CONCURRENT AUDIT REPORT

INDEX
Format
Title Periodicity
No
M-1 Business Profile of the branch Monthly
M-2 Major observations Monthly
M-3 Special Reports Monthly
M-4 Report on special report submitted Monthly
M-5 Report on opening of accounts Monthly
  Irregularities /discrepancies in deposit accounts Monthly
  Verification of High Value transactions Monthly
  Conduct of new deposit accounts Monthly
Fixed deposit accounts including cumulative Deposit
Monthly
  accounts
  Verification of staff accounts transactions Monthly
  Verification of exceptional transactions Monthly
  Verification of Interest paid/payable Monthly
  Verification of penal interest on premature withdrawals Monthly
M-6 Report on Inoperative accounts Monthly
M-7 Report on debit balances in CD/SB accounts Monthly
M-8 Irregularities in fresh sanctions and disbursals Monthly
M-9 Due diligence Monthly
M-10 Pre-sanction Inspection Monthly
M-11 Post disbursement Inspections Monthly
M-12 Report on Excess Drawals allowed Monthly
M-13 Report on Adhoc/casual sanctions allowed/ not adjusted Monthly
M-14 Report on Overdue Credit Limits (For Renewal/Review) Monthly
M-15 Age-wise details of overdue limits Monthly
Report on accounts where EM formalities and ROC
Monthly
M-16 formalities are pending
M-17 Credit Audit ( Pre Release & Post disbursal)) Monthly
M-18 Statement of exercise of delegated authority (Annexure-I) Monthly
M-19 Report on stock statements/Inspections Monthly
M-20 Report on stock statements/Inspection beyond 3 months Monthly
M-21 Borrowal a/cs with inadequate/ lapsed Insurance cover Monthly
M-22 LGs and LCs issued/renewed Monthly
M-23 Report on invoked letters of Guarantee Monthly
M-24 Devolved letters of credit outstanding for more than 15 days Monthly
M-25 Expired LGs and LCs (to be reversed) Monthly
M-26 Accounts with warning signals likely to become NPAs Monthly
M-27 Report on SMA and restructured accounts Monthly
M-28 Bills Purchased/discounted in excess of sanctioned limits Monthly
M-29 Overdue Bills/cheques purchased/discounted Monthly
M-30 Report on bills purchased beyond delegation Monthly
M-31 Drawing against uncleared effects/collections Monthly
M-32 Bills Purchased – Returned unpaid Monthly
Cash management, security items, stationery, postage and
Monthly
M-33 stamps, etc.
M-34 Checklist for cash at ATM accounts Monthly
Page 1 of 41
M-35 Outstanding under ANINA heads beyond three months Monthly
M-36 Report on fraud prone areas Monthly
M-37 Detection of fraud during audit Monthly
M-38 Statement showing revenue leakage Monthly
M-39 Expenditure incurred by the branch Monthly
M-40 Irregularities of earlier audit not rectified Monthly
M-41 Report on KYC and AML Monthly
Recovery of TDS on applicable TD, payment to
Monthly
M-42 contractors/landlords
Pension payments, PPF, Collection of tax, other Govt.
Monthly
M-43 business, etc

Page 2 of 41
 CONCURRENT AUDIT REPORT

Report Date : 4/01/2018

Branch : Rajasthan Housing Board

Alpha Code/ Number : 03291

Region : Jaipur

Zone : Delhi

Audit Periodicity : Monthly

Report for the month : DECEMBER 2017
Dates - the partner
Visited the Branch during the month : 1st, 2nd, 4th, 5th, 6th, 7th, 8th, 11th, 12th, 13th,
14th, 15th,16th, 18th, 21st, 22nd, 25th, 27th ,
28th, 29th,30th DECEMBER

Audit Report submitted by Shruti & Associates

(Please specify Firms' name) : Chartered Accountants
(Partner)

Audit carried out by : CA Khitesh Sharma

Chetali Goyal (Article assistant)

Page 3 of 41
To,

Central Bank of India,

Rajasthan housing board,
Jaipur

Concurrent Audit Report of Rajasthan Housing Board Branch, as of Month ending 31/12/2017

We M/S Shruti & Associates have carried out Concurrent Audit of Rajasthan housing board branch
of central bank of India for the period from 01/12/2017 to 31/12/2017.

We certify that the working of the branch has been checked by us in accordance with the
guidelines provided to us by the Bank. Our report on irregularities/discrepancies observed in the
working of the branch is given in enclosed report.

We confirm having discussed the irregularities/discrepancies noticed during the course of our
audit with the Branch Manager.

For M/S Shruti & Associates

Place: Jaipur Partner

Date: 4/01/2018 Chartered Accountant

The report has been discussed with me.

______________
(Branch Manager)

Page 4 of 41
 BUSINESS PROFILE OF THE BRANCH

Periodicity : Monthly Concurrent Audit Format No .M-1

Name of the Branch : Rajasthan Housing Board, Jaipur

Synopsis of Assets & Liabilities

(Rs. in Lacs)
Position
As on last day of the previous As on last Friday of the current
Assets financial year(31/03/2017) month(29/12/2017)
Cash 23.51 31.94
Balances with Banks. - -
Advances 1929.43 2130.46
Inter Branch Transactions 13192.94 6176.47
Fixed and Other Assets 26.83 26.86
P/L A/c (Dr. Balance) 430.89 72.95
Total: 15603.60 8438.68
Liabilities
Deposits 15477.52 8377.40
Borrowings from Banks - -
Inter Branch Transactions 0.32 -
Other Liabilities 125.76 47.80
Suspense A/c 13.48
P/L A/c - -
Total: 15603.60 8438.68

Synopsis of Deposits and Advances

(Rs. In Lacs)
Position
Particulars As on last day of the previous As on last Friday of the
financial year(31/03/2017) current month(29/12/2017)
Saving Bank Deposits 3046.35 3317.07
Current Deposits 573.36 191.07
Term Deposits 11857.81 4869.26
TOTAL DEPOSITS 15477.52 8377.40
Priority Sector Advances 975.39 1008.16
Export Advance - -
Other Advances 954.04 1122.30
TOTAL ADVANCES 1929.43 2130.46
Amount of NPA - -
% of NPA to Total Advance - -

Page 5 of 41
 Concurrent Audit Format No .M-2
Periodicity: Monthly

MAJOR OBSERVATIONS

1. Branch Operations: Branch is mainly deposit based deals in general banking transaction
only. Branch doesn’t in foreign exchange business and government business; branch has
ATM linked with it.

2. Deposits: Actual Deposit as on 31st December, 2017 was Rs.8513.86 Lacs. KYC policies
for opening of and operation of accounts, barring few cases more or less being followed
at branch level. Comparative figure for deposit are as follow.

