FINAL CONCURRENT AUDIT REPORT OF CUTTACK CENTRAL CO-OP. BANK LTD.

MAHAKALAPADA BRANCH FOR THE YEAR 2024-25

PART – 1
1) NAME & ADDRESS OF THE The Cuttack Central Cooperative Bank, Ltd
CCCB MAHAKALAPADA BRANCH

THE MAHAKALAPADA BRANCH

2) NAME OF THE BRANCH WITH At/Po Mahakalapada ,Kendrapara, Odisha-754224
ADDRESS :

3.AREA OF OPERATION OF THE

BRANCH.

a.Area of operation of the Branch The area of operation of the Branch is confined to
Mahakalapada Block only.
b.Date of the starting of the Branch

c.Name of the other commercial Dt. 27.06.1976

Banks operating in the area of
operation of the Branch.
1.PNB MAHAKALAPADA BRANCH
2. OGB MAHAKALAPADA BRANCH
MR.AKSHYA KUMAR DASH , BM
4. NAME OF THE BRANCH MANAGER (10.01.20 to 09.12.2024 & 21.01.2025 to till date)
WITH HIS PERIOD OF WORKING.
Mr. BASUDEV MAHARANA
5. NAME OF THE ACCOUNTANT (10.01.2020 to 21.01.2025) & PRIYARANJAN
WITH HIS PERIOD OF WORKING RATH (22.01.2025 to till date)
BRAHMANANDA & CO.
6. NAME OF THE AUDITOR WITH CHARTERED ACCOUNTANTS
DESIGNATION. CA SUMAN SAHOO ,PARTNER - Satya Prakash
Mishra ,Audit Assistant
7.AUTHORITY OF AUDIT Being duly authorized by the IOFS AGCS ODISHA
Bhubaneswar Vide order No-4568 Dated-
216.07.2024

8. NAME & DESIGNATION OF

PREVIOUS AUDITOR:- PATTNAIK & CO.
CA KAILASH CHANDRA MAJHI

9.DAYS DEVOTED FOR AUDIT BRAHMANANDA & CO.

A. Concurrent Audit CHARTERED ACCOUNTANTS
CA SUMAN SAHOO ,PARTNER - Satya Prakash
Mishra ,Audit Assistant April 24 to March-25 =120
days
B. FINAL CONCURRENT AUDIT BRAHMANANDA & CO.
CHARTERED ACCOUNTANTS
CA SUMAN SAHOO ,PARTNER - Satya Prakash
Mishra ,Audit Assistant 15.05.24 to 25.05.24 = 10 days
Total=130 days
10. DAYS TAKEN FOR PREVIOUS
YEAR AUDIT:- 130 days
11. NAME & DESIGNATION OF OTHER MR AKSHYA MANAGER (10.01.2020 to
STAFF OF THE BRANCH AND THEIR KUMAR 09.12.2024
PERIOD OF WORKING:- DASH &21.01.2025 to till
date)
Priyaranjan ASST. MANAGER (22.01.2025 to till
Rath date)
MR. Asst.Manager
BASUDEV (10.01.2020 to
MAHARANA 21.01.2025)

HIMANSHU SUPPORT STAFF (30.10.2023 to till

SENAPATI date)

JYOTIRANJAN SUPPORT STAFF (13.11.2019 to till

SWAIN date )

12.VERIFICATION AT THE
COMMENCEMENT OF AUDIT

I) VERIFICATION OF CASH Verified Cash Balance of Rs. 153532/-

BALANCE:- (Rupees One Lakh Fifty Three Thousands Five
Hundred Thirty two Rupees Only) in double lock
with Mr. PriyaRanjan Rath (Accountant) &
Mr.Himanshu Senapati (cashier) being closing
balance on 02.04.2025 which is tallied with
denomination register as follows

Rs 2000 x 0 =0
Rs 500 x 31 = 15500.00
Rs 200 x 62 = 12400.00
Rs 100 x 1132 = 113200.00
Rs 50 x 81 = 4050.00
Rs 20 x314 = 6280.00
Rs 10 x 207 = 2070.00
Rs 5x 6 = 30.00
Coin = 2.00
Total Amount = 153532/-

COMMENTS ON
A)MULTILATED/DEFACED
CURRENCY,NOTES,IF ANY IN There are no mutilated & defaced currency notes at
DOUBLE LOCK SYSTEM branch level.

