OF ANY TRADING OPERATIONS CONDUCTED BY THEM. (NOTE: SINCE 21' JUIC 1978 UNDER THE CODE OF AID, THE DIRECTOR OF AUDIT HAS THE POWER TO EDAMINE SPONSORS ACCOUNTS AND RECORDS). NOTWITHSTANDING
THE FOREGOING, AND IN THE LIGHT OF THE EXTRA BANK ACCOUNTS AN DEPOSITS REFERRED TO IN PARA 8, AND THE ERRORS AND OMISSIONS SPECIFIED IN PARA 11 ABOVE, THE INSPECTION TEAM PROCEEDED ON THE
PREMISE THAT THE TRADING TRANSACTIONS HAD INDEED BEEN CARRIED OUT BY THE SCHOOL INSTEAD OF THE SPONSORS. THE SPONSORS DID NOT DISSE
FROM THIS ASSUMPTION.
16. NO ACCOUNTS OR RECORDS WERE KEP OF SALES OF TEXT-BOOKS,
EXERCISE BOOKS OR UNIFORMS (BADGES) ETC., SOLD BY THE SCHOOL, OR OF TRANSFERS OF MONEY BETWEEN THE SCHOOL AND THE SPONSORS. HOWEVER, THE RECEIPTS AND PAYMENTS ACCOUNTS RECONSTRUCTED BY THE SISTERS WERE MADE AVAILABLE TO THE INSPECTION TEAM. THESE
RECONSTRUCTED ACCOUNTS TOGETHER WITH THE SISTERS FURTHER EXPLANATIONS, ENTRIES IN THE VARIOUS BANK STATEMENTS, AND
INVESTIGATIONS INTO THE ALLEGATIONS MADE BY A DELEGATION OF
TEACHERS TO THE EDUCATION DEPT, ENABLE RELEVANT CONCLUSIONS TO
BE DRAWN. THESE CONCLUSIONS ARE INCLUDED IN PARAS 17-19 BELOW.
17. PAYMENTS OF TWO SUMS WERE MADE TO THE SPONSORS, NAMELY, DOLLARS
76,000 IN 1975 AND DOLLARS 60,000 IN 1976 ( A TOTAL OF DOLLARS 130,000), IN PART REPAYMENT OF THEIR ADVANCE OF DOLLARS 283,395.7 TOWARDS THE SCHOOLS BUILDING COST REFERRED TO IN PARA 8 AOBVE, LEAVING AN OUTSTANDING BALANCE OF DOLLARS 153,395.27 (SEE PARA 21 BELOW).
18. IT WAS ESTABLISHED THAT AS AT 31 MARCH 1977 THE TOTAL FUNDS
AVAILABLE IN THE EXTRA ACCOUNTS AND FIXED DEPOSITS (SEE PARA 9 ABOVE) BUT NOT BROUGHT TO ACCOUNT WAS DOLLARS 319,879.40, THIS SUM BEING INCLUSIVE OF THE SUM OF DOLLARS 89,252.12 DUE, AS SHOWN IN PARA 11 ABOVE, TO GOVERNMENT GRANT ACCOUNT. IT WAS FOUND THAT INCLUDED IN THIS DOLLARS 319,879.40 WAS DOLLARS 14,740.87 DUE TO THE SPONSORS. THIS WAS CALCULATED AS THE TOTAL OF SALARIES PAYABLE FROM SEPTEMBER 1973 TO MARCH 1977, LESS THE SUM ALREADY CORRECTLY REMITTED TO THE SPONSORS AND LESS SALARIES INCORRECTLY CLAIMED IN RESPECT OF TWO SISTERS SERVING AS TEACHERS IN THE SCHOOL ABOVE THE PERMITTED ESTABLISHMENT, AND WITH THE ADDITION OF PART OF A SPECIFIC DONATION FROM AN OVERSEAS BENEFACTOR WHICH WAS
PEANT FOR OTHER SCHOOLS.
以
19. THE