(Rs in Lacs)
NOVEMBER 2017 2017 DECEMBER Variation+/- Variation+/-%
(As on 30.11.2017) (As on 31.12.2017)
8824.98 8513.86 -311.12 - 3.53%

3. Advances: Actual Advances as on 31st December, 2017 was Rs.2156.02 Lacs. As per the
best of our knowledge and review, branch is sanctioning advances after proper credit
appraisal adhering to the bank’s lending policies and guidelines. Compliances of terms
and conditions of sanction taken care of. Required documents obtained in all the cases
comparative figures for advances are as follows:
(Rs. In Lacs)
NOVEMBER 2017 2017 DECEMBER Variation+/- Variation +/-%
(As on 30.11.2017) (As on 31.12.2017)
2088.31 2156.02 +67.71 +3.24%

4. NPA management: At present no account of NPA

5. Special Mention Account (SMA): The Branch is timely identifying “SMA” accounts in
terms of guidelines issued by the head office. Due follow up and action taken to rectify
irregularities. (AS PER ANNEXURE: “A”)

6. Status of rectification of irregularities mentioned in previous reports: Previous

report is made available and respective corrective measures have been taken.

7. Preventive Vigilance: As informed to us branch is not having any preventive vigilance

committee at present at branch level.

8. Operations in Sensitive Accounts (Adherence to KYC norms): Operation in dormant /

inoperative accounts allowed only after obtaining application and ID proof from account
holder.

9. Inspection of prime/collateral securities: As it has been checked by us, the bank has
duly followed the pre sanction and post disbursement inspection procedure of prime/
collateral securities.

10. Violation of System/Procedure: As witnessed by us and to the best of our knowledge

and information provided to us, there were no cases / instances where violation of
system / procedure was done.

11. Closure/transfer of borrowal accounts with credit rating of CBI-1, CBI-2, CBI-3 during
the period*: No borrowed account has been transferred or closed during the month of
December 2017.
Page 6 of 41
12. Manual Fixed assets register as maintained by the branch is not updated.

13. Any other aspects, which, in the opinion of the Auditors, should receive urgent
attention of the management:

- Exceptional Report has not been printed on regular basis.

* Comments to be given regarding specific reasons for closure/transfer of accounts to other

banks.

Page 7 of 41
 Concurrent Audit Format No .M-3
Periodicity - Monthly
SPECIAL REPORT (IF ANY)
Name of the Branch: RHB
Date: 4/01/2018

Please mention briefly particulars of Special Report, if any. (Guidelines enclosed).

Note: Please note that Special Report is to be submitted immediately on detection of major
irregularity in the working of the branch to DGM (Inspection).

GUIDELINES FOR SPECIAL REPORT

 Any serious irregularity or malpractice which may result in loss to the Bank or jeopardize the
interest of the Bank.
 Injudicious use of discretionary powers of the branch manager.
 Alarming and significant shortage/deterioration in value of stocks/Fixed assets, Plant &
Machinery.
 Total neglect in verifying end use of credit.
 Alarming overdue position without any justification.
 Bills purchased returned unpaid and detained by the branch for unreasonably long time
without any concrete action and also not reporting to higher authorities.
 Accommodation bill (including Kite-flying) purchased by the branch.
 Government action/attachment of security of the borrower for non-payment of statutory
dues and not reported to higher authority.
 Cash shortages
 Detection of Fraud.
 Missing of security forms
 Major irregularities in foreign exchange transactions.
 Unauthorized debits to P/L A/c.
 Non-compliance of periodical verification of Assets charged to the Bank.
 Disregarding instructions of higher authorities in granting advances.
 Policy violation
 Regulatory violation
 Serious irregularities in housekeeping
 Any other, which the Concurrent Auditor may deem fit.

Concurrent Audit Format No .M-4

Periodicity - Monthly
REPORT ON SPECIAL REPORT SUBMITTED (IF ANY)
Name of the Branch: RHB

For the Month December 2017 ended

Please mention briefly particulars of Special Report, (if any), submitted by the
Regular/Concurrent auditors during the current quarter and progress in rectification thereof.

NIL

Page 8 of 41
 DEPOSITS

PERIODICITY: MONTHLY Concurrent Audit Format No .M-5

Report on:DECEMBER 2017

a) Opening of Accounts -
We have verified all the new accounts opened on daily basis. The number of new accounts
opened and verified by us is as under:
SB 10
CA 3
FD/RD 70
(NOTE: - Above no. of Accounts are excluding PMJDY A/c)
Comments: Please state whether Account opening procedure is properly followed?
(Separate comment on S.B., C.A. and FD/RD Account).

b) Irregularities/ Discrepancies in deposit accounts (Newly opened accounts)

Nature & Name of the Nature of Irregularity/ Suggestio Action /
Number of Account Discrepancy* n by the efforts of
Account Holder / auditor the Branch
Depositor for
rectificatio
n
Saving A/C Vikas  AOF-2 not signed not
(3651542180) signed by customer.
 AOF-4 not signed by
branch official.
Saving A/C Virendra Singh  AOF-3 & 4 not signed by
(3651593860) Rathore branch official.
 Original seal & verification
not done.
Saving Subhas kumar  AOF-2 not signed not
A/C(3652561702) signed by customer.
 AOF-3 & 4 not signed by
branch official.
 O.S.V. not done.
 PAN/Form-60 not found.
Saving A/C Himanshu Jain  AOF-2 not signed not
(3651773489) signed by customer.
 AOF-4 not signed by
branch official.
 O.S.V. not done.
 Form-60 not filled.
 (Procedural irregularities with regard to account opening / operations / standing
instructions / stop payments/ repayment of deposits / TDS etc.)

Note: 1. Check new accounts opened particularly current accounts. Operations in new currents
/ SB accounts may be verified in the initial periods to see whether there are any unusual
operations.
2. Give details of Current, SB and Term Deposits under separate headings.
3. In all newly opened accounts caution as stipulated by Bank/RBI have been noted &
exercised.

Page 9 of 41
c) Verification of High Value Transactions
We certify that we have verified all the high value transactions during the month, under
review, in the operative accounts of the branch and confirm that there are no abnormal
features in the accounts. Abnormal transactions noticed to be furnished under Part "d".

d) Conduct of new deposit accounts (SB and Current)-for the period of 6 months from the
date of opening of account

We have verified the operations in the SB and CA opened from 1 st December to 31ST
December 2017 and has not observed certain unusual operations (credit as well as debit).
Our comments are given below:
Type of A/C. Date of Title of the Details of unusual transactions Remarks
Account No. opening Account
(SB/CA)
Credit Debit
Date Amount Date Amount
NO SUCH CASES

e) Fixed deposit accounts including Recurring deposit accounts :

i) Verify that TDS wherever applicable is deducted and remitted on time.
ii) Confirmation regarding submission of 15-H form to Income Tax department

Comments: As informed by branch TDS remitted at RO Level

f) Verification of staff accounts transactions

We have verified the operations in the Staff accounts and furnish the abnormal features
below:
S. Name of staff Designat Type of Account Abnormal Remarks Remarks of
No. members & ion. features of Branch
Emp. No. observed auditor Manager

NO SUCH CASES

g) Verification of exceptional transaction

Comments: - No such exceptional transactions occurred during the period having adverse
Effects.

