PW.

" VHA'lrAhda

IT pR,OGRAMMES
AUD p& •
~~~mM;t~~w,~;@t%r,$%$,f~~
, , "~,~ ~~··t~~U~· %
~'"""'"~~~'-~%.~~,~,,~:•:,~~.:,: ...- - - Charitable Institutions & Public
~~ "'~'"""''"'~" ' .
(lj lrrtroductior1 Trusts

m Ueaning of Audit Programme

~elails to ·~e obtained be/or~
preparing an Audit Programme
(9) Educational Institutions Lilce,
Schools, Colleges and Univeraitie,
(JO] Audit Programme of Co-Operative,
I41 Acivantages ofAuclit Programme Society
[5} Disadvantages ofAudit Program~ (10.1] Audit of different types of Co-
/6} Points to be considered wlule Operative Society.
preparing an Audit Programme
❖ Exercise.
(7) Vizrious types o/Audit Programmes

\ [1] \ ~NTRODUCTION \ . .
There are certain common and certain special fe~tures o~ audit of vanous
institutions like hospitals, educational institutions etc. ,~luch are_ discussed hereafter.
At the outset the auditor must acquaint himself with certain co1n1non features
of audit;of any -b~siness concern or non-trading institutions. ( 1) Firstly, the auditor
should !Studv the constitution governing the institution and the byelaws or the
rules and r~gulations which govern its working. (2) Secondly, in any audit, it is
necessary to thoroughly verify all the cash receipts and p~'lllents. (3) Thirdly, the
assets and liabilities of the institution should be verified a11d valued as discussed in
the ch~pter on verification and valuation of assets and liabilities, (4) Further~ the
auditor should pay particular attention to the allocation of e"'--penditure into capital
and re-venue. (5) Equally important is to have the knowledge of any particular law
which is applicable to the institution under audit. If there are special provisions
regarding the maintenance of books and records and the presentation of accounts,
the auditor would be req~ired to see [Link] such provisions are duly cmnplied with.
(6) W~1ere _there are special types of transactions in any institutiQH like receipt of
d~nations m the case of a charitable institutions, they should be carefully checked
with relevant documentary evidences. . . .

I(2] IiMEANINGOFAUDI'TPROGRAMME l
~-auditor prepares a detailed plan of the audit work to be perfonned bv him
and 1t 1s known as Audit Programme. According to Prof. Mei s "4n ·audit
programme is a detailed plan o auditin work to b • d g · ;,;,; the
procedure to be fio/l d . .,. ~ e er orme , spec!J._dl1g
owe m~erificatio. oif ea I1 1·t . t
and giving tJ1e ec-t·1111 ttoritit· . . c em 111 the financial statemen,s
,, a1 ~ reqmred. " ·
1

(3) SG/Ad .A/c & Auditing ect_03-Ch_01/20f 9

 --
. 4

B. S. SHAH
d _Accordi_ng to Stettler, "An outline of all procedur es lo be followed in
0 AUDIT
r e; to arnve at an opinion concernin g client's financial statement s."

at d' AJOO : Planning an audit · of financial statemen ts suggests that the

•tor should prepare a written audit programm e setting forth the procedures
t iat are needed to impleme nt the audit plan.
partnen
should
(6)
T!ius~ audit program me can be defined as "a logically planrted aspects
e~am1na tion specifyin g the audit procedur es to be applied in given should
circu111s tances for accompl ishing the audit objective s: giving an estimate \ techni1
of ti1ne required to finish a particul ar work and laying down (7
responsi bilities of members of audit team.
oithc
[3] DETAIL S TO BE OBTAIN ED BEFORE PREPAR ING AN AUDIT

~-
PROGRA MME
The auditor should obtain the following details before preparing an audit \
program me:
(1) Appointm ent: The auditor should first ascertain that his appointment is
properly made. Where a re~olutio~ appointin g him as the auditor is required to be (2)
passed, the auditor should see that such a resolution is· passed. Where he is
appointed in place of another chartered accounta nt he should obtain no objection
letter from his predecessor.
In the case of B.N. A1ohan Vs. K.C.J. Satyavadi (1954) it ·was held that an
(3)
auditor is guilty of professional misconduct if he accepts his appointm ent as an
auditor ,vithout first con1municating with the retiring auditor. In this case, the auditor
was appointed in place of the other auditor, the ~ewly appoint~d auditor had failed
to ascertain that the requirements of the law for his appoi:r:itment were not complied
with. Further he informed the retiring auditor only after a week from tl~e date on (4)
which he accepted his appointm ent. The auditor was held guilty of professional
miscondu ct and was severely repriman ded.
