Thesis Abstract

Abstract
Government-owned institutions play a crucial role in the economy and society, providing essential services and infrastructure. Statutory auditors are appointed to examine and report on the financial statements of these institutions, ensuring transparency, accountability, and compliance with relevant laws and regulations. This research explores the role of statutory auditors in government-owned institutions, focusing on their responsibilities, challenges, and impact. The study employs a mixed-methods approach, combining interviews with statutory auditors, government officials, and other stakeholders with a comprehensive review of relevant literature and regulations. The findings highlight the diverse range of responsibilities that statutory auditors have in government-owned institutions, including the examination of financial records, assessment of internal controls, and detection of fraud and irregularities. Statutory auditors in government-owned institutions face various challenges in fulfilling their roles effectively. These challenges include limited access to information, resistance from management, resource constraints, and political interference. Despite these challenges, statutory auditors play a crucial role in promoting good governance, identifying financial mismanagement, and enhancing accountability in government-owned institutions. The research also examines the impact of statutory auditors on the performance and governance of government-owned institutions. The findings suggest that the presence of statutory auditors is associated with improved financial reporting quality, increased transparency, and enhanced accountability. Statutory auditors also contribute to the detection and prevention of fraud, waste, and abuse in government-owned institutions, ultimately leading to better decision-making and resource allocation. The study concludes with recommendations to enhance the effectiveness of statutory auditors in government-owned institutions. These recommendations include improving access to information, enhancing cooperation between auditors and management, strengthening regulatory frameworks, and promoting a culture of accountability and transparency. By addressing these recommendations, government-owned institutions can benefit from the valuable insights and recommendations provided by statutory auditors, leading to improved governance, financial management, and service delivery.

Thesis Overview

INTRODUCTION

1.1     BACKGROUND TO THE STUDY

It has been said that the traditional role of financial account was to give account of the stewardship to the owner of business who was divorced from management of business. There is always the tendency for the owners to debt the content of the report presented to them. They fear that the report may contain errors, conceal fraud, deliberately misleading or lack in the information content. To solve this problem of credibility in reports and accounts there is always the need to appoint an independent person to investigate the report on his findings. Therefore, auditing can be defined as the independent examination of the books of account of individual organization etc with a view to conforming or refusing the assertion in the report. It is for the purpose that the professional bodies such as (ICAN) companies and Allied matters Decree 1990, stipulates the mode of appointment of auditors (sec. 357) (1) of 1990. And the qualification of auditors is to ensure a true and fair view of their report on financial matter to ensure that the financial position portray true and fair views, the auditor will enquire whether the institution is well ruled, in particular way.

The aim of the management audit is therefore to inquire into and report on how well the institution has fallowed the view of its member and carried them out completely. It is quite surprising, that irrespective of all the stipulated roles of statutory auditors, in controlling of fraud in government institution jet, misappropriations in government owned institution to extend that some of the establishment are put into bankruptcy. The problematic question government of this structure and procedure in which the researcher would attempt to give some answer are: Does the statutory auditor in the state audit person their actual responsibility as stipulated. Flow efficient is then in making sure that fraud is put to an end mostly in government institutions. The basic responsibilities of an auditor under companies and allied matters act (CAMD) of 1990 are to make report to the members on the financial statement audited. The report should state whether: Proper books of account have been kept proper returns adequate for the purpose of audit have been received from branches not visited by the auditor. Whether financial statement agree with the accounting records and returns.

The aim of this research project is to verify, enlightens and analyze express by the statutory auditor with respect to fraud. However, the auditor should recognize the possibilities of material misstatement or irregularities of fraud, which state of affairs shown by the financial statement. The auditor should also see that errors, which could distort the trueness and fairness of the financial statement, are corrected. Therefore, a statutory auditor is said to a watchdog and not a blood hand. Finally, the basic fraud on the management who may often obtain researcher assurance that the duties will be discharged by establishing an adequate system of internal control.

1.2   STATEMENT OF PROBLEM

The statement of the problem is as follows:

1. Inadequate finance

2. Inadequate base for auditing

3. Lack of trust

4. Inadequate cooperation.

1.3   OBJECTIVE OF THE STUDY

The objectives of the researcher among other things are the following:

1. To ascertain the impact of fraud control in government owned institution and the economy.

2.To ascertain the level of help, which the auditor derives from the government.

3. To determine the constant hindering of fraud control in government owned institutions.

4. To identify the benefits, which the economy will enjoy from the control of frauds in government owned institutions.

1.4 SIGNIFICANCE OF THE STUDY

This will enlighten and encourage my fellow students in banking to take the study more serious and our knowledge to the extent that the impact of auditors and their roles. It will also help us to appreciate the reason for the studying auditing as course and to understand the course to the end. To the society at large, the significance is to expose to the public how important auditors are to the society, their integrity and the abilityof the auditors to give professional advice.