Note: Existing deposit accounts under various categories are also to be checked on random basis
and adverse features observed therein, if any, are to be reported in this section

h) Verification of Interest paid/payable

We have verified the latest interest rates of deposits and ensured that the same are properly
loaded in the computer system as per value date and ensured that the same are in accordance
with the latest circular on deposit rates. We have also verified the report and certify that no
preferential rate of interest is being paid on deposits except in cases where permission of
competent authority has been obtained for accepting such deposits at higher rate.

Comments:- No such case during the month of December 2017.

i) Verification of penal interest on premature withdrawals on deposit.

Comments: - we have verified premature withdrawals deposits accounts & found that system is
automatically deducted penal interest on premature withdrawals deposits accounts.
Page 10 of 41
 Report on In-operative Accounts

PERIODICITY: MONTHLY Concurrent Audit Format No .M-6

We confirm that debits to inoperative accounts are authorised by the branch

manager/accountant in all cases except in the following:

Sr. Type of Name of Date of Nature of Amount Authori Auditors Remarks

No. Account the Debit irregularity zed By comments
& Depositor
Account
No.
NIL

Report on Debit Balances in Current/Savings Bank Accounts (Beyond Rs.1.00 lac in Current
A/c. & Rs.25000/- in SB A/c. outstanding for more than 15 days)

PERIODICITY: MONTHLY Concurrent Audit Format No .M-7

S. No. Date of Date of Amount Name and Purpose of TOD

opening of overdrawing O/s. Rs. address of the
SB/CA in the a/c party
1 2 3 4 5 6

NIL

Documentation & Whether Date when Remarks/Auditors comments

Security sanction/Approval reported to
obtained Higher
authority
7 8 9 10

Page 11 of 41
 ADVANCES

1) Irregularities noticed in Fresh Sanctions and Disbursals

PERIODICITY:MONTHLY Concurrent Aud

Irregularities noticed in Fresh Sanctions and Disbursals for the Month of December 2017
[Rs. in Lacs]
Sr. Name of the Nature of Sanction Amount of Natur Nature of irregularities Nature of
No. Borrower facility date limit (in e of observed in documentation irregularities
Lacs) irregul observed in post
arities disbursal/inspectio
/devia n
tions
observ
ed in
sancti
on, if
any
1. Prathvi Lal Meena Personal 14/12/1 600000.00  KYC of guarantor is not
(4005717252) Loan 7 - self-attested. -

2. Ashok Khatri Housing 1/12/17 556000.00  Postdated cheque not  Post

(4005145975) loan found. Disbursement
 Due diligence certificate Inspection
not found. Report not
found.
3. Prasoon Khatri Education 1/12/17 2500000.00 -
 Insurance Policy not found.
(3647673786) Loan
4. Jagdish Prasad Vehicle 26/12/1 448000.00  Post
Raigar Loan 7 Disbursement
 RC of vehicle not found.
(4006305939) Inspection
Report not
found.
5. Abhay Singh Housing 8/12/17 865000.00  PDC not found.
Niewan & loan
Ravindra Singh
Nirwan

Page 12 of 41
 (4005587221)
7. Ganesh Singh Personal 29/12/1 400000.00  KYC not self-attested by
(4006679609) Loan 7 borrower.

Note: Please ensure

i. That the documents including particulars of sanction letter and securities etc., have been recorded in the CBS System, if not, give
reasons.
ii. That proper appraisal, preparation of process notes, pre & post sanction inspection of units, insurance coverage, asset creation and its
quality, obtention & scrutiny of stock/Book-debt statements/MSOD/QIS have been done.
iii. That the above details are furnished under BM/RO/CO powers separately.
iv. a. that the clarifications are obtained from the, Legal Advisor, approved valuer of properties, wherever necessary.
b. scrutinize the legal opinion and check with the Banks Documentation Manual and ensure correct documentation and Mortgages and
their enforceability.
v. The auditor can also point out the discrepancies, if any, beyond the scope of points covered above by using their expert knowledge.
vi. Whether all formalities are observed in sanctioning of loans against Bank's deposits to third parties, loan against deposits in the name
of the minors, NRE/FCNR (as per instructions contained in circular issued from time to time, loans to PA holders of NRI is prohibited)
and accounts of fiduciary nature etc., to safeguard the interest of the Bank and the Depositor/s.
that the Loan Policy of the bank has been followed properly in sanctioning of advances

Concurrent Audit format no.M-9

DUE DILIGENCE/COMPLIANCE
In the following accounts, due diligence/compliance is not carried out/certificates are not held.
[Rs. in Lacs]
S.no Name of the Account Type of Loan Dt. Of sanction Limit Remarks

Page 13 of 41
 Concurrent Audit format no.M-10
PRE-SANCTION INSPECTIONS
In the following accounts, pre sanction inspection reports are not held.
S.no Name of the Account Type of Loan Dt. Of sanction Limit Remarks

Concurrent Audit format no. M-11

POST DISBURSEMENT INSPECTIONS
In the following accounts, post disbursement inspection reports are not held.
S.no Name of the Account Type of Dt. Of Limit Remarks Branch manager’s
Loan sanction comments
1. Rajendra Prasad Vehicle 16.10.2017 0.53
Sharma (4002987459) Loan
2. Madhur Malik Vehicle 18.10.2017 0.445
(4003134873) Loan

PERIODICITY: MONTHLY Concurrent Audit Format No .M-12

2. Report on Excess Drawls Allowed (Packing credit/Cash Credit /Overdrafts & other borrowal accounts and such excess
continuing for more than 15 days) as at the end of the Month of NOVEMBER 2017
[Rs. in Lacs]
Sl. Name Natu Limit Drawi O/S Amt Date of No. of Date of Steps Details of Whether Date of
No. of the re of (Rs. ng (Rs. of allowing days regulari taken additional recorded reporting to RO
borrow Acco ) power ) Exce excess A/c in sation for securities in the and date &
er unt (Rs.) ss excess regula and sanction reference of
(Rs. and risatio value/docu register ratification
) average n ments or not
excess obtained Y/N
NIL
The borrowers frequently or regularly enjoying TOD/excess drawls be mentioned.