(2) Account ing System : The auditor should also ascertain the accountin g
(5)
system or the method of accountin g according to which the accounts are written.
Also, he should obtain a list of books and accounts maintain ed by the client.
(3) System of internal check: The auditor should verify ~vhether the system of
internal check is efficient. If there are any loopholes~ he should pay due attention
while conductin g the audit. ·
(4) List of officers with their rights and duties: The particular s regarding the
~
(1)
na1nes of officer and their rights and duties should also be obtained. The auditor
should have the knowledg e regarding the person who are in charge of writing
different books of account.
(5) The constitut ion and the regulations of the institution : The constitution (2)
under which the institutio n is establishe d should be studied. In the case of a joint
stock con1pany, the Memoran dum and Articles of Associati on and in the case ?fa
. . (3)
•
Fi

[l
AUDIT PROGRAM MES

partnership firm, the deed of partnership etc sh Id . 5

s should examine the trust deed in resp t ·f odu. be Sfudicd. Similarly, U1c auditor
. • ec o au lt of trust nccounts.
(6)Techmc al [Link]: Ifthea d' . . .
·t ,:vi'll b u ltor 18 acquainted with the tcchni~l
aspects of the business 1
· every easv· for h'm
1 t0
carry out the audit. He
should~ therefore, visit the client'sfac ··
technical aspects of the business. tory and have some knowledge regarding the

- (7) Re~ort of 1>revious auditor : The auditor should obtain and studv the report
or the pr{:v1ous year. ·

ADVANTAGES OF AN AUDIT PROGRAMME :

) _ Pro~s clear-cut instruction s - ,ti. written credit programme provides
clear of instruction s about the work to be. done
. a
the assistants w1!,h
by the111.
(2)
~ rovides a \otal y_eyspective - A writter audit programme reduces
?ossib~lity ~noring or overlooking certain boQl<cs and records. without
it~ assttants cannot get a perspective of the work to be performed and
1nay also end up repeating unnecessar ily much of the work carried out
at previous audit.
(3)
P ~ s a tool for efficient distripution of work - An audit programme
is preparea keeping in 1nind the level of competence and. experience of
individual 1ne1nbers of audit team. [Link] members are given routine
work and senior 1nembers handle the more complex assignment s.
(4) Assists in fixing resl>.Q!!Si bilit~r- wo-i:k-ae-rie - An audit programme
±ncropora tetnedetai ls of allocation of duties among the members of
audit temn. The work done may be traced back to the individual staff
1ne1nber. .
(5) H~lps in asses.sing_ ..[Link],re~ 9,i ,~·~k- .. An au~itor can assess the
progress of all audits by exanun1ng the audit programme s and
ascertainin g what part of audit work has been completed and what
re1uains to be done.

DISADVA NTAGES OF AUDIT PROGRAMME =

(1) Audit work bec0111es mechanic,al - The audit procedur~s are listed in
detail As a . result work becomes mechanical . particul_ar parts ~f
pro~r~m1n e iuay be executed without proper understand ing of theu
significanc e to audit process. . d out bv audit assistants
(2) . 'd' Tl listed procedures are carne .
R1g1 1ty - 1e .
.in bus111ess . such as changes in internal
despite changes operations
control syste~ ?r• staff. . . d·t assistants may _take shelter
(3) Shields inffic1ent staff-Ineffi cient au t
 AUI
B, s. SHAJ-1

. . their own work refc

, d their [Link] in t ined
behind the programme 1.e. defen . in the matter were con a boo:
on the play that no fixed instructions alsc
therein. . ff It may put fetters on th e
(4) Reduces the initiative of efficient sta · b They may be able to
initiative of efficcnt and intelligent staff mem ers. don
·
d · themselves and
decide upon the audit proce ures GAN AUDIT
exp
[6] POINTS TO BE [Link] WlllJ..~__P~~ - --~····
PROGRAMI\'IE
she
\ /v ,,,. Point to be considered while preparmg
• an A udit Programme : fac1
( 1) Constitution and Regulation cas
(2) Ac~ and Provisions for such institution Th
(3) Accounting System and Book of Accounts to,
(-+) Internal check system not
(5) Vouching of cash receipts ver
(6) Vouching of cash payments . :1 • • lial
(7) Verification and valuation of assets and bab1hties.
