BALANCE-SHEET "TAGS ”

Hauraki Plains Gazette, Volume XXXVIII, Issue 5088, 14 February 1927, Page 2

BALANCE-SHEET "TAGS ”

HAURAKI PLAINS COUNTY. STATEMENT BY CHAIRMAN. A special meeting of ‘the Hauraki Plains County Council was held on Thursday last prior to the monthly meeting for .the purpose of “settling” the balance-sheets for the years 192425 and 1925-26 as required by law. The following “tags” were attached to bath balance-sheets :— In the opinion of the Audit Office the amount of rates outstanding was excessive. Payments totalling £268 9s lid were unsupported by requisite receipts. Attention was directed to fact that an overpayment, of £2O 19s 6d to a contractor during the year fended , March 31, had not yek been recovered. Vouchers for supply of metal, metalling roads, and contract vouchers were unsupported by contractors’ claims, nor were toe. contracts available for perusal at audit. In the opinion of the Audit Office the existing practise of utilising a loose leaf minute book, and of signing only the last page of the report of each meeting was unsatisfactory. Costs of raising loans had, without authority of law, been, debited to certain loan accounts, and the amounts involved should be. refunded. Summarising No. 1 "tag,” Mr Walton stated that in regard to toe first the council was in a better position than the audit department to judge of the financial conditions in the county, and he did not consider that there was an excessive amount of rates outstanding. The second "tag” directed attention to the fact that the council paid accounts; by cheques made payable to order. Government, departments did likewise, and were contend with the signatures of payees written on cheques. Most of the receipt forms attached to cheques were returned, but there had always been a residue not returned. The question had been discussed with the Audit Department, which had been unable to suggest a workable remedy. The third referred to a voucher already twice certified to by a former engineer. He thought the fourth requirement w.as a reasonable demand. The practice of loose-leaf ledgers had been in existence since the constitution of the county, and no complaint hpd been made by the Audit Department until now. It was a matter of opinion whether loose leaf or bound leaf books should be used. The latter system was too well established to be open to question, and the department had given no reason for. considering its use unsatisfactory. On the other hand, the department had expressed approval of loose-leaf account books, which were’just as important as the minute book. The sixth "tag” merely entailed ;1 transfer in the account books of the council. It was unanimously resolved that the ch.airftian’s reply to the Audit Department be incorporated in the printed copy of the balance-sheet.