Page 14 of 41
Report on Adhoc Sanctions allowed during the month. Concurrent Audit Format No .M-13

Name of the Regular Credit Limits Date of last Adhoc /Casual Period & due date Remarks
Account review/renewal sanction given for Adhoc sanction
Nature Amount Nature Amount

NIL

Adhoc due for adjustment but not adjusted

Name of the
Date of sanction Period Due date
Account

NIL

REPORT ON OVERDUE CREDIT LIMITS (FOR RENEWAL/REVIEW)

PERIODICITY: MONTHLY Concurrent Audit Format No .M-14

PART A: List of Expired/Overdue Limits (both funded and non-funded limits) as at the end of month
(Rs. In Lacs)
Name of the Party Nature of Facility & Sanctioning Balance O/S Remarks
limits sanctioned Authority & as on
Reference 31.12.2017
M.M. Enterprises Cash Credit Rs. 50.00 Branch Manager 33.68 Limit Due for Renewal on
3100155697 Lacs Feb. 2017.
Smt. Sunita Nirwan & Cent Mortgage Rs. 7.70 Branch Manager 4.55 Limit Due for Renewal on
Ravindra Singh Lacs Sept. 2017
3264720460
Mr. Saransh Saini Cent Mortgage Rs. 16.47 Branch Manager 16.58 Limit Due for Renewal on
3946028237 Lacs Sept. 2016

Page 15 of 41
Age wise details of overdue limits Concurrent Audit Format No .M-15
(Rs. In Lacs)
Overdue for – Upto 3 3 to 6 6 to 12 Beyond 12 Total number of Total amount
sanctioned under months months months months accounts involved
Branch powers 1 1 1 3 54.81
RO powers CCPC
FGMO powers
CO powers
Total 1 1 1 3 54.81

Note: 1. Total for the columns “Limit” and “Balance Outstanding” are to be furnished along with number of a/cs.
2. Whether the branch has taken effective steps to contact the borrower and get the documents renewed / get the
account closed.
3. In case of time barred debts, the action taken to be reported.
4. Verify whether the classification of advances has been done as per RBI guidelines.
5. Verify whether the submission of claims to ECGC is in time.
6. Verify whether the processing of sanction is pending at Branch/RO/CO.

Periodicity: Monthly Concurrent Audit Format No. M-16

REPORT ON ACCOUNTS WHERE EM FORMALITIES AND ROC FORMALITIES ARE PENDING

(Rs. in Lacs)
NAME OF THE LIMIT SECURITIES DEFICIENCIES IN DETAILS OF CHARGE NOT
ACCOUNT DOCUMENTATION REGISTERED WITH ROC.
NATURE AMOUNT PRIME COLLATERAL
AND EM (WHEREVER APPLICABLE)
NIL

 Verify whether legal opinion is obtained from approved advocate regarding clear title and its marketability.
 Verify whether documents are vetted by Law Officer or Advocate.
 Verify whether valuation of property is done from approved valuers and inspected by the Branch Manager.
 Verify whether certified copy of title deed was obtained before creation of EM, and was verified with the original.
 Verify whether CERSAI registration was done in time after creation of EM.

Page 16 of 41
Periodicity: Monthly Concurrent Audit Format No. M-17

Credit Audit (Pre-release & Post-disbursal)

 Please verify whether Credit Audit has been conducted in all eligible accounts.
 Instances of non-compliance may be reported, as under.
(Rs. in Lacs)
Sr. No. Name of the account Limit AMOUNT Sanctioning authority Date of disbursement
NIL

Periodicity: Monthly - Concurrent Audit Format No-M-18

Statement of Exercise of Delegated Authority – Annexure-II

For the month DECEMBER 2017

1. If not submitted, reasons thereof submitted on 02.01.2017

2. Whether all accounts sanctioned during the month have been Yes
reported in Annexure-II statements
3. If NO, give details of such accounts
Branch Manager’s comments
4. Whether credit rating has been done in all eligible accounts Yes

PERIODICITY: MONTHLY Concurrent Audit Format No. M-19

Status with regard to Non-receipt of stock /Book Debt Statements/Inspection Report by the Branch Officials as on 31/12/2017
Stock / Book Debt No. of A/cs Received/inspected Overdue Overdue - Break up analysis Total
Statements / covered during the month
Inspection Report
Page 17 of 41
 2M 3M 4M 5M 6M >6M
NIL 0

Statement in respect of Accounts having balance in excess of Rs. 1.00 Lacs, in which Stock/Book Debt Statements/Inspection
Report is overdue beyond 3 months.

Verify if penal interest was charged. If not the amount of revenue leakage on a/c of this.
PERIODICITY: MONTHLY Concurrent Audit Format No. M-20
(Rs. in Lacs)
Sl. Name Type of Sanction Sanctio Amount Date of No. of Irregulariti Value of securities Asset
No. of advance ned by Outstandi last stock Stock /BD es if any – classifi
Accou ng statement Statements cation
nt received
during the
year
Limit Date Primary Collateral
NIL

Statement of Borrowal Accounts with Inadequate / Lapsed Insurance Cover

PERIODICITY: MONTHLY Concurrent Audit Format No-M-21

Statement of Borrowal Accounts with Inadequate / Lapsed Insurance Cover for the month ended DECEMBER 2017
Sl. No. Name of Details Details of Value of Amt. Of Date of Short Detail Reasons Auditor's Branch
Borrower of Securities Securiti insurance Expiry fall in s of for not comments Mgr's
Limit/s (Primary es coverage insuran Risk renewin Comments
& Coll.) (primary (Primary/Col ce Cover g
/Coll.) l.) Covera ed insuranc
ge e policy
(Primar
y/Coll.)
NIL

Note: Please verify whether goods stored in all the godowns are insured
Please verify whether branch has record and address of various godowns where goods are stored
Page 18 of 41
Report On Bank Guarantees and LCs Issued/Renewed by the Branch during the Month of DECEMBER 2017

PERIODICITY: MONTHLY -- Concurrent Audit Format No. M-22

A. We certify that we have verified the Bank Guarantees and LCs issued and renewed by the branch during the month as per the
check list (including restrictive clause, Counter Guarantee, Collection of Commission & Margin. Contra entries and discharged
deposit receipt) and found them in order except for instances reported below including the BGs and LCs which have expired.
Following are the Bank guarantees as at the end of DECEMBER 2017:
SI No. Name of Sanction B.G. /LC Name of the Amount Due Date Comm. Irregularity Steps taken for
the Party Ref. No. & No. & Date Beneficiary (Rs.) Collecte observed regularization
date d (Rs.)
1 2 3 4 5 6 7 8 9 10

NIL

Note: Please ensure that

i. The expired guarantees & L.Cs but outstanding in the books of the Branch are reported.
ii. The L.Cs & Guarantees are not issued for indefinite period.
iii. The terms & conditions of sanction have been fully complied with

Report On Invoked Bank Guarantees - Position as at the End of the Month – DECEMBER 2017

PERIODICITY: MONTHLY Concurrent Audit Format No. M-23

We furnish hereunder the details of Bank Guarantees / DPGs invoked and remaining outstanding till the end of the month under
review.
Sl. No. Name of the BG No. Amount Amount Amount Date - Date of Date of Security B.M/auditor
Party & Date invoked Rs. recovered Outstanding when payment Reporting available remarks towards
Rs. invoked to the to RO/ efforts made for
beneficiar FGMO/ recovery
y CO

NIL
Comment on:

Page 19 of 41
1. Reason for the invoking of the guarantee and the amount recovered, if not reason thereof.
2. Status of Enforcement of security
Details of Devolved Letters of credit and outstanding for more than 15 days from date of payment

Periodicity: MONTHLY Concurrent Audit Format No. M-24

We furnish here under the details of Devolved Letters of credit and outstanding for more than 15 days from date of payment:
Sl. Name of LC No. & Amount Amount Amount Date - when Date of Date of Security B.M/audit
No. the Party Date Devolved recovere Outstanding Devolved payment to Reportin available or remarks
(Rs.) d (Rs.) the g to CO towards
(Rs.) beneficiary efforts
made for
recovery

NA

Comment on:
1. Reason for the devolving of the LC and the amount recovered, if not reasons thereof
2. Status of Enforcement of security.