(8) Allocation of e:\.-penses bet\veen capital and revenue.
ex1
While preparing the audit programme of any mstltutlon, company or society,
m1:
the auditor fl1ould take the following points into consideration: ·
pre
(1) Constitution : He should examine the constitution and the regulations of
the institution. In case of Partnership finn he should examine the deed of partnership.
del
In case of a joint stock company, the Memorandum and Articles of Association the
should be examined. Similarly the bye-laws should be examined in case cf audit of re\
a co-operative society.
(2) Provisions of Act: The auditor should also examine and ascertain which ~
Act (Statute) is applicable to the institution. The main provisi_ons which are required
to be complied with by the institution should also be noted e.g. in the case of a Vihe
partnership firm, the Partnership Act~ 1932 will be applicable. The C01npanies Act,
2013 in the case of a joint stock company shc,uld be studied. Similarly, the Co-
operative Societies Act, 1912 in the case of Co-operative Society and the Banking
Regulation Act, 1949 in the case of audit to bank should be studied.
(3) Accounting System : The detailed audit progrmnme can be inore easily
f mn1ed if the system of accounting adopted by the institution is first exainined. Th~
auditor should see that the system of accounting is proper and confonns to the
nonnally accep~ed principles of accounting. Ho.
(4) System of Internal Check : Whether there exists a proper internal check
system should also be ~xamined. The audito~ should see that there is an existence cha
a proper and adequate mtemal check system m respect of receipts and payments of the
cash: purchase of raw materials, sales of finished products, payment of wages and Put
salaries. stock to finished goods and the purchase and sale of assets.
con
 . .
AUDI T PRO
[Link] .ng of cash rece ipts snou h1a oe done W1t1
. ts . The vouc 111 .
·l I (5) Cash Recc ip · t "'' evid ence s like, rece ipts,kcas f vouc hers , Passl
·vc docu 1nen a .. ., . . b
reference -to re Ia t_1 . rope rly cred ited int 11e oo so acco unt should
C
'T hat all 1nco1nes are P ,
I boo k .e l c.
also be e~ainined. . S. nilar ly the vouc hing of cash paym ents should
ue b be
(6) €ash Paymcntls . u ece1·pts , pass book , coun ter foils of .cheq Ook
r
·fy 1· ng vouc 1ers, nden
done by ven . ce The audi tor shou ld asce rtain that all 1s
unt. t le
and other relevant ~orrespo acco u~te d for in the book s of acco
. enses of the· busin ess are . , h
anon of ah : e asset s and liabilities
I exp (7) Verificatio n : The verif icatio n and vm;u
_and bu(lding,
should then 1:Je carri ed out. The exist ence of the a~se ts hke land
receivable,
factory plant & machinery, furniture and fi::-..~res, vehic les, debto rs, bllls
examined.
cash balance. bank balance: closing stock, 1nvestment_s etc. shou ld be
be examined
The tit~e deeds of the assets and othe r docu men ta~ evid ence should_
to ascertain the owne rship of the assets. The audi tor shou ld asce
rtain whether or
auditor should
not these assets are free all encuinbrances and charg es. Sitni larly the
that all the
verify the liabilities and ascertain their correct value . He shou ld ascer tain
liabilities are accou nted for in the books.
the
(8) Allo catio n of Expe nses : The audi tor shou ld care fully exa1nine that
accou nts. Any
expe nses are prop erly class ified behv een capi tal an~ reve n~e
affect the true
inistake in alloc ation of expe nses into capit al and reve nue whic h
expenses are
profit or loss_of busin ess. The audi tor shou ld see that all reve nue
are shown in
f debited to profi t and loss acco unt and that all capi tal paym ents
the balan ce sheet. In the same. ·way, the audi tor shou ld exa1nine
the receipts on
1 revenue and capit al accp unt.
f
\J<..:i
VARIOUS TYP ES OF AUDIT PRO GRA MM ES:
h
:d
v.- Acco~ding to_ the New sylla bus of the Sout h Guja rat Univ ersity ,
the following audit prograffilnes is to inclu ded :
the study of

a (1) Trust s
:t,
(2) Educational Institutions
o-
1g (3) Co-operative Societies

ily {8) CHA RITA BLE INSTITUTIONS & PUB LIC TRU STS :
'he ols, Colleges•
Hos; !:~~~ :i~~~ ri~~~ ie ins~tui?ns_include Tem ples, Mosq ues, Scho
lhe
Trust s ate
of two ki~~:e(~nStl~tions are regis ter~d as publ ic trusts.
eek !he audit is not con1
P
ulj
~1vate Trus t (2) Pubb c Trus t. .