B)RETAINTION OF CASH BALANCE

BEYOND PRESCRIBED LIMIT FOR Though cash balances have been retained
MORE THAN SEVEN DAYS beyond the prescribed limit in some days ,
the same is not for more than seven days
II)VERIFICATION OF POSTAGE
There is no balance on postage stamp for
Verification at the commencement of audit.

III) VERIFICATION OF BILLS AND There is neither bill nor securities for
SECURITIES IF ANY:- verification.
IV)INSURANCE COVERAGE OF CASH The Cuttack CCB H.O. has insured cash on
IN SAFE,COUNTER,IN hand, Cash in transit etc. amounting to
TRANSIT,BUILDING,VEHICLES ETC Rs 4,50,00,000 with United India Insurance
WITH AMOUNT INSURED OF POLICY Company for all Branches and H.O. for
NUMBER AND DATE OF EXPIRY the period from 01.04.2024 to 31.03.2025 vide
Policy No-2603022624P108809984
No separate insurance policy has been
made for Individual Branch .

V) SHARE CERTIFICATES IF ANY

There is no share certificate for verification.
VI) OTHER INVESTMENT IF ANY
There is no such investment for verification.

VII) BANK BALANCES

Bank Balance with other commercial Bank is nil Certified
Balance is attached.

VIII) GOLD PACKETS

The branch does not deal in gold loan.
IX) BILLS, IF ANY,
Nil

13. REPORTING ON BRANCH

MANAGEMENT.
Presently elected management is not in existence.

14. GENERAL WORKING OF THE

The general working of the Branch is to finance
BRANCH VRS BRANCHES OF
Both mostly agricultural and non-agricultural loans
COMMERCIAL BANK’S OF THE To PACS and individuals and other Co-operative
Societies keeping adequate loan and other
AREA.
Securities and tapping of various types of
Deposits from individuals and societies. Though
there are some Commercial Banks like PNB Bank,
OGB Bank etc. are operating within the service area
of the branch Bank, Yet the branch bank keeps pace
with them in the above business.
15. BRANCH ADMINISTRATION

The Branch administration is vested upon

Branch Manager along with his sub-ordinate
Staff in order to run the day to day affairs of the
Branch smoothly. There is a shortage of fully
Computer knowing staff in the branch for its
Smooth transaction.

PART-II
1.ASSETS
1) CASH :
A) DOES THE BRANCH GENERALLY CARRY The cash retention limit fixed by H.O. is Rs 40.00
CASH BALANCE WHICH VARY lakhs. The Branch keeps it within limit but exceeds
SIGNIFICANTLY FROM THE NORMS FIXED
some times for short span of days during period of
paddy procurement.
BY THE H.O.:-
B) DOES THE BRANCH HOLD ADEQUATE
INSURANCE COVERAGE FOR CASH AND Yes, Cash in safe, in counter and cash in transit
CASH IN TRANSIT?
insurance is done from the HO for all the Branches
as a whole.
C) IS CASH MAINTAINED IN EFFECTIVE
JOINT CUSTODY OF TWO OR MORE Cash balance is kept in the iron safe in effective joint
OFFICIALS AS PER INSTRUCTIONS OF
custody i.e. one key with the Accountant and other
one with Cashier are being the double lock officers
THE HEAD OFFICE? treated as key personnel of the Branch.

D) HAVE THE CASH BALANCES AT THE

BRANCH CHECKED AT PERIODIC INTERVALS
BY THE AUTHORISED OFFICIALS OF THE Yes, the cash balance is checked by the authorized
BANK ? officials (Branch manager of other Branch) of the
Bank during Branch inspection.

2. BALANCE WITH BANKS. No Current accounts with other Bank.

A) WHETHER BALANCE CONFIRMATION

CERTIFICATES OBTAINED IN RESPECT OF
OUTSTANDING BALANCES AS AT THE YEAR
END AND WHERE THE AFORESAID
BALANCES HAVE BEEN RECONCILED ?IF
NOT, THE NATURE AND EXTENT OF
DIFFERENCES BE REPORTED.
B) YOUR OBSERVATION ON THE
RECONCILATION STATEMENTS MAY BE
REPORTED IN THE FOLLOWING MANNER

I) CASH TRANSACTION REMAINING There is no such transaction.