Report on expired guarantee & L/Cs (to be reversed) -

Periodicity: MONTHLY Concurrent Audit Format No. M-25

S.No. Name of the Guarantee/L/C Name of the Amount of Date of Expiry Reasons for not
Party No. Beneficiary Guarantee/LC of B.G/L.C. reversing

NIL

Report on accounts with warning signals which are likely to become NPAs –
PERIODICITY: MONTHLY Concurrent Audit Format No. M-26

Page 20 of 41
 We have verified all the borrowal accounts and in respect of the accounts listed in the annexure there are warning signals (low
credit turnover, in ordinate delay in interest servicing/principal servicing/return of inward and outward cheques /frequent
TOD/EXCESS/etc.)
Name of Account No. Nature of Outstanding since Overdues as at the Earliest Date of Security available
Borrower Facility end of the month Overdue (in respect
(in respect of each of each facility)
facility)
As per ANNEXURE-B

Periodicity: Monthly Concurrent Audit Format No. M-2

REPORT ON SMA & RESTRUCTURED ACCOUNTS

(Amount in Lacs)
Name of Limit & Date Of Date O/S. Turnover in Overdue Value Of Date Of Last Date of Nature Of
the Amount Original Since the Account s Security Stock/Bd Last Irregulariti
Borrower Sanction Categoris Statement Inspection es
ed SMA

AS PER ANNEXURE-A

List of Bills Purchased/Discounted in excess of limits sanctioned.

Periodicity: Monthly Concurrent Audit Format No. M-28

Page 21 of 41
List of Bills Purchased/Discounted in excess of limits sanctioned or within the discretionary powers of the Branch Managers and all
stray purchases of Rs. 25,000/- and above from any party, even if these are within the discretionary power, during the month
ended 31/12/2017
(Rs. in Lacs)
Br. Ref. Purchased KYC on Type of account Payable at Documen Date of Amount Sanction Total Remarks
No. & from record maintained Bank/Bran tary/clea Bill/Che ed limit amount
Date ( Name of (Yes/No ch n que due
the a/c ) ) bill/Cheq
ue/DD
A/c Net
opened on worth
1 2 3 4 5 6 7 8 9 10 11 12
NA

Certified that other than referred above, no other purchases required to be reported have been made since the submission of last
report
We have verified the following areas and found in order
(1) Adherence to instructions pertaining to Bills Purchased/Discounted.
(2) Discretionary Powers exercised by the Branch Manager.
(3) All Bills/Cheques/DDs purchased/discounted.
(4) Ratifications obtained, wherever required.
(5) Prompt dispatch of instruments to the Drawee Bank
(6) Bills purchased/discounted represent genuine trade transactions and not accommodative in nature.
(7) Fresh bills/Cheques not submitted to adjust the old bills/Cheques
(8) Source of reimbursement of the amount of Bills/Cheques Purchased/Discounted returned un-paid.
(9) Overdue interest is collected correctly and promptly.
(10) Report of purchase/discount of Bills/Cheques of Rs. 50,000/- and above not recovered within 7 days from the date of receipt
of unpaid instruments.
(11) Submission of monthly statement/returns pertaining to Bills Purchased/Discounted to the concerned authority as prescribed.
(12) Instances of non-reporting of Cheques/DDs returned unpaid.

Report on Overdue Bills/Cheques Purchased/Discounted. (Party-wise)

Page 22 of 41
Periodicity: MONTHLY Concurrent Audit Format No. M-29
(Rs. in Lacs)
Sl. Name of the Limit & Br. Ref Amount Due date Date of Drawer of Drawee LC Remarks
No. Customer Date of No & for payment the @ issuing
Sanction Date realization if paid Bill/Cheque Bank, if
subsequ any
ently
1 2 3 4 5 6 7 8 9 10 11

NA

@ furnish the name of the Drawee Bank, branch for Cheques

1. In case of local Cheques Purchased, the lead period for realization should not be beyond 3 days and for outstation Cheques 15
days. Documentary bills 21 days, usance bills after the due date. All Entries outstanding, beyond this stipulated time should
be shown as overdue.
2. Certify that the Cheques and Bills returned are not repurchased contrary to the instructions.
We certify that the Bills in all other accounts are not overdue and we have verified/examined the whole bills portfolio at the
Branch on ______ (date)

Report on bills purchased beyond the delegation -

Concurrent Audit Format No. M-30

Name of the Date of Drawee Tenor Amount Irregularities, if Reported to Comments

Account purchase any Controlling
Office

NA

Instances of branch allowing drawings against un-cleared effects, under clearing and/or collections report

Page 23 of 41
 Concurrent Audit Format No-M-31
We have verified and checked:

If there are/were instances of branch allowing drawings against unclear effects, under clearing and/or collections report the
irregularities/discrepancies/risks/exposures.
(Rs. in Lacs)
Particulars Name of Number Amount
01 the Party
A few and far between, involving small value, for known parties
02 Occasionally against Bank drafts/Govt. Cheques/Pay orders of Public Sector NIL
Banks/ Leading Commercial Banks
03 Others [Please furnish brief description of the transactions]

Concurrent Auditor should also comment on:

1. Adherence to the system of the clearing operations with particular reference to timely delivery of clearing instruments,
accounting, debiting customers account for the returns on the day of the bank is out of funds.
The usage of 'Suspense Account' in respect of the returned clearing instruments and on the operations in the inter-branch
accounts in respect of clearing transaction (particularly for high value returns).

Bills Purchased - Returned Unpaid (Borrower Wise) During the Month ended 31/12/2017

PERIODICITY: Monthly Concurrent Audit Format No. M-32

We have verified the Bills purchased / discounted outstanding and purchased / discounted during the month and observe that the
following Bills are returned unpaid:
Sl Name of the Bill No. & date Amount Name of Reasons for Date of Date when Security Auditors
No. Borrower of bill the drawee return of return of adjusted/mode available in comments*
Rs. the bill bill of adjustment case of
unadjusted
bill
NIL

 Comment whether bills/Cheques drawn on the same party were returned earlier and furnish the reasons thereon. Also
report mode of adjustment, whether the returned bills/Cheques were purchased / discounted with excess
accommodation/high rate of returns, kite flying nature

HOUSE KEEPING

Page 24 of 41
 Periodicity: Monthly Concurrent Audit Format No – M-33

1) Statement of Cash Management, Security items, Stationery, Postage & Stamps, etc.