0 ~ uud er statu te for priva te trust s while pu
bliC or
dill
ehantable trusts ha
nee
sof g:t
the ~bli c Trust Ac;~st~ the~r ac_counts audi ted as regu ire~
[Link] :L In IPb8Y
State The :50J11
and Public Trust Act 1950 . . perat io~ in sever al States. In Guja rat Id
While catry· is in (?peration.
consi der the foU~~~i~gutptl~e audi t of char itabl e insti tuion s
the auditor snoll
01nt s:
 7
I

( 1) C t· · • ll. S . S HAH
. ons atutmn and Rcgul f . . . AUDIT P
of the mstitution , Ifit is a ubl" a IO~s • TI1e auditor should examine the constitution
(2) Act and p (iv) I
.. p ic charitable trust, the trust deed should be cxam.i ned.
,
provisions should b t d ' _ .· The Bo m_b ay p ubl.1c T rust Act 1950 and its relevant
rov1s1ons The ade<:
(v) ,
,1f trust funds t ~s u 1~d by the auditor. Tlie provisions regarding investments cxcccdi11
1.1st funds sh' ~~~ er of unmovable properties, application of trust income and
(vi)
by the Incom~~t . e care~l_ly noted. Where the exemption is granted to the trust
issued b
· . . ax authorities, the auditor should see that the conditions and
prov1s1ons of the Income-tax Act are dulv complied with. (8)
c-xpen~
f (J) Ac~ounting system and account~ : TI1e auditor should ascertain the method accouni
0
acc~unting followed by the trust. The accounts are required to be maintained in
prescnbed fonns. Every year the public charitable trust has to file the prescribed
schedules No. 8, 9, 9-C and audit report to the Charity Commission er. The auditor
should see that these f onus arc filed in time.
EI T1
(4) System of Internal check : The auditor should examine whether or not, the their a
system of internal check as regards collection of rent,. donation, grant etc. is efficient. their ,
(5) Vouching of Cash Recei1>ts : Depar
· · (i) The auditor should see that the receipts of cash are..correctly recorded in the T
books of account The auditor should carefully vouch the cash receipts of the trust of sue
or institution. The counterfoils of receipts should be verified with entries in cash C
book. case<
(ii) The Investment Register and Investment Ledger should be examined to audit
verify the interest received by the trust. Where tJ1e tax has been deducted from (
interest or dividend: the auditor should see that the refund of tax is obtained. shoul
(iii) Th~ rent note and i:@eetpt~ ~honld be checked for verifying income from body
rent. acco,
(iv) When any donation is$.C-eived with specific direction for a specific plJ11)0se,
the auditor should see that the amount is utilised for that purpose only. profi
ofP1
(6) Vouching of Cash Payments:
She(
(i) The payment of cash should be verified with cash vouchers as usual.
(ii) The resolution of meeting of committee shculd be examined in respect of
exi.s-
ations given to other tn1sts. institutions and beneficiarie s. .
mor
(iii) The vouching of managemen t expenses should be done a.s usual.
rega
(7) Verification and valuation of assets and liabilities : The verification and and
uation of assets ad liabilities should be carried out as usual. '
(i) The auditor should physically verify the cash balance on hand on the date
tuit:
of audit and compare the palance with balance as per cash-book.
gov
(ii) A statement ofinunovab le properties held by the trust duly signed by the divi
trustees should be obtained. The auditor should verify the title deeds of the property
which should be in the name of the trust.
exa
(iii) Particular attention should be paid to ascertain whether the assets of the arr1
trust are used for the purpose of the trust.
ent
fAH
AUDIT PROGRAMMES
10n
!d.
nl
rs
(iv)Amowlt of debts
(v) Whetller tenders ha
.
r:
The adequacy of the pro~~:~ding for more than one 'Car •
bad and doubtful d.;bts ~hould be investigated
exceed_ing in value of Rs. 500;e en invited for repairs a~~o~~! be examined.
d . (v1) The amount aid f, . . . strucuons work
issued bv Clmritv Co p . ~r adlmmstrative fund should b
il (8) Alioc t.. m1mss1oner. e examined with receipt
i . a ion of expenses int .
expenses. and incomes 1s . ma de on th b and
o capital • i-c"·enuc ·. W11 etl1er the allocaf r
accountmg
9 should b . . e as1s
e exammed by the auditor of normall mn
y accepted principles of o

(1 EDUCATIONALINSTITUTIONS~IKE SCHOOLS, COLLEGES

AND UNIVERSITIES ;

. The educational institutions includes h

t11e~r audit is not com11.~lsory under star:i ools, co_lleg_es ~nd unive1sities. Though
tl1e1r accounts audited under the inst t _e, such mstitutions are required to get
Depa,,,-,....... -
.,.,en! o~ vcrsily. _rue mos af Sclmnl
---- Roar.d c
. ,--,,-tate Education
following points sl1ould be taken mto
Theinstitutions.
of such . carrying out the audit
. account wlule

(1) Constitution and Regulations : The d .. .

