* the ears )((&+'( and '(+'' as detailed belo-7
,ear Death
claim
24A5
Death
claim2B5
claim24A5
claim2B5
=E 6o7 )! )" )# )%
)((&+'( ''(%&% ''&&!$ + +
)('(+'' + + &&"" )#"&$
Due to this: outstandin* claims -ere overstated in the proforma
accounts to the above etent7
urther: the above amounts -ere debited to insurance fund
adjustment account resultin* in overstatement of ependiture7
9his is brou*ht to notice7
,ours faithfull:
4r7 Audit /fficer . 414 #3
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To be returned in original along *ith repl,
PA1 2144A5.414+#3.)(')+'3.AE 6o7 Date8 7(37)('3
9o
9he Director:Directorate of Insurance:
1overnment of AP
3#RA+A#-400001
4ir:
4ub8 discrepancies in ma<in* reversal entries of cancelled
claim cheques and claim ban< drafts
;;;;;;As seen from the information furnished to audit : claim cheques
amountin* to Rs7'($#('!# and Rs7')$!'&3( -ere cancelled durin* the
ears )((&+'( and )('(+'' respectivel7
9he cancelled cheques consistin* of follo-in* polic amounts in
addition to other additions and recoveries7
,ear >aturit
claim24A5
>aturit
claim2B5
Death
claim
24A5
Death
claim2B5
claim24A5
claim2B5
)((&+'( )%!%3&% #(((#)3 &%"#3& &&$#3# '#!$#" 3('(&#
)('(+'' 3"3'3'! %3$$#"" $")#(3 ''%"!)" '3%('$ )"(%%3
9he above amounts are to be credited to respective claim
accounts outstandin*7 ?o-ever: the follo-in* amounts -ere credited to
the claim accounts in the proforma accounts )((&+'( and )('(+''
,ear >aturit
claim24A5
>aturit
claim2B5
Death
claim
24A5
Death
claim2B5
claim24A5
claim2B5
=E 6o7 )) )3 )! )" )# )%
)((&+'( )#3!##% !%"(%'" $$()(% $$3'!' '#)&'$ 3'&)"'
)('(+'' 3'$'$"$ "&'33)" %"("'" '($'3'3 '''#(( )')&#%
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Due to this: the outstandin* claims accounts -ere understated.
overstated as detailed belo-7
,ear )((&+'(
?ead ofAccount
Amount to becredited
Amountcredited
Understatement
2+5overstatement
>aturit
claim24A5 )%!%3&% )#3!##% '')%3(
>aturit
claim2B5 #(((#)3 !%"(%'" ')!&&($
Death claim
24A5 &%"#3& $$()(% &"!3)
Death claim2B5 &&$#3# $$3'!' ''"!&"
claim24A5 '#!$#" '#)&'$ '&!%
[email protected]@ claim2B5 3('(&# 3'&)"' 2+5'$'""
,ear )('(+''
?ead ofAccount Amount to becredited Amountcredited Understatementof outstandin*
claim
>aturit
claim24A5 3"3'3'! 3'$'$"$ 3!&!"#
>aturit
claim2B5 %3$$#"" "&'33)" '!%"33(
Death claim24A5 $")#(3 %"("'" '()($$
Death claim2B5 ''%"!)" '($'3'3 &!'')
claim24A5 '3%('$ '''#(( )"!'$
[email protected]@ claim2B5 )"(%%3 )')&#% 3%$(#
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urther: the above amounts -ere debited to insurance fund
adjustment account instead of outstandin* cheques account resultin*
in overstatement of ependiture and understatement of outstandin*
cheques7
9his is brou*ht to notice7
,ours faithfull:
4r7 Audit /fficer . 414 #3
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To be returned in original along *ith repl,
PA1 2144A5.414+#3.)(')+'3.AE 6o7 (( Date8 ((7(37)('3
9o
9he Director:Directorate of Insurance:
1overnment of AP
3#RA+A#-400001
4ir:
4ub8 discrepancies in ma<in* reversal entries of cancelled
cheques
;;;;;;Cheques or Ban< drafts are issued to the subscribers on
settlement of insurance claims7 In -ill consist of 4um Assured and
Bonus7 Certain other amounts -ill be added and certain amounts -ill
be deducted from the claim amount and cheque or Ban< draft -ill be
issued for net amount7
It -as observed that the additions and deductions are adjusted to
various heads of account as detailed belo-
Additions
.ature of amount added ead of account
Ecess -ithout interest Debited to Ependiture
/utstandin* premia Debited to premium in premium in
IE Account 2Income5
Interest on /.4 premia Debited to interest on premium in
IE Account 2Income5
Ecess loan Debited to outstandin* loan Balancesheet
Interest on ecess loan Debited to interest on outstandin*
loan in Balance sheet
Accumulation Debited to premium in premium in
IE Account 2Income
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#eductions
.ature of amount deducted ead of account
Arrears of outstandin* premia Credited to premium inIE Account 2Income5
Interest on /.4 Premia arrears Credited to interest on
premium in IE Account
2Income5
/utstandin* loan Credited to outstandin*
loan in Balance sheet
/utstandin* interest on loan Credited to interest on