(i) Cash Management

Date of Last Physical Verification of cash 02.01.2018
Closing cash balance on date of Physical Verification Rs.735444.00
1. Cash retention limit fixed to branch : 0.20% of Total Deposits
2. Details of cash held in excess of Limit fixed for the branch Rs.17.65Lacs/-(0.20% of 8824.98 Lacs).The cash exceeded 7 times
the fixed limit on no occasions which are mentioned below:

Sl. Closing cash Maximum cash balance held Reasons for Steps taken to reduce
No. balance during the month excess holding holding
Date Limit fixed
@0.20% of
Total deposits
1. Rs.1902652.00 5/12/17 Rs1764996.00
2. Rs.2650269.00 12/12/17 Rs1764996.00
3. Rs.2269199.00 13/12/17 Rs1764996.00
4. Rs.2444738.00 14/12/17 Rs1764996.00
5. Rs.2023030.00 16/12/17 Rs1764996.00
6. Rs.2504262.00 18/12/17 Rs1764996.00
7. Rs.2015956.00 19/12/17 Rs1764996.00
8. Rs.1841624.00 21/12/17 Rs1764996.00
9. Rs.1837863.00 29/12/17 Rs1764996.00

3. What is the percentage of non-issuable/mutilated notes/coins

Out of total cash held as on date of surprise
Verification of cash : NIL

4. Amount of non-issuable/mutilated notes held : NIL

5. Whether non-issuable/mutilated notes are mixed with other

Page 25 of 41
 issuable notes : NA

6. Verify whether the cash is sorted out regularly,

If so, give the details of amount of non-issuable/mutilated : NIL
Notes kept for more than one month

7. Whether "Cash discrepancy Register" maintained

and excess/shortages reported to higher authorities : NO

8. Whether surprise verification of cash done by

officer other than joint custodian officer/ : Last surprise cash verification was done on
manager? (Please see cash balancing book 14.08.2017.
and report)

9. Whether cash movements register is

Maintained as per the guidelines? : Yes

10. Whether the branch is maintaining the records/

Registers relating to inward/outward cash
Remittances properly? : YES

11. Duplicate Keys deposited at : Central Bank Of India (S.C. Road Branch)

(ii) Security Items

(a) Whether all the security items are kept under Joint custody
of two officers : Yes, Head Cashier and Vault Teller
(a)Whether all the registers for all security items such as books
of drafts, ATM kits, cheque books, fixed deposit receipt are
properly recorded/maintained : Yes
(b) Please check all the security items once in 6 months in the
month of March/September every year and report discrepancies
if any with the stock register : NA
(c) Whether the articles handed over for safe Custody are
being properly recorded? : Yes
(d) Records for card issuance, whether acknowledgement
for ATM ready kits delivered is obtained and signature
Page 26 of 41
 verified by an Officer. : Yes
(e) Whether ready ATM kits are held in safe custody. : Yes

(iii) Stationery:

1. Whether stationery register is maintained properly No

2. Whether Branch is indenting the optimal level of stationery requirement NA

3. Whether purchase are made in excess of delegated powers NA

4. Whether confirmation for discrepancies in purchase or records obtained NA

(iv) Postage & Stamps/Petty Cash:

1. Mail is despatched promptly and despatch register is being checked regularly NA

2. Physical balance of stamps tallies with books/dispatch register NA

3. Proper accounting procedure being followed including Franking m/c: NA

v) Sundry Creditors and Suspense accounts:

1. Whether all debits in suspense accounts are approved by the

Branch Manager Yes

vi) Security Arrangements

1. Whether the security arrangements in the branch (Armed

guards at cash counter, Alarms, grills etc.) are appropriate : Yes (all the securities arrangement are appropriate but
the branch does not have a armed security guard)

Page 27 of 41
Checklist for Auditors – Cash at ATM Account - Concurrent Audit Format No – M-34

1. Whether an Officer is entrusted with the ATM Administration job Yes , Mrs. Pratibha Arohi

2. Whether dispensing test is done after cash loading. Yes

3. Whether JP logs are taken out from ATM and preserved –

preferably by pasting in a Register on day to day basis. No

4. Whether monthly verification of physical cash in the ATM was Physical verification is done at the
made and certificate is submitted to R.O. time of cash loading on quarterly
basis. Last ATM verification was done
on 21.12.2017 of ATM situated at RHB
Jaipur and on 03.01.2018 of ATM
situated at Ram Nagar, Sodala.
5. Whether record is maintained for cash not dispensed to other Bank As explained by the staff no such
Cardholders with full details and JP log copy. record is maintained.

6. Whether branch is recovering charges for issue of Duplicate Pins. Yes

7. Please check whether the surrounding of the ATM are kept neat No
and tidy and the ambience is proper.
8. Whether all important telephone numbers including 24 hour help Yes
line for hotlisting cards are displayed at the ATM.
9. Random checking of Off-site ATMs is being done or not? Yes

Page 28 of 41
 Statement Showing Outstanding under ANINA** Heads beyond three Months

PERIODICITY: MONTHLY Concurrent Audit Format No – M-35

STATEMENT SHOWING ITEMS OUTSTANDING BEYOND THREE MONTHS, AS ON _______________

Sl. Head of Account Date of Dr/Cr Amount Reasons for non Steps taken for reversal of
No. transaction adjustment the entry
NIL

1. Comment separately under each sub-GL accounts.

2. In the case of drawings in suspense account by employees towards TA & DA, the relative bills have to be submitted within 15
days from the date of completion of journey. In all other drawings, the procedure prescribed by CO has to be followed.
3. Clearing items should not be pending for more than 7 days.
4. In respect of ‘Suspense’ and ‘ANINA’ heads, the report should be submitted on monthly basis. In respect of ‘Sundry’ deposit
heads the report should be submitted on quarterly basis.

**ANINA- Amount not in the nature of advance

Page 29 of 41
 Report On Fraud

PERIODICITY: MONTHLY - Concurrent Audit Format No – M-36

Part A: Report On Fraud Prone Areas for the Month ended DECEMBER 2017
We have verified the following key operational areas of the Branch:
We confirm that
Particulars Auditor's Remarks
a. The Branch is obtaining prompt ratification from the competent authorities for the transactions Yes
entertained beyond the delegated powers and/or in deviation to the laid down systems & procedures.
b. The Branch is recording and checking of all the entries in its books of accounts as per the laid down Yes
procedures.
D The Branch Manager is going through the exceptional transaction statement at the end of each day and Yes
taking necessary action including approving / rectification of the deviations occurred during the day of
operations in the Branch and is signing the statements.
E The details of entries outstanding in the nominal / ANINA heads of accounts, Inter-Branch Accounts (NBO Yes
Adjustment Accounts, C2C), Inter Bank accounts etc., checked / verified and found to be in order.
F I. The high value / abnormal transactions in the staff accounts are scrutinized and found them to be Yes
genuine in nature after due enquiries with the employees / Branch Manager and also after due
verification of the nature of transactions / instruments.
II. All high value transactions in the newly opened accounts in general and operative accounts in
particular have been scrutinized and are found to be genuine in nature.
III. All the new accounts opened in general and the operative accounts in particular are properly
opened as per the laid down norms and their openings are approved by the Branch Manager.
G The entries pertaining to all clearing transactions are promptly and correctly passed with the Yes
proper authentication / checking by the authorized officials of the Branch.
The details of entries outstanding in clearing adjustment account are checked and prompt &
necessary action is taken by the Branch.
H The Branch ensured proper care on safe custody of all the vouchers / other records including critical Yes
stationery.
J The branch is ensuring proper rotation of duties among the staff at the prescribed periodical intervals. Yes
K Any other fraud prone area of operation not covered above. Yes

