Guest Juan Torres Posted July 11, 2012 at 12:32 PM Report Share Posted July 11, 2012 at 12:32 PM I was appointed Chairman of the Audit Committee by the President and was authorize to receive all the financial information needed to complete the audit. Two other individuals were appointed to be in the audit committee.Receiving the information for the audit, such as monthly financial reports and bank statement, I posted everything to an accounting program, Quick Book, to get a yearly total of all incomes and expenses which I thought would easier to do the audit. I did not insert any thing that was not in the information that I received.A copy of the accounting report was given to the two members of the audit committee for their review, but when we met to do the audit they did bring thier copy.After reviewing the yealy total and finding some income and expenses that we needed to look more closely, the two members agreed that it was a "conflict of interest since I generated the report" . One mentioned that it was good intent in my part and the other mentioned to get the report from the bank.Since I did "generate" the reports, is this a "conflict of interest"? Link to comment Share on other sites More sharing options...
Tim Wynn Posted July 11, 2012 at 12:38 PM Report Share Posted July 11, 2012 at 12:38 PM Since I did "generate" the reports, is this a "conflict of interest"?RONR doesn't cover "conflict of interest." The committee will have to decide how to proceed with its task, in accordance with the instructions from the appointing power. You could always take this to the parent body for clarification. Link to comment Share on other sites More sharing options...
SaintCad Posted July 11, 2012 at 01:40 PM Report Share Posted July 11, 2012 at 01:40 PM I don't understand what the supposed conflict of interest was. That you favor the report since you made it? That seems silly. Did any of the questionable transactions involve you? Then maybe. Are they arguing that you didn't use the bank statements? That's not a conflict of interest but the audit may be questionable. Did you object to reviewing bank statements because you made the report? I don't see that as a conflict of interest and the other committee member should have moved to examine the bank statement. Link to comment Share on other sites More sharing options...
sMargaret Posted July 11, 2012 at 02:32 PM Report Share Posted July 11, 2012 at 02:32 PM I don't believe that "conflict of interest" is quite the concept that the other committee members are searching for.Perhaps they're trying to get to the concept of you may in league with someone who is making these questionable transactions, and if this data is only supplied by you, then it should be verified by someone else.Trust, but verify. http://en.wikipedia.org/wiki/Trust,_but_verify Link to comment Share on other sites More sharing options...
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