CO129-552-3 Annual abstract account- 1933-4 1-1-1933 - 14-8-1936 — Page 15

COPY.

MEMORANDUM.

14

M!

१

The Auditor's view of Colonial Regulation 281

appears to be that when sufficient loan funds are not

immediately available an entirely new and distinct

account should be opened and charged with Loan Expenditure.

I consider the requirements of this regulation

are met by keeping the original loan account open and

charging it with expenditure beyond the point where the

account shows a debit balance. Provided that this debit

balance is within the limits authorised by the Legislature

and Secretary of State as an advance against future

issues of the loan it is in fact, though not in name,

an Advance Account.

The Loan Account is split into 13 subheads and

it is most important that the accounting for the various

loan works should be continuous. This makes for better

control and enables the costs to be shown without

confusion.

The excess expenditure is correctly placed

under Advances" in the Statement of Assets and Liabilities

and the only criticism which can be raised lies in the

omission of the words "pending re-imbursement from future

loan". This has since been rectified.

(Signed) Edwin Taylor.

Colonial Treasurer.

28th February, 1936.