Page 30 of 41
 Detection of Frauds during Audit (also comment on the status of frauds earlier detected in the following format):

Periodicity: MONTHLY Concurrent Audit Format No – M-37

Sl. No. Particulars of Fraud and amount Date of Present status including
steps taken for closure
Detection Reporting to Controlling office
NIL

Statement Showing Revenue Leakage

PERIODICITY: MONTHLY Concurrent Audit Format No – M-
38

()A) Borrower wise details of short recovery

Name of the Limit and Nature Nature of Amount of Amount Balance to Remarks
Borrower of facility Leakage leakage Recovered be
recovered
NIL
()B) Reasons of short recovery
Reason Reasons Total amount of Amount Amount to be Remarks
No. shortfall Recovered Recovered
1 Omission in charging penal interest
2 Rate of interest not correctly
interpreted and charged
3 Altogether omission in applying interest
4 Processing charges/ Upfront Fees
not/short recovered.
5 Exchange / Commission not charged
correctly / not charged at all
6 Excess payment of interest on deposits NIL
7 Inspection Charges not/short recovered
8 Service/ Incidental Charges not/short
recovered.
9 Any other reason (give details)
TOTAL

Page 31 of 41
 ()C) Recovery of Revenue Leakage detected during the periods(From 2017_onwards).
Previous Revenue Leakage Amount Balance
Month Ended Detected Waived/Deleted Waiver/Deletion Proposals Recovered Recoverable
submitted/under process
NIL

TOTAL
Comments:
Mention steps taken for recovery of balance revenue leakage, plugging loopholes causing revenue leakage, staff action initiated
etc.

Concurrent Audit Format No – M-39

Report on Miscellaneous expenditure incurred by the branch during the month :

 Whether all the bills/receipts pertaining to expenditure incurred are held on record.: YES
If no, the details be furnished as under :

Sr No Date expenditure Amount Expenditure head to Details / Purpose of expenditure

incurred which debited.

 Whether all the paid bills are duly sanctioned by the Branch Manager/Competent Authority : YES

If no, the details be furnished as under :

Sr No Date expenditure Amount Expenditure head to Details / Purpose of expenditure

incurred which debited.
No such cases

 Are there any such instances where the expenditure incurred has been NO
debited to wrong head. If yes, please give details.

Page 32 of 41
 Details of irregularities reported in earlier audit report but remain to be rectified

PERIODICITY: MONTHLY Concurrent Audit Format No – M-

40

(Please list the irregularities here under main heads separately such as Housekeeping, Advances and Foreign Exchange, Deposits
and other areas of Branch working).
- While reporting irregularities in individual accounts, relevant details of the accounts, are to be incorporated in the format.

Individual Account (SB/TD/CA/OD/CC/TL etc.):

Reported Account Type of Name of the Details of irregularities Found Remarks of Remarks
in Audit No. the party Con. of
Report Dt. Account Auditor Branch
Manager
31.05.2017 3611715299 SB A/C Navneet Middha  ID proof not self-attest by
customer.
31.05.2017 3610368935 SB A/c Pankil Vinod  AOF (2) & CIF (4) not Signed by
Shah customer.
30.06.2017 3617272248 SB A/c Priyanka Goyal  ID not attested by customer.
31.07.2017 3625100153 SB A/c Brij Lal Meena  Photo not found of customer.

31.07.2017 3621765099 CD A/C Gaur Micro  CIF not filled. No ID Proof

Finance found. Form not signed by
Federation branch official.

30.08.2017 3625798791 SB A/C Nitesh Kumar  Photo of customer not found.

Branch
30.08.2017 3628234196 SB A/C Pushpendra  ID Proof not attested by
should
Rathore customer.
follow up
30.08.2017 3629077763 CD A/C Classic Tour &  CIF form of proprietor not with
Travel found. customer &
rectify the
30.9.2017 3629781319 SB A/C Galla Devi  ID Proof not attested by
same.
customer.
30.09.2017 3635825996 CD A/C Golden Scissor  CIF-1 not signed by the Branch
Salon official.
 ID Proof not attested by
customer.

Page 33 of 41
  O.S.V not done.
31/10/17 3636997556 SB A/C Aisha
 CIF Form not filled.

31.11.2017 3645320696 SB A/C Babli  Thumb impression not verified.

CIF form & form-60 not filled
properly. Nomination not
filled.

31.11.2017 3645318270 SB A/C Rima Devi  Adhar card not attested by

customer.
 CIF form & form-60 not filled
properly.
31.11.2017 3645316341 SB A/C Ruksana  Thumb impression not verified.
 CIF form & form-60 not filled
properly
31.11.2017 3645478563 SB A/c Ganga Khandal  CIF form & form-60 not filled
properly.
31.11.2017 3645322661 SB A/C Sonam  CIF form & form-60 not filled
properly.
31.11.2017 3645319965 SB A/C Akash  CIF form & form-60 not filled
properly.
31.11.2017 3645319013 SB A/C Farzana  CIF form & form-60 not filled
properly.
31.11.2017 3645316884 SB A/C Resham  CIF form & form-60 not filled
properly.
31.11.2017 3645316341 SB A/C Ruksana  CIF form & form-60 not filled
properly.
31.11.2017 3645315440 SB A/C Nisha Devi  CIF form & form-60 not filled
properly.
31.11.2017 3645314876 SB A/C Vinita Devi  CIF form & form-60 not filled
properly.
31.11.2017 3999295905 SB A/C Rajesh Devi  CIF form & form-60 not filled
properly.

Page 34 of 41
 31.11.2017 3645320696 SB A/C Babli  Thumb impression not verified.
CIF form & form-60 not filled
properly. Nomination not
filled.
31.11.2017 3645318270 SB A/C Rima Devi  Adhar card not attested by
customer.
 CIF form & form-60 not filled
properly.
31.11.2017 3645316341 SB A/C Ruksana  Thumb impression not verified.
 CIF form & form-60 not filled
properly.

Irregularities noticed in earlier report Sanctions and Disbursals

[Rs. in
Lacs]
Sl. Name of the Nature of facility Sanction ref. Amount of Nature of irregularities observed Nature of
No. Borrower & date limit (in Lacs) in documentation irregularities
observed in post
disbursal/inspection

1 Mahesh Sharma Vehicle Loan 05/07/2017 0.48 -

(3993222749)  PDC not found.
 Bank Hypothecation not on
insurance policy.