UNRESPONDED (GIVE DETAILS)

II) REVENUE ITEMS REQUIRING

ADJUTMENT/WRITE-OFF (GIVE DETAILS) There is no such transaction.

III) OLD OUTSTANDING BALANCES

REMAINING UNEXPLAINED/UNADJUSTED
FOR OVER ONE YEAR (GIVE YEAR WISE
DETAILS)
There is no such outstanding balances.

C) IN CASE ANY ITEMS DESERVES

ATTENTION OF THE MANAGEMENT, THE There is no such items which deserves special
SAME MAY BE REPORTED.
attention of the management.

3. INVESTMENTS :
HAS THE BRANCH KEPT MONEY AT CALL &
SHORT NOTICES OR PURCHASED/SOLD
INVESTMENTS DURING THE YEAR ?IF SO,
WHETHER INSTRUCTIONS/GUIDE LINES IF
ANY LAID DOWN BY HEAD
OFFICE/CONTROLLING AUTHORITY HAVE
BEEN COMPLIED WITH? WHETHER THE
The Branch has not purchased or sold any share or
SECURITIES HELD IN THE BOOKS OF THE kept money at call and short notice with other banks
BRANCH ARE PHYSICALLY HELD BY IT ?
during the year under audit.

4. A D V A N C E S :
 THE ANSWERS TO THE
FOLLOWING QUESTIONS MAY BE BASED
ON THE AUDITOR’S EXAMINATION OF ALL During the year under audit no large
LARGE ADVANCES & A TEST CHECK OF
OTHER ADVANCES, IN RESPECT OF advances have been sanctioned and branch bank has
LARGE ADVANCES, ALL CASES OF MAJOR
ADVERSE FEATURES,
DEFFICIENCIES ETC. SHOULD BE REPORTED- advanced CC loan to individuals (under code no-142),
IN RESPECT OF OTHER ADVANCES,THE
AUDITOR MAY COMMENT UPON THE
RELEVANT ASPECTS GENERALLY ALONGWITH
where outstanding amount Rs 579222/-as on 31 March,
INSTANCES OF SITUATION GIVING RISE TO
HIS RESERVATION OR ADVERSE REMARKS 2025 which already become NPA. Branch should take
FOR PURPOSE OF THE ABOVE, LARGE Steps for recovery of this amount.
ADVANCES ARE THOSE IN RESPECT OF
WHICH THE OUTSTANDING IS IN EXCESS OF The Branch Bank also advanced MT (NFS) to
1%OF THE AGGREGATE ADVANCES OF THE Individual under 154 code where outstanding amount
BRANCH OR RS.1 LAKH WHICH EVER IS Rs. 1926589/- as on 31-03-2025 out of which
LESS.
Rs.1926589/- also became NPA. Branch should take steps fo
recovery of this Amount.

A) CREDIT APPRISAL
I) IN RESPECT OF ADVANCE The Branch has obtained loan applications in
SANCTIONED DURING THE YEAR appropriate forms prescribed by the H.O.The credit
UNDER AUDIT, HAVE YOU COME
ACROSS CASES WHERE THE
limits are prepared and approved by the Board of
BRANCH HAS NOT OBTAINED Management of the Society basing on the land
LOANAPPLICATIONS IN particulars of the loanees which are duly checked by
APPROPRIATE FORMS PRESCRIBED the Bank Supervisor & finally sanctioned by the
BY THE H.O.? Branch Manager. The loans are financed to loanees
basing on sanctioned credit limit.
II) IN YOUR OPINION HAS THE BRANCH
COMPILED WITH THE PROCEEDURES/
INSTRUCTIONS OF HEAD OFFICE
REGARDING PREPARATIONS OF PROPOSALS
FOR GRANT/RENEWAL OF ADVANCES, During the course of audit, it is observed that the
ENHANCEMENTS OF LIMITS ETC.
INCLUDING ADEQUATE DOCUMENTATION IN
Branch has complied with the
RESPECT THEREOF. procedures/instructions of Head Office.
III) WHAT IN YOUR OPINION ARE MAJOR It needs cent percent documentation. All documents
SHORT COMINGS IN CREDIT APPRISALS? could not be verified due to shortage of time.
B) SANCTIONING/DISBRUSEMENT