case of audit of a school or college Th 1;.°~t eed sh_ould be exa1mncd m the
audit should be carefully noted. . e prous1ons relatmg to the accounts and
(2) Act an_d Pro,·isio~s : In case of audit of a university, the applicable statute
should be studied. Tlte 1ru~ute book of the managing committee or the goYeming
body should also ~ exanuned, to ascertain whether the requirements relating to
accounts and audit are duly observed.
(3) Accounting System : The motive of educational institution is not to make
profit. Such institutions t11erefcre prepare Incmnr ancl Expenditure Account instead
ofProfit and Loss Account. The Receiptsaii°d Payments Account and the'Balance
Sl1eet are also prepared n·hich have to be audited.
(4) System of Internal Check : It is vezy important to observe whether there
exists a system ofintemal check, since these institutions arc dealing with the public
money. There sl10uld, therefore, be in existence an efficient intemal check S)-Stem in
regard to purchase ofstationery. payment of salaries, books and periodicals (library).
and all other receipts and payments.
(5) Vouching of Cash Receipts : The cash receipts arc nonnally compris~ of
tuition fees, gymkhana fees, penalties, examination and other fee~, e~trnncc tee~
government grants, donations, income from immovable properties, mtercSl an
10
dividend. . · I Id b
(a)
' For verification of receipts offees.
. the
d fi of 1ts; .e
•stcr Where tie icesuare rn
counterfoils receip
examined with students attendance regiSter an ees rcgi j I opcr accounting
arrears or are received in advance, the auditor should see t ia pr
entries in respect thereof are passed.
 J" B, 8. SHA H
AUD IT
(b) The irrec o\'er oble fees shou ld be writt en off only
after a reaol ution for to inco:
writi11g ofTth e same is pnss ed by the mnn ngin g comm
ittee . -incom e
(c) Parti cula r nltention shou ld be paid to the fees recei
ved towa rds vario us
facilities like, Library, Laboratory, Examination etc.
credited to respective heads of accounts .
It should be seen that they are ~
o:
(d) The entrance-fee receipts should be·verified with Soci et i
the entrance form s duly
signe d by the Principal. Where a register of newly adm impo rt
itted students,is maintained.
the same shou ld also be examined . belo w
(e) The auth ority of sanctioning freeship, scholarship, etc. (2
should be vested
with some responsible official. oper at.
(f) The amo unt received as gove rnme nt gran t should amc m
be verified with relevant must b
corr espo nden ce.
(g) The inco me from interest on investments shou (3
ld be vouched with investment with tl
registers and warr ants. Where the investment is mad e for
a specific purpose, the alter at
audi tor shou ld see that the interest from such investment
is utilised for the purp ose obtain
specified.
ofCo -
(h) The inco me from rent of land and building shou
ld be verified with, reference (4
to rent norc or agre eme nt and receipts issued to the tenan
ts. Whe n a Rent Regi ster depa rt:
fo main taim..:d the same should also be checked to find
rent.
out tl1e amo unt of unpa id cases.
ofCo -1
(6) Vouching of Cash Pay men t: The vouching of
cash paym ents shou ld be righ ts
carried out in the following man ner :
(5
(a) Sala ries paid to employees, teach ers and profe
,vith salar y regis ters, appo intm ent letters, cash book
ssors shou ld be vouc hed u
, bank pass book etc. The appr m
incre men ts gran ted to the employees should be examined
with letters of incren1ents (1
and resolutions of man agin g committee.
Act. 15
(b) The capi tal e:\.l)enditure should be vouc hed with (2
relev ant bill~ and receipts.
(c) Othe r office and adm inist rativ e expenses should. Co-op,
be vouc hed as usual.
Where the expe nses are on a large scale the same shou i(3
ld be care fully vouc hed.
