Audit Approach to be followed by Bank consolidating Auditor:
1. The consolidating Auditor must ensure the completeness as well as accuracy of the data at the bank as a whole.
2. Auditor should obtain reasonable assurance and sufficient appropriate audit evidence of the adjustments made if any at the Bank level.
The Central statutory auditor should also examine the following key additional aspects;
a. Reversal of interest on inter-branch balances and other similar items.
b. Cancellation of transfers of assets among branches.
c. Review of observation made by the branch auditor in audit report and LFAR.
d. Review of the various audited and unaudited returns.
e. Effect of Memorandum of Changes (MOC).
Review of MOCs so as to ascertain whether there are systemic issues or deficiencies which need to be addressed by the management.