I) HAVE YOU COME ACROSS OF

CREDITFACILITIES HAVING BEEN
SANCTIONED BEYOND THE DELEGATED
There are no cases of credit facilities having been
AUTHORITY OR LIMIT OF THE BRANCH? ARE sanctioned beyond the delegated authority or limit of
SUCH CASES REPOTED TO HIGHER the Branch.
AUTHORITIES?
II) HAVE YOU COME ACROSS CASES
WHETHER DISBURSEMENT MADE UNDER
CREDIT LIMIT HAVE WITHOUT COMPLYING
WITH THE TERMS AND CONDITIONS OF THE
No disbursement has been made under credit limit
SANCTION. without complying with the terms and conditions of
the sanction.

C)I)DOCUMENTATION :-

I) HAVE YOU COME ACROSS CASES OF

CREDIT FACILITIES BY THE BRANCH
WITHOUT EXECUTION OF ALL THE Branch has executed the all required documents
NECESSARY DOCUMENTS? IF SO, GIVE
DETAILS OF SUCH CASES. Before releasing credit facilities.

II) IN RESPECT OF ADVANCES EXAMINED BY

YOU HAVE COME ACROSS DEFICIENCIES IN
DOCUMENTATION, VALUE OF SECURITIES
&INSPECTION THERE OF OR ANY OTHER
ADVERSE FEATURES SUCH AS FREQUENT/
UNAUTHORISEDOVER-DRAWING BEYOND Credit appraisal report have not been duly &
LIMITS, INADEQUATE INSURANCE properly filled up and properly made.
COVERAGE, NON-REGISTRATION OF
CHARGE ETC.
D)REVIEW/MONITORING/
SUPERVISION :-
I) IN THE PROCEEDURE LAID DOWN
BY THE HEAD OFFICE FOR PERIODIC
REVIEW OF ADVANCES INCLUDING
PERIODIC BALANCE CONFIRMATION /
Periodic wise review of advances including periodic
ACKNOWLEDGEMENT OF DEBTS FOLLOWED balance confirmation and acknowledgement of debts
BY THE BRANCH. are not strictly followed by the branch.

II) METHOD OF CHARGING INTEREST IN

RESPECT OF AGRICULTURAL ADVANCES- In case of agricultural advance interest is being
WHETHER INTEREST IS CAPITALISED AND IF
SO, AT WHAT PERIODICITY.
capitalized at the time of the closure of the loan
Account, which is irregular.

