Correspondence with Auditors

The accounts of every co-operative society must be audited, and the audit of co-operative societies in Maharashtra is carried on within a framework supervised by the department of co-operation under the Maharashtra Co-operative Societies Act, 1960. Correspondence with the auditor is therefore a regular and important part of the secretary's work, both before the audit (arranging it) and after it (dealing with what the audit reveals). Sound audit correspondence helps the society get its accounts certified in time and put right any defects the auditor points out.

Before the audit, the secretary corresponds with the auditor to fix the audit — for example, requesting the auditor allotted or empanelled for co-operative audit to take up the society's audit for the year, agreeing the date on which the auditor will attend, and confirming that the books, vouchers, registers, and statements will be kept ready. He undertakes to produce, and does produce, the information the auditor calls for during the audit. After the audit, the auditor submits the audit report, usually with an audit memorandum listing the objections, remarks, and defects found. The society is expected to remove these defects, and the secretary drafts and submits the rectification report (the compliance report) stating what action has been taken on each objection. Where an objection is disputed or cannot at once be complied with, the secretary corresponds to explain the society's position. …