FRIENDLY SOCIETIES

Dominion, Volume 5, Issue 1521, 17 August 1912, Page 14

FRIENDLY SOCIETIES

Sir,—Anent the above, I was very pleased to see you have published the registrar's report on auditing. As a registered auditor under the F.S. Act, I have been approached as to auditing certain F.S. books, and been asked my fee, to which I replied that I would go by the rates in the Act. That was enough, and £ve-shillings-an-audit-incn weTe appointed instead. I know for a fact deeds are not generally exaifiincd by these men, and if they were, of what valuo would their opinion be? None whatever. The trouble lies in a nutshell: it is not tho auditor's capability, but his popularity, that gets him elected to tho responsible position, and when errors or losses occur, who is to blame? Why, the members themsolves. Tho secretary is a dominating factor in small, lodges, and he naturally says his books, etc., are' all right, and will )je present during the audit. Tug tyros nro doubtful of their position, and don't like to show their ignorance of the subject matter, and therefore pass dubious points on the assurance of the secretary. I do not say this is <lone in all cases, but, nevertheless, it is done, and tho registrar is perfectly justified in bringing the matter before Parliament. Tho fees fixed are on a sliding scai". at per capita, and tho lodge should increase its levy, if necessary, to protect its fluids. Parliament should stop in and prohibit theso societies from continuing their penny-wise and pound-foolish system of auditing. Members should not be allowed to act as auditors unless holding a certificate from the registrar.—l am, etc., E.A. August 12, 1912.