III) ARE THE STOCK BOOK / DEBT Cash Credit loans to individuals (code 142)
STATEMENTS & OTHER PERIODIC amounting to Rs. 579222.00 are NPA which are being
OPERATIONAL DATA& FINANCIAL
STATEMENTS ETC. RECEIVED REGULARLY
financed during earlier years. So stock/ Book debt
FROM THE BORROWERS &DULY statements and other periodic operational data and
SCRUITINISED? IS SUITABLE ACTION TAKEN financial statements etc are not received by the
ON THE BASIS OF SUCH SCRUTINY IN Branch.
APPROPRIATE CASES?
IV) IN THE CASES OF ADVANCES TO NON- Non-corporate entities advance beyond Rs10 lakhs
CORPORATE ENTITIES WITH are not sanctioned by the Branch during the year
LIMITED BEYOND RS.10 LAKHS WHERE THE
R.B.I. GUIDELINES WITH REGARD TO
under audit.
COMPULSORY AUDIT HAVE NOT BEEN
COMPLIED WITH?
V) HAS THE INSPECTION OR PHYSICAL
VERIFICATION OF SECURITY CHARGED TO
THE BANK BEEN CARRIED OUTBY THE
BRANCH AS PER THE PROCEEDURE LAID
DOWN BY THE HEAD OFFICE? WHETHER No Inspections & physical verification of security
SECURITIES AND DOCUMENTS HAVE BEEN charged to the Bank has been carried out by the
RECEIVED AND PROPERLY CHARGED / Branch.
REGISTERED?
VI) HAS THE BRANCH IDENTIFIED
&CLASSIFIED ADVANCES INTO
STANDARD/SUB-STANDARD/ DOUBTFUL/ LOSS
ASSETS IN LINE WITH THE NORMS
PRESCRIBED BY R.B.I./NABARD?
THE AUDITOR MAY REFER TO THE RELEVANT
HEAD OFFICEINSTRUCTIONS FOR The Branch has identified and classified advances
IDENTIFICATION OF NON-PERFORMING into standard /Sub-Standard. Doubtful/ Loss Assets
ASSETS & CLASSIFICATIONS OF ADVANCES. IF
YOU DISAGREE WITH THE BRANCH
in line with the norms prescribed by R.B.I./NABARD
CLASSIFICATION GIVE DETAILS OF SUCH in N.P.A. register which have been duly checked
ADVANCES WITH REASONS? during course of audit.
VII) HAVE YOU COME ACROSS CASES
WHERE THE BOARD OF CONTROLING
AUTHORITY HAS AUTHORISED LEGAL
ACTION FOR RECOVERY OF ADVANCES OR
DISCONTINUANCE OF APPLICATION OF
INTEREST ON DOUBTFUL ADVANCES OR The Board of controlling Authority has not suggested
RECALLING OF ADVANCES BUT NO SUCH legal action for recovery of advances.
ACTION WAS TAKEN BY THE BRANCH?
VIII) HAVE ALL IRREGULAR, STICKY/SICK
ADVANCES BEEN REPORTED TO THE
CONTROLLINGAUTHORITY PROPERLY? ALSO
STATE WHETHER ANY REHABILITATION
PROGRAMME IN RESPECT OF SUCH
ADVANCE HAS BEEN UNDERTAKEN & IF SO, No rehabilitation programme is being under taken
THE STATUS OF SUCH PROGRAMME! by the Branch in respect of sticky/sick advances.
IX) HAVE THE APPROPRIATE CLAIMS FOR
INSURANCE IF ANY, DULY LODGED & Yes during the year under audit the branch has few
SETTLED? IF NOT, INDICATE THE NUMBER
OF CASES & THE AMOUNTS INVOLVED.
receivables of claim hence appropriate actions should
WHETHER THE BRANCH HAS CREDITED THE be take to settle the said claim.
AMOUNTS TO THE CONCERNED?

X) WHETHER THE LETTER OF CREDIT

ISSUED BY THE BRANCH ARE WITHIN THE
DELEGATED POWER AND WHETHER THEY
Letters of credit issued by the Branch are within the
ARE FOR GENUINE TRADE TRANSACTIONS. delegated power of the Branch Manager.

XI) WHETHER THE BANK GUARANTEES

ISSUED HAVE BEEN PROPERLY WORDED
AND RECORDED IN THE REGISTER OF THE
BANK? WHETHER THEY HAVE BEEN
PROMPTLY RENEWED ON THE DUE DATES. There is no Bank Guarantee has been issued by the
Branch during the year under audit.

XII) LIST THE MAJOR DEFICIENCIES IN Loan has been sanctioned /renewed without creating
CREDIT SUPERVISION.
charges in case of old advances.

5.OTHER ASSETS:-
A) STATIONARY &STAMPS :
DOES THE SYSTEM OF THE BANK
ENSURE ADEQUATE INTERNAL
CONTROL OVER ISSUE & CUSTODY OF
STATIONARY COMPRISING OF SECURITY The Branch ensures adequate internal control over
ITEMS (TERM DEPOSITS, issue and custody of stationary comprising of
 RECEIPTS,DRAFTS,PAY ODERS, CHEQUE security items.(Term Deposit ,Receipts ,Pay Order &
BOOKS, TRAVELLERS CHEQUES, GIFT Cheques, Drafts etc.)
CHEQUES ETC.)
B)SUSPENCEACCOUNTS/SUNDRY ASSETS
I) DOES THE SYSTEM OF THE
BANK ENSURE EXPEDITIOUS
CLEARANCE OF ITEMS
DEBITED TO SUSPENCE ACCOUNTS?
Yes the system of the Bank ensure expeditious
DETAILS OF OLD OUTSTANDING ENTRIES clearance of items debited to suspense accounts.
& THE REASONS FOR DELAY IN ADJUSTING However there are 8 nos of accounts amounting to
THE ENTRIES BE ASCERTAINED 655605.40 where outstanding entries in suspense
Recoverable is more than 3 years. (Statement No.
16A)

II) DOES THE SCRUITINY OF THE ACCOUNTS

UNDER VARIOUS SUB- HEADS REVEAL In Our Opinion Out Of total suspense recoverable
BALANCES, WHICH IN YOUR OPINION ARE
NOT RECOVERABLE & REQUIRE A
amount 655605.40 is not recoverable and should be
PROVISION/WRITE OFF? IF SO, GIVE written off. (Statement No 16 A)
DETAILS THERE OF.

