JILANI COMMITTEE RECOMMENDATIONS - BRANCH LEVEL
(Relating to Internal Control and Inspection/Audit System in Banks which are to be Compulsorily
Implemented by Banks)
Sr. No. Recommendation Nature of Recommendation Implementation
No. in the
WC Report
1 39 Follow-up on major/serious irregularities detected during
concurrent audit to be immediately taken up with the LHO. A
time bound action programme for rectification to be drawn
up and closely monitored. Fraudulent transactions to be
reported to Vigilance/chief of Inspection/Audit etc.
2 41 Smaller/Medium sized branches to rectify irregularities
pointed out during inspection/audit within 4 months.
3 44 Inspectors/Auditors to get majority of irregularities rectified
during their stay at the branches concerned and guide them
as well.
4 45 Immediate action to be taken to plug gaps in serious
irregularities/revenue leakages which have surfaced due to
loop holes in existing procedures, abnormal deviations from
laid down procedures/norms in consultation with the
departments concerned by issue of fresh guidelines
5 53 Appropriate control measures should be devised and
documented to prevent the computer system from attacks of
unscrupulous elements. All aspects of security, reliability
andaccessibillity are ensured before introduction of EDP
application in place of manual system by having pilot
parallel runs.
6 54 Various tests to be carried out to ensure that EDP applications
have resulted in consisted and reliable system for inputting,
processing and generation of output of data.
7 59 Entire domain of EDP activities be brought under scrutiny of
inspection and audit including the underline financial
aspects.
8 61 In order to bring about uniformity of software used by various
branches/offices,there should be a formal method of
incorporating change in standard software and it should be
approved by senior management. Such changes are to be
inspected and monitored continuously.
9 71 Banks should complete enquiries expeditiously and bring to
book the delinquent staff to deter others from perpetuating
frauds and malpractices. Internal vigilance machinery to be
strengthened and its working to be reviewed by the board
every six months.
10 74 Regular checking by inspectors/auditors to verify correctness
information compiled/furnished by branch regarding
come recognition, asset classification,provisioning and NPA
antification in conformity with prescribed norms.
Discrepancy to be immediately brought to the notice of the br-
nch manager for rectification on the spot
(Relating to Internal Control and Inspection/Audit System in Banks which are to be Compulsorily
Implemented by Banks)
Sr. No. Recommendation Nature of Recommendation Implementation
No. in the
WC Report
1 39 Follow-up on major/serious irregularities detected during
concurrent audit to be immediately taken up with the LHO. A
time bound action programme for rectification to be drawn
up and closely monitored. Fraudulent transactions to be
reported to Vigilance/chief of Inspection/Audit etc.
2 41 Smaller/Medium sized branches to rectify irregularities
pointed out during inspection/audit within 4 months.
3 44 Inspectors/Auditors to get majority of irregularities rectified
during their stay at the branches concerned and guide them
as well.
4 45 Immediate action to be taken to plug gaps in serious
irregularities/revenue leakages which have surfaced due to
loop holes in existing procedures, abnormal deviations from
laid down procedures/norms in consultation with the
departments concerned by issue of fresh guidelines
5 53 Appropriate control measures should be devised and
documented to prevent the computer system from attacks of
unscrupulous elements. All aspects of security, reliability
andaccessibillity are ensured before introduction of EDP
application in place of manual system by having pilot
parallel runs.
6 54 Various tests to be carried out to ensure that EDP applications
have resulted in consisted and reliable system for inputting,
processing and generation of output of data.
7 59 Entire domain of EDP activities be brought under scrutiny of
inspection and audit including the underline financial
aspects.
8 61 In order to bring about uniformity of software used by various
branches/offices,there should be a formal method of
incorporating change in standard software and it should be
approved by senior management. Such changes are to be
inspected and monitored continuously.
9 71 Banks should complete enquiries expeditiously and bring to
book the delinquent staff to deter others from perpetuating
frauds and malpractices. Internal vigilance machinery to be
strengthened and its working to be reviewed by the board
every six months.
10 74 Regular checking by inspectors/auditors to verify correctness
information compiled/furnished by branch regarding
come recognition, asset classification,provisioning and NPA
antification in conformity with prescribed norms.
Discrepancy to be immediately brought to the notice of the br-
nch manager for rectification on the spot
.jpg)
Post a Comment