CO129-510-14 Report of committee of enquiry into discrepancies and losses in government departments in Hong Kong... 21-4-1928 - 24-10-1928 — Page 86

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Members of the public are seemingly extremely lax in requiring the immediate issue of receipts and are content to call for receipts on the day following payment. This laxity would render it possible for a shroff to withhold bringing to account moneys paid to him.

(i) We consider that the Cashier should exercise supervision over the Defaulters Lists sept to the Treasury Solicitor, and should verify, by comparison with the Collection Books, the daily returns of items paid and should sign such returns.

() With the present system of accounting it is difficult for the Cashier to ascertain the progress of the collection of any head of revenue and he is necessarily dependent on information obtained from the Collection Book Clerks. When a proper system of Ledger accounts has been instituted, the Cashier should receive express instructions defining his duties with regard to ensuring collection.

(k) With regard to Water Accounts, we consider it desirable that the shroff should have copies of the relevant schedules in order that he may know, without reference to the Collection Book Clerk, the amounts due to be paid by consumers.

Section II.

THE COLONIAL TREASURY-EXPENDITURE BRANCH.

122. (a) We have been greatly struck by the important duties performed without supervision by the Cash Book Clerk who is a Third Grade Clerk in receipt of a salary of $1,900.00 per annum.

In suggesting the necessity for supervision, and in recommending that this officer should be relieved of certain of these duties. we desire it to be understood that this must not be regarded as any reflection on the manner in which the present clerk has fulfilled his duties.

(b) We find that the Cash Book Clerk was responsible--

(i) for the receipt and custody of the cheque books and the verification of their

contents;

(ii) for the preparation of all cheques, and for their posting to the cheque

register and to the cash book;

(iii) for the checking of the entries in the Pass Book;

(iv) for recording all expenditure vouchers;

(v) for the scrutiny of such vouchers to ensure that the same were duly receipted

and so constituted proper vouchers to the Treasurer's accounts;

(vi) for the custody of such vouchers;

(vii) and, in conjunction with a clerk in the Bookkeeping Branch, responsible for

the preparation of the Daily Certificate of cash and bank balances.

He had many other minor duties to perform.

We consider that in the performance of the duties specified above his work should have been, and should in future be, supervised by the Accountant

(c) We consider that cheques should be prepared by an officer other than the Cash Book Clerk.

(d) We consider that cheque books should from the time of their receipt be under the personal custody and control of the Accountant, who should check their contents and be held responsible for the provision of adequate safeguards during their transit to and from the Gaol, if it be deemed necessary to continue the practice of sending them to that place.

(e) We consider that the Accountant should check the Pass Book entries.

We consider that the Accountant should see all receipted vouchers and satisfy himself that they constitute proper vouchers to the Treasurer's accounts. All completed vouchers should, in our opinion, be passed to the Examination Branch for final scrutiny.

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