III) DOES YOUR TEST CHECK INDICATE

ANY UNUSUAL ITEMS IN THESE ACCOUNTS?
IF SO, REPORT THEIR NATURE & THE No such un-usual items in the above accounts
AMOUNT INVOLVED. Noticed during the Year under audit.

II LIABILITIES :-

1 DEPOSITS:-
I)HAVE YOU CHECKED THE TRANSACTION
ABOUT DEPOSITS RECEIVED AND REPAID Yes, we have checked the transactions about deposit
received and repaid by the Branch during the year
 under audit and found to be correct in all respect.
II)HAVE YOU CHECKED THE INTEREST PAID Interest calculation is being made in computer
ON DEPOSITS INCLUDING CALCULATION OF software.
INTEREST OF LARGE DEPOSITS INCASE OF
INDIVIDUALS & PACS ACCOUNTS.
Interest calculation is checked in some deposit
accounts and found correct as per computer
calculation.

III) WHETHER THE PROCUDURES Opening of new accounts during the year have been
CONNECTED WITH THE OPENING OF NEW followed as per instruction of RBI. But all old
ACCOUNTS HAVE BEEN FOLLOWED AS PER
RBI INSTRUCTIONS.
accounts have not yet been covered under KYC
norms.

2)BILLS PAYABLE / SUNDRY DEPOSITES

ETC.:-
I) THE NUMBER OF ITEMS & AGREGATE There is no Bills Payable A/C at Branch level as on
AMOUNT OF OLD OUTSTANDINGS ITEMS
PENDING FOR 3 YEARS OR MORE MAY BE
31.03.2025
OBTAINED & REPORTED UNDER APPROPRIATE
HEADS.
II) DOES YOUR TEST CHECKING INDICATE
ANY UN-USUAL ITEMS IN THESE
ACCOUNTS? IF SO, REPORT THEIR
NATURE & THE AMOUNTS INVOLVED.
There are no such un-usual items found.

III) HAVE YOU CHECKED CHEQUES

RETURNED/ BILLS RETURNED REGISTER
AND ASERTAINED THE REASONS FOR
RETURN OF THOSE INSTRUMENTS.
No such cases found.

HAVE YOU CHECKED INWARD

&OUTWARDREMITANCES( Ds,MTs/TTs)
H

IV) HAVE YOU VERIFIED CHEQUES

PURCHASED / DISCOUNTED BEYOND THE
No such cases found.
SANCTIONED LIMIT ON A SAMPLE BASIS.

III. FOREIGN EXCHANGE

TRANSACTIONS

FOREIGN BILLS NAGOTIATED UNDER No Such transactions are involved at Branch level.
LETTERS OF CREDIT (LCs),FCNR&
OTHER NON RESIDENT ACCOUNTS
WHETHER THE DEBITS & CREDITS ARE
PERMISSIBLE UNDER THE
RULES,WHETHER INWARD /OUTWARD
REMITTANCE HAVE BEEN PROPERLY
ACCOUNTED FOR,WHETHER
GUIDELINES ISSUED BY RBI REGARDING
THE ABOVE OPERATIONS HAVE BEEN
PROPERLY FOLLOWED UP.
IV. PROFIT AND LOSS
ACCOUNTS:
I) HAS THE TEST CHECKING OF INTEREST It is a Computerized Branch. Interest is being
REVEALED EXCESS / SHORT CREDIT OF Calculated by the CBS System. On test check we not
MATERIAL AMOUNT? IF SO, GIVEDETAILS
THEREOF.
found any mismatch.
II) HAS THE BRANCH COMPLIED WITH It is noticed that balancing and calculation of
THE INCOME RECOGNITION NORMS Interest are being made by the system of
PRESCRIBED BY R.B.I.? (THE AUDITOR MAY
REFER TO THE H.O. INSTRUCTIONS REGADING Computer. Income recognition norms prescribed by
CHARGING OF INTEREST ON NON-PERFORMING RBI on NPA loans are being strictly implemented by
ASSETS. the Branch.

