Bank Audit - 62. page

Assess the Risk of Money Laundering : Due to the nature of their business, banks are ready for targeting those who are engaged in the money laundering activities by which […]

Assess Specific Risks : The auditors should identify and assess the risks of material misstatement at the financial statement level which refers to risks that relate pervasively to the financial […]

Risk Associated with Outsourcing of Activities ; Further, the modern day banks make extensive use of outsourcing as a means of both reducing costs as well as making use of […]

Value-at-risk (‘VAR’) : For a given portfolio, value-at-risk measures the potential future loss (in terms of market value) that, under normal market conditions, will not be exceeded, with a defined […]

Corrective Action : An important corrective step in a fraud is recovery of the amount siphoned off through the fraud. A structured scrutiny/ examination of events or transactions would lead […]

Preventive and Punitive Action: The preventive action as deemed necessary to address the ‘system failure’ and/ or punitive action as prescribed internally for ‘human failure’ should be initiated immediately and […]

Provisioning for Frauds : RBI has vide its circular RBI/2015-16/376 DBR.No.BP.BC.92/21.04.048/ 2015-16 dated 18th April, 2016, decided to amend the provisioning norms in respect of all cases of fraud, as […]

Determine Audit Materiality : SA 320, “Materiality in Planning and Performing an Audit” defines the materiality in the context of an audit. It describes that financial reporting frameworks often discuss […]