2 Sanjana Panwar Education Loan 19-08-2017 7.50  No dues certificate not

(3997725895) found.
3 Rakhi Rawat & Education Loan 01-08-2017 3.30  Hypothecation of laptop
Anand Singh Rawat not done & bank name also
(3996260929) not shown in laptop bill.
4 Mohit Garg & Education Loan 04-08-2017 12.67  No dues certificate not
Shyam Lal Garg found.
(3999020315)
5 Galla Devi Meena Cent Mudra 04-09-2017 4.80  Disbursement done in
(3631572174) Saving A/C. of the

Page 35 of 41
 borrower.
6 Veena Sharma & OD Topup 21-09-2017 10.00
 Application for OD TOPUP
Gaurav Sharma
(3634904244) not found on records.
7 Dharmendra Singh Vehicle Loan 26-09-2017 0.565  Post Inspection
(4002128634)  RC of the vehicle not found
report not found
in the records. on the records.
8 Rakesh Kumar Vehicle Loan 27-09-2017 5.16  RC, Bill & insurance policy  Post Inspection
Deegwal of the vehicle not found in report not found
(4002227443) the records. on the records.
9 Kajod Mal Housing Loan 15-09-2017 4.00  Insurance Policy of  Post Inspection
(4002486022) Property not found on report not found
records. on the records.
10 Chandra Kala Vehicle Loan 29-09-2017 4.50  Post Inspection
Meena  RC of the vehicle not found report not found
(4001766702) in the records. on the records.
11 Rajendra Prasad Vehicle Loan 16.10.2017 0.53  Hypothecation of Vehicle  Post Inspection
Sharma not done & bank name also report not found
(4002987459) not shown in insurance on the records.
policy.
 RC of the vehicle not found
in the records.
12 Madhur Malik Vehicle Loan 18.10.2017 0.445  RC, Bill & insurance policy  Post Inspection
(4003134873) of the vehicle not found in report not found
the records. on the records.
13 Mahendra Kumar Housing Loan 03.10.2017 5.25  Post Inspection
 Insurance Policy not found
Gupta report not found
on records. on the records.
(4002842157)

Housekeeping /Other Areas:

Reported in GL Head Details of irregularities Remarks of Branch Remarks of Con. Auditor

Audit Report Dt. Manager

NIL

Note: -The irregularities pointed out in monthly/quarterly audit reports should be rectified within a maximum period of - 60-
days. In the event of such non-rectification, the same will continue to appear under this statement and need to be followed up

Page 36 of 41
 for rectification. Before removal of irregularities reported in this statement, the Concurrent Auditors should satisfy themselves,
as to their rectification. If for certain reasons beyond the control of the branch rectification is not possible branch should
approach higher authority for guidance / suitable modification.

PERIODICITY: MONTHLY Concurrent Audit Format No – M-41

REPORT ON KNOW YOUR CUSTOMER(KYC) & ANTI MONEY LAUNDERING(AML) COMPLIANCE
SUBJECT AUDITOR’S OBSERVATIONS
KYC NORMS: GENERAL Yes
Whether the Branch Officials are aware of the KYC-AML guidelines? Yes
Whether the Officials (BM/ Accountant/ Officer) spend quality time with the Yes
prospective customer while opening accounts?
Whether the profiles (details) of the customers are obtained, maintained and Yes
updated from time to time?
Whether the prescribed documents for customer identity and address proof are Yes
obtained invariably in all accounts by the branch?
Whether the Photostat copies of the above documents obtained are verified with the Yes
original and a certificate to that effect is incorporated on the copies of documents?
Whether thanks letters are sent without fail to the customers and the introducers in No
all the accounts opened?
Whether verification of the identity of the new customer is carried out as per Yes
guidelines?
Whether time schedule fixed for verification of existing customers is followed? No
Furnish the details of backlog if any.
Whether relaxations given for socially & economically backward persons are being No
provided to such category of customers? Hardships faced by the customers, if any.

KYC FOR LOCKER HIRERS:

Whether all the locker accounts are subjected to KYC norms ? NA
Whether the connected accounts (current / savings/ term deposit accounts) of the NA
locker holders have been subjected to KYC norms ?
Whether proper documents for identification and address proof in case of in- NA
operative lockers have been obtained?

Page 37 of 41
Whether laid down procedure in the case of operation of lockers are scrupulously NA
followed by the branch?
Whether inoperative lockers, where the rents are also in default for a long time, NA
efforts are made to break open as per laid down procedure ?
Whether any locker is operated by a Power of Attorney holder? NA
If so, whether due diligence is done on the PA holder ?

DEMAT ACCOUNTS
Whether all the customers holding demat accounts are subjected to KYC norms as NIL
per guidelines (i.e., prescribed documents for identification and address proof are
obtained ?)

AML MEASURES
Whether conduct of new accounts is monitored for suspicious activities? Yes
Whether suspicious activities observed are reported to appropriate authorities? Yes
Whether record of all cash transactions above Rs.10.00 Lacs is maintained in the No, Separate records have
branch? been maintained.
Whether cash payments of term deposits above Rs.20,000/- are made ? Yes
Whether there are any accounts in the name of banned organizations? If yes, NIL
whether reported to the appropriate authorities?
Whether all financial records are maintained with facility for easy retrieval as and Yes
when required?
Whether in case of organizations receiving contributions from foreign countries, the NA
copy of registration certificate under FCR Act, 1975 is held?

Recovery of TDS on applicable Term Deposit accounts, Payments to Contractors / Landlord etc.

PERIODICITY: MONTHLY Concurrent Audit Format No. M-42

Page 38 of 41
 We certify that we have scrutinized the transactions relating Term deposit accounts, as also payments made by the Branch to
contractors/landlord etc and such other transactions wherein TDS would be applicable as per the Income Tax Act, put through
by the Branch, on a monthly basis. We hereby certify that TDS at the prescribed rates has been recovered in all applicable cases
in accordance with the laid down policy guidelines and the tax remitted to the appropriate authority within the specified time
schedule.

Pension Payments, PPF, Collection of Taxes, correct payment of service tax and other Government Business

PERIODICITY: MONTHLY Concurrent Audit Format No. M-43

We certify that we have scrutinized the transactions in Pension Payments, PPF, correct payment of service tax and other Govt.
accounts put through by the Branch on a quarterly basis and they are in accordance with the laid down policy guidelines except
and to the extent mentioned below:

Comments: we have verify that transaction in Pension payment accounts are accordance with the laid down policy, and at
present no PPF account in the branch & payment of Service tax automatically deducted by the system and at the end of the
month service tax amount automatically transfer to R.O

Note: If the Branch is Nodal Office for Govt. business, please verify-
1. Whether reimbursement for claim was filed in time.
2. Whether turnover commission was claimed correctly, and in time.
3. Any other issues

Report on proper Classification of Loan Accountsunder Priority Sector Lending

a) Report on Declassification of accounts -

Periodicity: MONTHLY Concurrent Audit Format No. M-44

Page 39 of 41
Sl. Name of the Account Sanction Limit Present Correct Reason for Date of Rectification
No. (Rs. in crore) Classification Classification Declassification

NIL

The Auditors are required to report the accounts which are wrongly classified violating RBI’s master direction on Lending to
Priority Sector.

Report on Flagging of Restructured accounts-

Periodicity: MONTHLY Concurrent Audit Format No. M-45

Sl. No. Name of the Account Sanction Limit (Rs. in crore) Remarks of Auditor Date when rectified

NIL

The Auditors are required to report the accounts which are not flagged as restructured in CBS system

Page 40 of 41
Page 41 of 41