III) HAS THE TEST CHECK OF INTEREST ON Interest on deposits has been paid to the customers
DEPOSITS REVEALED ANY MATERIAL properly and staffs are given 1% more than the
DISCRIPANCIES.
normal rate and the senior citizens are paid .5%
more than normal interest rates.
IV) ARE THERE ANY DIVERGENT TRENDS
IN MAJOR ITEMS OF INCOME &
EXPENDITURE WHICH ARE NOT
SATISFACTORILY EXPLAINED BY THE
BRANCH? IF SO, THE SAME MAY BE There are no divergent trends in major items of
REPORTED .FOR THIS PURPOSE, AN Income and Expenditure in the Branch for the year
APPROPRIATE STATEMENT MAY BE 2024-25. The Branch had incurred expenses within
OBTAINED FROM THE BRANCH MANAGER the approved Budget by HO.
EXPLAINING THE DIVERGENT TRENDS IN
MAJOR ITEMS OF INCOME AND
EXPENDITURE.
V) INDICATE THE EFFECT OF CHANGES IF
AND, ACCOUNTING POLICIES ON THE ITEMS
OF INCOME AND EXPENDITURE. (THE
AUDITOR MAY REFER TO THE
INSTRUCTIONS OF THE H.O. REGARDING No such changes effected in the accounting
THE CHANGES IN ACCOUNTING POLICIES). There is no changes in Accounting Policies on the
items of income & expenditure during the year under
audit by the Branch Bank.

V.INTERNAL CONTROLS
1. BOOKS AND RECORDS :
I) DOES GENERAL SCRUTINY OF THE BOOKS As it is a fully computerized Branch all loan and
OF ACCOUNTS INDICATE WHETHER THE Deposits accounts are maintained in computer. No
SAME HAVE BEEN PROPERLY MAINTAINED,
WITH BALANCES DULY INKED OUT AND
Subsidiary ledgers are maintained in manually
AUTHENTICATED BY THE AUTHORISED except NPA register & DCB statement which need
SIGNATORIES? Be maintained in computer. Balancing of all loans
And deposits account is being done in computer.
Scheduled balances of above accounts are checked
and reconciled with GL.
II) INDICATE THE POSITION RELATING TO
BALANCING OF THE BOOKS EXAMINED-
MAINTAINANCE & BALANCING OF
ACCCOUNTS, LEDGERS & REGISTERS
Computer is balancing all loan and deposit accounts
INCLUDING CLEAN CASH & GENERAL which are checked with GL balance and found
LEDGER. Tallied except Int. receivable on some loan Accounts.
2. RECONCILIATION OF CONTROL
AND SUBSIDIARY RECORDS.
I)HAVE THE FIGURES OF THE CONTROL AND
SUBSIDIARY RECORDS BEEN
RECONCILED AS AT THE YEAR END? IF NOT,
THE LAST DATE UP TO WHICH SUCH FIGURES All accounts have been reconciled i.e. Book
HAVE BEEN RECONCILED SHOULD BE GIVEN Balances are tallied with GL balance
UNDER THE RESPECTIVE HEADS. IN THE as on 31.03.2025
FOLLOWING PROFORMA.

Head of A/C Balance Reconciled

As per G.L As per as at Up to
subsidiary 31.03.2025
Ledger difference

3.INTER BRANCH ACCOUNT

A i) INDICATE THE DATE UP TOWHICH
RECONCILITION IN VARIOUS ACCOUNTS Inter Branch transactions have been reconciled As
PERTAINING TO INTERBRANCH TRANSACTIONS
( E.G DEMAND DRAFT PAID/ PAYABLE ) IS
on 31.03.2025. There is no outstanding entries in the
AVAILABLE WITH THE BRANCH. A YEAR WISE inter Branch Account.
BREAK-UP OF OUTSTANDING ENTRIES IN THE
INTER BRANCH ACCOUNTS. TOGETHER WITH A
STATEMENT OF THE REASON FOR THEIR
REMAINING OUTSTANDIING AND THE STEPS
BEING TAKEN BY THE MANAGEMENT IN RESPECT Year Debits Credits
THERE OF, SHOULD BE OBTAINED FROM THE
MANAGEMENT AND REPORTED IN THE
FOLLOWING FORMAT.
No of Amt. No of Amt.
entries entries

ii.STATEMENT OF STEPS BEING TAKEN BY

THE MANAGEMENT. Does not arise.