outstandin* loan in Balancesheet
ee for duplicate poloc Credited to income
As seen from the records: the follo-in* cheques and
ban<drafts -ere cancelled durin* the ears )((&+'( and )('(+''7
,ear Amount of
Cheques
cancelled
Amount of
Ban<drafts
cancelled
9otal
)((&+'( ')!&)3'% &(%&)
)('(+'' '($"(!'# )')#"#
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As seen from the records: the follo-in* amounts added to claims
and deducted from *ross amounts of claims -hile issuin* of the above
cheques and ban<drafts
1ross amounts of the claims
6ame of claim )((&+'( )('(+''
>aturit Claim 24A5
>aturit Claim 2Bonus5
Death Claim 2Bonus5
Death Claim 2Bonus5
[email protected]@ claim 2Bonus5
[email protected]@ claim 2Bonus5
9otal
.ature of amount added 2009-10 2010-11
Ecess -ithout interest
/utstandin* premia
Interest on /.4 premia
Ecess loan
Interest on ecess loanAccumulation
.ature of amount deducted 2009-10 2010-11
Arrears of outstandin* premia
Interest on /.4 Premia arrears
/utstandin* loan
/utstandin* interest on loan
ee for duplicate poloc
Cheque Amount
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Reversal entries to the respective heads of accounts are to
be made in respect of the above cancelled cheques and ban<drafts7
?o-ever: the follo-in* =Es -ere passed in the proforma Accounts
=Es for the ears )((&+'(
=E
6o7
?ead of Account
debited
Amount ?ead of Account
credited
Amount
))Insurance und
Adjustment Account )%&('#!
/.4 claims b
>aturit 24A5 )%&('#!
)3Insurance und
Adjustment Account "(3$#3"
/.4 claims b
>aturit 2Bonus5 "(3$#3"
)!Insurance und
Adjustment Account &&'((!
/.4 claims b
Death 24A5 &&'((!
)" Insurance undAdjustment Account '(()&$&
/.4 claims bDeath 2Bonus5 '(()&$&
)#Insurance und
Adjustment Account '#)&'$
/.4 claims b
[email protected]@24A5 '#)&'$
)%Insurance und
Adjustment Account 3'&)"'/.4 claims b4@. P@ 2Bonus5 3'&)"'
9otal
=Es for the ears )('(+''
=E
6o7
?ead of Account
debited
Amount ?ead of Account
credited
Amounts
)) Insurance und
Adjustment Account 33#)")&
/.4 claims b
>aturit 24A5 33#)")&
)3Insurance und
Adjustment Account#)33)3%
/.4 claims b
>aturit
2Bonus5 #)33)3%
)!Insurance und
Adjustment Account %#$(("
/.4 claims b
Death 24A5 %#$(("
)"Insurance und
Adjustment Account '(&$&(!
/.4 claims b
Death 2Bonus5 '(&$&(!
)#Insurance und
Adjustment Account ')'"""
/.4 claims b
[email protected]@24A5 ')'"""
)%Insurance und
Adjustment Account )3&"#"
/.4 claims b
4@. P@ 2Bonus5 )3&"#"
9otal
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Due to this insurance fund adjustment account in IE
Account -as overstated b Rs and Rs 7
in the profprma accounts for the ears )((&+'( and )('(+'' respectivel
and
urther: 9he follo-in* heads of accounts
overstated.understated due to non ma<in* reversal entries7
ead of account Amount
to be
debited
Amount
debited
Ecess -ithout
interest
Ependiture
/utstandin*
premia
premium in premium
in IE Account2Income5
Interest on /.4
premia
interest on premium
in IE Account
2Income5
Ecess loan outstandin* loan
Balance sheet
Interest on ecess
loan
Interest on
outstandin* loan in
Balance sheet
Accumulation premium in premiumin IE Account
2Income
Amount
to be
credited
Amount
credited
Arrears of
outstandin*
premia
premium in IE
Account 2Income5
Interest on /.4Premia arrears interest on premium
in IE Account
2Income5
/utstandin* loan outstandin* loan in
Balance sheet
/utstandin*
interest on loan interest on
outstandin* loan in
Balance sheet
ee for duplicate poloc income
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To be returned in original along *ith repl,
PA1 2144A5.414+#3.)(')+'3.AE 6o7 (( Date8 ((7(37)('3
9o
9he Director:Directorate of Insurance:
1overnment of AP
3#RA+A#-400001
4ir:
4ub8 4hort debitin* of Pension contribution 0 understatement
of >ana*ement Epenses
;;;;;;Pension contribution for the emploees of AP1FI Department is
bein* included in the head >ana*ement Epenses7
Durin* the verification of pension contribution records it -as
observed that the amount of pension contribution permanent emploees
of the Department -as -or<ed out and proposed to the 1overnment7
?o-ever: the proposed amount -as not full sanctioned b 1overnment
as detailed belo-7
,ear Proposed sanctioned 4hort
sanctioned
)((&+'(
)('(+''
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