The Performance Of An Auditor And Auditing In Nigeria Economy

The Performance Of An Auditor And Auditing In Nigeria Economy

Abstract

The end of this exploration work is to bandy an appraisal of an Adjudicator and Auditing in Nigeria Economy with reference to Union Bank of Nigeria Limited.

Chapter one deals with preface of the study, literal background of the study, Statement of the problem, purpose of the study.

Chapter two, literature review of the literal background of an inspection examination department in the Banking assiduity and it objects.

Chapter three dealt with exploration system, of an Appraisal of an Adjudicator as a vital operation tool in the banking assiduity.

Chapter four looked at the findings and reclaim of the replier in terms of table and chance.

Chapter five dealt with; summary, finding, conclusion and Recommendation

Chapter One

Preface

Preface

An adjudicator of the substantiation may describe an inspection as an examination from which final profit accounts and balance distance of an association have been prepared. In order to ascertain that they present a true and fair view of the epitomized sale for the period under review and of the fiscal state of the association at the end date this enable the adjudicator to report their on.

thus an adjudicator which is part of internal control assists all position of operation of the Union bank of Nigeria limited( or any association) of in performing periodic account and executive procedures and other conditioning of the association, including relating possible means of coffers.

perfecting the effectiveness and frugality of operations and use of coffers the unit independent of all other department within the bank is direct responsible to the managing director of principal superintendent. In carrying out assignments, the head and as applicable, members of the checkups state have unrestricted access to all Union banks records, document and particular relative to the subject under review.

Purpose Of The Studies

The objects of this study are to determine and estimate

The functions performed by the inspection( examination) department of Union bank of Nigeria limited and how these fairly with the operation’s requirements and demand.

The perception of the colorful departments and the state of the departments being checked .

The donation by the inspection( examination) departments towards the overall ideal of Union bank of Nigeria limited.

The operation of an association has the primary responsibility of running the business efficiently and effectively. This is achieved by the installation of a good inspection control line the organizational setup. The controls include physical as well as executive ways. An adjudicator is an significance aspect of those controls the effectiveness and capabilities of the examination department limited are functions of the following

The Caliber( qualification, experience and maturity) of state in the department.

Nature of the duties, performed and the extent of their independent.

C. The ideal of their report.

The inspection( examination) department contributes as great deal to the development of Union bank of Nigeria limited. It’s thus veritably important that the person should be able of understanding and interpreting the system in operation its effectiveness can be measure in term of the extent of which fraud and error are controlled and minimized and the position of compliance with the operation programs and pretentiousness.

With reference to Union bank of Nigeria Limited, on which the exploration is grounded, the examination unit is a big department of about 150 staff strength utmost of whom are of high integrity and progressed these rates are manifested in the examination report issued by the department.

THE DUTIES PERFORMED AND THE EXTENT OF inspection( examination) INDEPENDENT OF THE DEPARTMENT

The duties of the examination department are to

a) Review and corroborate that the policy of Union Bank of Nigeria Limited are carried out duly and constantly all department.

b) Review and corroborate that all department do stoner are carried out constantly and in a satisfactory manner.

c) Review and corroborate the soundness, and equacy and operation of System procedures and interval controls, including computer, installations and recommend and enhancement where necessary.

d) Review and determine the extension, which the bank’s means are reckoned for and safe guarded from loses of all kinds.

insure that there’s an acceptable and effective system of controls over loans and overdrafts.

f) Review capital and administration expenditure of the Bank and Propose possible savings or further effective use of expenditure incurred.

g) Visit branches in order to corroborate the correct operation of the Bank’s programs and delicacy of account and records and insure the effective application of Bank’s coffers.

h) give a source of good staff to help other departments if and when needed to do so, enter by advising on system or by supplying labor force.

The examination department is being treated with respect and given free hand to operate. The degree of independence allows the department to discharge its duty consequently.

The conditioning performed by the examination department are perceived by the operation as worthwhile because they’re described as the” Watch Dog” of the association.

Hence, the degree of reliance on the reports issued by the department by operation is veritably high. operation views their reports as an essential measure in correcting the setbacks within the association.

On the other hand, the colorful departments and the staff being checked occasionally perceived the examination department as a unit that’s out to victimize, as similar, in utmost cases the degree of cooperation is veritably especially with the middle and inferior staff configurations.

still, with different perception of the examination department in the bank, the department still contributed to the consummation of individual departments objects through recommendations contained in their reports to operation. The perpetration of this recommendation leads to enhancement in the bank.

BRIEF HISTORY OF UNION BANK OF NIGERIA LIMITED

The social Bank was granted in 1916 to operate in Nigeria. It first office was opened in Lagos in 1917 and latterly expended into the up- country where it established services in Jos, Kano and Port Harcourt.