iii.) DOES YOUR TEST CHECK INDICATE ANY UN-

USUAL ENTRIES PUT THROUGH INTER BRANCH /
H.O. ACCOUNT? IF SO, REPORT THEIR NATURE &
AMOUNTS INVOLVED. No such entries noticed.
iv)ARE THERE LONG OUTSTANDING ITEMS
OFHIGH VALUE IDENTIFIED REGULARLY & No Legal action has been taken for realization of all
ACTION TAKEN THERE ON?
C.C. loan to individual.
v) RECONCILATION OF ENTRIES
OUTSTANDING IN THE INTER BRANCH AND
INTER BANK ACCOUNTS, SUSPAYENSE
ACCOUNTS, SUNDRY DEPOSITS
Inter Branch transactions have been reconciled as on
ACCOUNT,DRAFT ACCOUNTS ETC. 31.03.2025. Besides the above Suspense
Payable & Sundry Deposits A/Cs have been
reconciled as on 31.03.2025.
4.PREVIOUS REPORTS:
IN FRAMING YOUR AUDIT REPORT HAVE
 YOU CONSIDERED THE MAJOR ADVERSE
COMMENTS ARISING OUT OF THE LATEST
REPORTS, OF THE PREVIOUS
AUDITORS,CONCURRENT AUDITORS OR
INTERNAL The defects and irregularities pointed out in the
AUDITORS/ INSPECTIONS OR IN INSPECTION last year Audit Report have not been complied/
REPORT OF NABARD HAVE BEEN Rectified by the Branch. Current defects and
CONSIDERED? Irregularities during the year under audit are
Narrated separately in the defect sheet.
STATE THE VARIOUS ADVERSE FEATURES
PERSISTING IN THE BRANCH THOUGH
BROUGHT OUT IN THESE
AUDIT/INSPECTION REPORT.
5.FRAUDS
FURNISH PARTICULARS OF FRAUDS
DISCOVERED DURING THE YEAR UNDER AUDIT AT THE
BRANCH. GIVE YOUR SUGGESTIONS IF ANY TO There is no fraud detected during the year under
MINIMISE THEIR RECCURANCE. Audit.
6.MISCELLENOUS :

I) DOES THE EXAMINATION OF THE ACCOUNTS

INDICATE POSSIBLE WINDOW DRESSING?
No such cases notice.

II) COMENTS ON CLEARING OPERATION The branch is not undertaking any Clearing
Operations.
III) GIVE COMENTS ON DETAILS OF OFF-
BALANCESHEET TRANSACTIONS AND WHETHER THEY
ARE PROPERLY FOLLOWED BY THE BRANCH. GIVE The Branch is not undertaking any non-fund based
COMMENTS ON NON FUND BASED BUSINESS UNDER Business.
TAKEN BY THE BRANCH.

IV) GIVE COMENTS ON SUPERVISION ARRANGEMENT

AND EXTENT OF SUPERVISION OF PACS BY THE
BRANCH The Branch is not conducting supervision of
PACS regularly.
V) ARE THERE ANY OTHER MATTERS,WHICH YOU AS A No such matter noticed which could be brought
BRANCH AUDITOR WOULD LIKE TO BRING TO THE
NOTICE OF THE MANGEMENT OR CENTRAL to the notice of the management.
STATUTORY AUDITORS.

The following major problems are found in the

VI) AUDITORS MAY THEMSELVES IDENTIFY
PROBLEM AREAS AT BRANCH LEVEL /BANK AND Branch during the course of audit.
OFFER THEIR SUGETIONS TO OVERCOME THEM. 1. 100% KYC Compliance of all Loan and
Advance and Deposit accounts.
2. Agricultural Loan Should be disbursed only
to those farmers who have repaid their earlier
loan dues at least 7 days before the date of
disbursement of fresh loan to avoid the paper
transaction.
3. Steps should be taken to reduce Bank verses
Society imbalance position.
4. PACS Should be debarred from use of
recovered amount of loan towards their
administrative expenses.

For BRAHMANANDA & CO.

Chartered Accountant
FRN: 315153E
Date:
Place: CUTTACK
CA.SUMAN SAHOO
Membership No: 304451
UDIN: 25304451BMKZFV9034