(d) The syste m of purchase of stationery, furn iture and equi State C
pments shou ld be
carefully studied. of Gen
I
(7) Verification and Valuation of Assets and l~iabilitie years.
s;
(a) Cash on hand and bala nce with bank shou ld be (6,
verif ied as usual.
(b) Thr stoc k of stati oner y and furn iture shotLld be Tl
phys icall y verif ied and
compared with the bala nce as per stock registers. prim ar
(c) All the debt s and liabilities shou ld have been acco Tl
unte d for.
~d) The inve stme nts and securities shou ld be phys Accord
ically verif ied by the auditor.
The mvcstment_s mad e for specific purp ose shou ld have
been sepa ratel y show n. once a:
. (8) Allocataon of expe nses into Cai>ital and Revenue pairiel a
: Sinc e the expe nses of
capital nature are show n in the balance-sheet and the reve Th
nue c::\.-penses are char ged
incase 1
 1l
SHAH ' .• . . Id see that the expenses and
AUDIT p1,oGRAMl\lbS t the auditor s hou unts.
to [Link] an d revv,c ~n~u:e~a~JVES
c~c::-o~~ru~nv-;-i
m for . nditllfC uccoun.
to i11co~11e nnd cxpc dcbired - SOCIETY:
-incomeb 1re correctly OF CO OPERA T .
trious UD IT PROGRAMME
~yare (JO) A ith the pr ovisions of the · Co-operative
S
. , . Id be conversant w_ -o erative society. ome of the
( lJ nn auditor sl;°u ndertakes the aud1_t ofSco . ~ies Act, I ~61 are discussed
duly Societies Act. when lC u . rq_!_J:CJO t_-QJOO~e~r_.2a.!;!
u~v-=---
e _o_c_1e__ - -
· t rovisions of GuJa!:?t
:ned. 11nportan P - ly to the Registrar of Co-
below · persons can app
ft b
sted
(2) Rcgistr~tion : A mi~imum o_ en A Co-operative Society can a 1so ecome
operative Societies for fonnmg a society. federal society, at least five societies
a mcniber of another society. In order to fonn a
rant
must be the members. their bye-laws and get the1n registered
(~)Bye-laws: .Every soci:ty ~hould fr~:l:s of A~sociation of a co~1pan~. If any
1ent
with the Registrat. They are 5 imilar to A tl pennission of Registrar 1s to be
the b d 1·0 the bye-laws 1e · •
JSe
alterations are to e m_a e . t1 :fi ' 0 their bve-laws and the prov1s1ons
obtained. Every society is bound to stnc Y O '". 11 •

of Co...operative Act. . -ve societies is entrusted to the

( . ) Tl d' f tl accounts of the co-opera11
~
ice
ter le au_ It O le. · .
department auditars work:mg under th e Registr
-·ar
ofCo-o
-- _pe
----~.- · .
rauve Societies. In
db tl R · t
.
certam
1id cases;. such audit is also conducted by the panel aucfffors ap~rov~ Y le _egis rar
of Co-operative societies. TI1e provisions relati°:g to th~ quah:fica~ons. appointJ.n~nt,
Je rights and duties of the auditor of a co-operative s~c1ety a~e discussed below .
(5) Qualifications of an Auditor of a Co-operative Society: .
:d · Under rule 38 of Co-operative Societies Rules 1965. the following persons are
le of
approved as the auditor a co-operative society.
ts ( 1) A Chartered Accountant within the n1eaning of the Chartered Accountants
Act. 19-+9. (

I.
1(2) A person who holds a Government Dipl01na in Co-operative Accounts or in
Co-operation and Accountancy. or
/(3) A peoon who his served as an auditor_in the co-operative department of the
State Government and whose naine has been included by the Registrat in the panel
of qertified Auditors published in the Official Gazette atleast once in every three
years.
(6) Appoint~~n! of an Auditor of a CO-O]>erativc Society :
. T~e respons'.b1hty of tl1e audit of the accounts oflhe co-operative institutions
pnmanly rests with the R~gistrat of Co-operative Societ ·
Tl p . . I . 1es.

}'.~;r:~: :eR~r~:~~:
A ;~ ;ovi;ion re _ating _to the audit of the Co-operative Societies Act. I 961.
0: : : 1 r~uired to audit. the accounts of a society atleast
0
pa111el auditors. allot the audit of Co-operative Societies to the
Thus unlike the company where I . . .
incase of a co-operative socie~ tl t ie_ aud~tor 15 appointed by the shareholders
' le auditor 15 appointed by the Registrar of Co-