In 1925, Barclays Bank concluded an agreement with the well- known Colonial Bank and affect gave birth to the Barclays bank( Nigeria Limited). It continued under the name until March 12, 1979 when the name Union Bank of Nigeria Limited was espoused.

The civil government now owns substantial par to the equity share capital of the bank amounting to5.67 whilst Nigeria shareholders have equity holding of28.33, Barclays Bank International holds an equity of 20 and loans policy has also been carried into the operation this the superintendent operation of the Bank is now eventually in the hands of Nigeria.

Association STRUCTURE

The Bank is divided into four divisions for ease of control and monitoring of performance. These executive divisions are administration and services operations- Lagos quarter, operations up country and finance and planning each of these divisions are handed by an administrative director who’s directly responsible to this managing director. The managing director is the principal superintendent and also an ex­- officio member of the board of directors, in the bank. In view of his cargo of liabilities a special adjunct is abetting him.

Major programs are established and important opinions are taking by the administrative commission but where necessary they’re appertained to the board of director for ramification. The commission comprises the managing director, the administrative director; all the adjunct general directors, the principal inspector and the advance regulators programs and decision which are passed down the line for perpetration include advances, representation, business development capital and intermittent expenditure, remune sections and services conduction’s and appointment of staff to mention a many.

Four functionary are directly responsible to the administrative director( administration and services). They’re the adjunct general directors, original( company clerk Legal counsel). Assistant general director demesne, the adjunct general director( Staff) who takes charge of all staff matters and eventually the general director’s adjunct, administration.

The administrative director operation( Lagos) has an assistant general director( Lagos) reporting to him and same applies to the administrative director, up country operations.

The advances regulators, still, reports directly to the managing director and other administrative directors depending on the issue at stake. The work of the principal inspector and adjunct general director, fiscal and planning are coordinated by the administrative director for fiscal and planning.

Under the head officer general operation there are ten area services each of which is headed by the area operation his responsibility is to insure that administrative opinions are carried out in his area. They’ve authorities over their areas and can make introductory opinions regarding staff and their movements and others diurnal operations within the area. Where the need arises they’re responsible to their line assistant general director be it for Lagos or up country.

The branches, 204 in figures are headed by branch directors who are responsible for the diurnal handling of their branches and conservation of staff under them.

OPERATIONS

Following the accession of maturity shares of equity capital of the bank by the civil government of Nigeria attempts are being made to make loans investment and other operation programs of the bank comfort with borrowing conditions of the Nigeria Economy.

The banks see up in 1917 a business premonitory service to help company in perfecting the operation and fiscal control of their businesses.

Profit wise, the bank has shown nonstop and steady growth as could be seen from the calculation form the periodic report( 1984- 1986).

MEASURE OF GROWTH( N 000S)

DEPOSIT

1984

1985

1986

DEPOSITS

SHAREHOLDERS

LOANS&ADVANCE

INVESTMENT

QUOTED&UNQUOTED

PROFITABLE duty

EARNING PER SHARE

53k

76k

99k

STAFF STRENGTH

Exploration Questions

i. What are the functions of the examinations department?

ii. How frequently does the staff of the examination department visit your branch per annum?

iii. Is the visit of the examination department useful to the branch? iv. Does their review of your branch work cover all the operation of the branch?

What’s your opinion of the examination reports? VI. Is the examination department adequately staffed?

vii. Does the examination department take over disquisition only when there’s suspicious?

viii. Is there any possibility of conspiracy between the examination department staff and any member of staff?

Compass And Limitation Of Study

There are about fifty- four( 54) banks in Nigeria. Out of these banks there are thirty- six( 36) marketable banks, thirteen( 13) trafficker banks and five( 5) development banks the study was confined to union bank of Nigeria Limited which is one of the largest there marketable banks in Nigeria.

Limitation

The topmost handicap of this study is the ignorance of a change number of staff of union bank of Nigeria Limited about the purposes of exploration work, as a result numerous of the staff members were unintentional to help while a good number had to be converted to answer oral questions. It’s hoped that as time goes by bankers will come apprehensive of the purpose of exploration systems and be ready to render backing to the experimenter.

Significant Of Study

It’s hoped that this study, will be of significance to scholars( of Accounting, Banking and Finance) staff and operation of union bank of Nigeria Limited in particular and the Banking profession and the union bank of Nigeria Limited shareholders the scholars are made to be apprehensive of the important part being played by an adjudicator in the banking profession by breeding fiscal discipline in both operation and staff.

The study will make staff and operation of Union Bank of Nigeria Limited to be alert to their liabilities and accept the fact that the adjudicator( examination) department’s functions are independent and objective appraisals of the work performed by all sections of the bank so as to reduce destruction, dock fraud as well as introduce better and modem system to help both staff and operation in the better performance of their duties.