DEPARTMENT OF INTERNAL AUDIT

FOLLOW-UP INTERNAL AUDIT REPORT

Rules and Regulations

DEPARTMENT OF RESIDENCE AFFAIRS

December 2011
 Department of Internal Audit

Follow-up audit on residence rules & regulations 

INDEX

SECTION 1 – EXECUTIVE SUMMARY...........................................................................................................3

1.1 Background information..................................................................................................................3
1.2 Engagement objectives...................................................................................................................3
1.3 Scope..............................................................................................................................................3
1.4 Statement of opinion.......................................................................................................................3
1.5 Appreciation....................................................................................................................................3
1.6 Distribution list.................................................................................................................................4

SECTION 2 – COMPREHENSIVE REPORT...................................................................................................5

2.1 OBSERVATION: NON-COMPLIANCE......................................................................................................5

2.1.1 Accommodation contracts not completed and captured on ITS.....................................................5
2.1.2 “Proof of occupation forms” and “change of room forms” not completed........................................6
2.1.3 Departure forms not completed......................................................................................................8
2.1.4 Observations made during room inspections..................................................................................9
2.1.5 Observations made during residence inspections........................................................................10
2.1.6 “Notice to residence occupants form” not completed....................................................................12
2.1.7 House Rules not submitted to the Director of Residence Affairs..................................................13

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 Department of Internal Audit

Follow-up audit on residence rules & regulations 

SECTION 1 – EXECUTIVE SUMMARY

1.1 Background information

The annual internal audit plan of the Department of Internal Audit is presented to the Executive and formally
approved by the Audit Committee of the Council. In accordance with the approved internal audit plan for
2011, the Department of Internal Audit is responsible to conduct a follow-up audit of the Residence
Regulations compliance audit. We recently completed the engagement and this report details our opinion,
observations identified relevant recommendations and management’s comments.

1.2 Engagement objectives

The primary objective of this engagement is to provide reasonable assurance to Management that the
agreed upon recommendations in the audit report issued in December 2010 have been implemented with
regards to Residence Regulations.

1.3 Scope
The scope of the engagement covered the follow-up of remedial action plans as proposed by Management
and Department of Internal Audit recommendations.

1.4 Statement of opinion

Our assessment listed below arose from our evaluation of the progress made with the implementation of the
action plans as indicated in our previous report as well as management’s confirmation of these agreed
action plans.

Finding Finding Action plans Action plans in

Number completed progress
2.1.1 Accommodation contracts not completed and 
captured on ITS
2.1.2 “Proof of occupation forms” and “change of room 
forms” not completed
2.1.3 Departure forms not completed 
2.1.4 Observations made during room inspections 
2.1.5 Observations made during residence inspections 
2.1.6 “Notice to residence occupants form” not completed 
2.1.7 House Rules not submitted to the Director of 
Residence Affairs

1.5 Appreciation
We would like to extend our appreciation to all the employees who assisted us in obtaining the information
required for this report.

1.6 Distribution list

The report is distributed to the following individuals for their attention:
 Prof J Molefe Vice-Principal

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 Department of Internal Audit

Follow-up audit on residence rules & regulations 

 Ms J Mashabela Deputy Vice-Chancellor
 Mr M Mushaathoni Acting Registrar
 Dr D Tromp Chief Financial Officer
 Mr Mahlangu Director: Residence Affairs
 Mrs Mnguni Director: Academic Administration
 Dr Mhlongo Director: Client Service Centre
 Dr Mdluli Director: Security Services
 KPMG External Auditors

___________________________________
Mrs AH Legodi
Chief Audit Executive: Department of Internal Audit

____________________
Date issued

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 Department of Internal Audit

Follow-up audit on residence rules & regulations 

SECTION 2 – COMPREHENSIVE REPORT

2.1 OBSERVATION: NON-COMPLIANCE

2.1.1 Accommodation contracts not completed and captured on ITS

Previous finding (2010)

Criteria
According to the TUT Guide par 2.1 of rules and regulations, “it is compulsory to complete, sign and submit
the University of Technology accommodation contract. Failure to do so will lead to a student summarily
being forced to vacate University of Technology accommodation”. Completed student contracts are captured
on the ITS system.

Condition
A number of students´ accommodation contracts could not be located and were not captured on the ITS
system.

Recommendations
 Accommodation contracts must be completed before students are allowed to move into residences.
 Develop and implement a checklist as detective control to identify which essential information is
gathered or outstanding for students.

Response from the Director of Residence Affairs

Management comment

 Prospective students are allocated placement during the previous year and the follow-up is easier to
implement as the contract is sent to the home addresses and both the student and parents are able to
sign and return the completed contract.
 Residing students who re- apply and are allocated placement for the following year are issued with a
placement letter as well as a contract. The problem arises that although a faxed contract is accepted,
not all parents have access to a fax and students often do not have the necessary finances to send a
fax.
 Students who are placed in January once they are already at the campus as well as those placed
during the year experience the same problem as mentioned above. They only see their parents during
the holidays and many only at the end of year.

Management recommendations

 That the University contract is adjusted to make provision for University accommodation as well, i.e.
students will only have to complete one contract for the duration of their studies.

Current status (2011)

 The process is improved by incorporating the accommodation contract in the 2011 application form.
The students have to complete the accommodation contract when they apply to study at the University
of Technology.
 During our follow-up review we selected a sample of outstanding contracts and verified that letters were
sent to students to remind them to submit the accommodation contracts. No exceptions noted.
 No further recommendations regarding the abovementioned matter.

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 Department of Internal Audit

Follow-up audit on residence rules & regulations 

2.1.2 Departure forms not completed

Previous finding (2010)

Criteria
According to TUT Guide par 4.1.2 of processes and procedure, "The keys, completed form and access card
must be handed in at the Building Supervisor's office between 08:00 and 15:30. If a student moves out
over a weekend, these items can be handed to the relevant House Committee member or Head of
Residence."

Condition
A number of students did not submit departure forms.

Recommendations
 The student must give a written notice to House Management and the Building Supervisor a week prior
to his/her intended departure. This should enable the timely identification of a replacement and allow
the Building Supervisor to inspect/attend departures.
 The Building Supervisor must provide the student with a departure form to complete and collect the
forms.

Management comment
 Students often leave without notification even though it is the procedure to follow.
 Departure forms are available at the Building Supervisor and CSC.
 As soon as a Departure form has been completed, the Building Supervisor inspects the room and any
breakages are reported through the Task System after which a student’s account is debited.

Management concern
Places will be vacant without anyone being aware of it which leads to a financial loss.

Current status (2011)

During our follow-up review we selected a sample of students that are no longer residing at the residence
and inspected the completed departure forms. The departure form could not be provided for audit purposes
for Khumalo B student number 2479110 who was staying at East residence.

Recommendations
Students must be instructed to complete the departure forms when they leave the residence. Proper follow-
up should be done by the Building Supervisors.

Management comment
The following action plans represent the agreed management action plans to be taken to address the
weaknesses and/or areas for improvement, as identified during the internal audit review.

Agreed management action and comments

 All students are informed of the process that should be followed in the case of departure. This process
is clearly outlined in the TUT Guide.
 There is nothing further that can be put in place as students do leave without notifying the University of
Technology.
 This is an external phenomena that cannot be controlled
 The Building Supervisors already follow up on a regular basis, especially after a recess period as this
is when students just do not come back.
 All follow-up actions that can humanly take place are already in place.

Person/position directly Dates for implementation Direct reporting Head

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 Department of Internal Audit

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responsible for
implementation
Not Applicable

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