Housing & Urban Development Corporation Ltd.
Regional Office: Patna
Date: 22.05.2018
Notice Inviting Tenders for Appointment of Chartered Accountant Firms as
Internal Auditors for Undertaking Comprehensive Internal Audit for the
Financial Year 2018-19
Housing and Urban Development Corporation Ltd. (HUDCO), a Govt. of India
Enterprise under Ministry of Housing & Urban Affairs having its Regional Office at
Block-B2, 2nd Floor, Mauryalok Complex, Dak Bungalow Road, Patna-800001 invites
tenders for appointment of Chartered Accountant Firms for the year 2018-19 for
undertaking Comprehensive Internal Audit of Patna Regional Office from eligible
Chartered Accountant Firms.
Eligibility Criteria, Scope of Work and Terms & Conditions for appointment are given
below: -
1. Eligibility Criteria:
i. The Chartered Accountant Firm should have at least three years' experience in
undertaking Internal Audit work of Public Sector Undertakings.
ii. CA Firm should have minimum three number of partners (CAs) and minimum
five number of paid assistants {qualified (CA/CMA)/semi qualified (CA/CMA-
inter)}.
iii. CA firm should have local office at Patna having minimum five working staff
(including one partner).
iv. CA Firm should have at least two years' experience in handling Tax related
matters including filing of TDS in respect of Public Sector Undertakings.
2. Scope of Work:
i. The Scope of Work is annexed at Annexure-I.
ii. The Checklist with comments on observations and deviations, if any to be
submitted with the Audit Report is annexed at Annexure-II.
iii. The Specimen Format of the Audit Report to be followed is annexed at
Annexure-III.
3. Selection Procedure:
The selection of CA Firm is to be carried out following the Two Bid System. The
Firms shall be required to submit Technical Bid as per Annexure-V and
Financial Bid as per Annexure-VI in separate sealed covers in overall sealed
envelope. Financial bids of only those bidders shall be opened who qualify the
technical criteria prescribed in the tender.
4. Tenure of Appointment:
The firm may be engaged for a continuous period of 3 years. However, the
appointment shall be renewed on yearly basis, based on the satisfactory
performance in the previous years with the approval of HUDCO, Head Office.
Contd....2/-
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5. Estimated Fees and Terms of Payment:
i. The estimated fee details are placed at Annexure-IV.
ii. The monthly/quarterly payments shall be made @80% of the due fees and
balance 20% shall be released after audit of annual accounts by Statutory
Auditors and issuance of Tax Audit Report.
iii. Payments shall be made through NEFT for which the firms need to submit bank
details.
6. General Terms & Conditions:
i. The CA Firm to give an undertaking
(a) that none of the partners has any relation with any employee of HUDCO and
also none of them has any relationship within the meaning of Section 2(76) of
the Companies Act, 2013 and also that none of them has any relationship
with the Statutory Auditors (M/s. Prem Gupta & Co.) and also will ensure
compliance under section 184 and 188 of the Companies Act, 2013.
(b) Certified that we have not been appointed for carrying out
certification/consultancy or such related work of the same Regional Office
which will have conflict of interest with the assignment as above as Internal
Auditors of the said Regional Office.
ii. The CA Firm is expected to undertake the review for each month's transactions
in the first week of succeeding month.
iii. HUDCO has the right to replace CA Firm if it is found that the Internal Audit is
not of required standards.
iv. The Internal Audit is to be conducted with the highest standard of professional,
ethical competence and integrity.
v. The tenders should be submitted in sealed cover duly superscribed as "Tender
for Appointment of CA Firms" and addressed to
"The Regional Chief, HUDCO Regional Office, Block-B2, 2nd Floor,
Mauryalok Complex, Dak Bungalow Road, Patna-800001. The quotations can
be sent by post or deposited in the tender box placed at the reception of the
office. The quotations must reach the aforesaid address on or before 1600
Hrs. of 30.05.2018. The received quotations will be opened on the same day
at 1630 Hrs.
vi. Any modification in the offer after the opening date will not be considered.
vii. Firms, before submitting quotation, should clearly understand HUDCO's
requirements and in case, any information/clarification is required, they may
visit HUDCO Regional Office, Patna during working days (Monday to Friday
between 9.30 a.m. to 6.00 p.m.). It may be noted that no clarification, would be
entertained after opening the quotations, unless HUDCO specifically ask for.
viii. Tenders received late, will not be considered. HUDCO will not be responsible
for any postal delay.
ix. HUDCO reserves the right to reject any tender without assigning any reason
whatsoever.
x. The period of validity of tenders shall be for a period of one year. Tenders with
lesser validity are likely to be ignored. HUDCO does not entertain requests for
escalation in cost/price on account of any reasons during the period of validity
of contract.
Contd....3/-
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xi. The tender documents may be downloaded from websites, www.hudco.org or
www.eprocure.gov.in.
Encl: As above. (Jitendra Kumar)
Asstt. General Manager (Finance)
Annexure-I
SCOPE OF WORK
Projects
Sanctions
Verifying the receipt of duly filled-in loan applications in prescribed form along
with relevant documents and applicable documentation charges.
Verify that the state and individual agency exposure is within the prescribed
limit by NHB and HUDCO.
Verify whether the sanction of schemes has been accorded in line with the
parameters of financing pattern issued from time to time.
Releases
Verify compliance with all the pre-disbursement sanction conditions and
required running conditions and monitoring the achievement of required level
of expenditure for subsequent releases.
Verify receipt of all the charges as specified in the Loan Agreement.
Monitor the timely receipt of Completion certificate upon project completion
Verify whether default cases are being reviewed and followed up regularly.
DMRC & Pre-Audit
Verify whether DMRC meetings are being held regularly and minutes are
forwarded to RO as per the guidelines.
Preliminary Audit of accounts of the agency(s) before release of security/
initiating legal action, shall be carried out. Compilation and forwarding of all
copies of documents relevant for pre-audit for final clearance by Internal Audit
Wing (Head Office).
Finance, Accounts, Administration, Real Estate and HR
Verifying monthly trial balance accompanied by audit report backed by
verification of books of accounts and verification of all the vouchers
Verification of reconciliation of bank accounts with reference to closing
balances as per ledgers.
Verification of actual expenses vis-à-vis budget
Verification that present Salary of employees has been calculated correctly in
accordance with 3rd Pay Revision Orders.
Verification that award of AMC to the contractors and
empanelment/engagement of service providers have been done as per
procedures/guidelines/O.O issued from time to time and all terms of contract
are duly complied.
Verify that Estate Maintenance of office building, residential houses, guest
houses etc. is being done as per procedures. Proper documents have been kept
in lockers and insurance and taxes etc. have been paid timely.
Verify whether Flats have been allotted as per the eligibility. Also, whether
HRA for all the occupied flats is being recovered.
Verify that debiting and crediting of leaves is in line with Leave rules and
service records are updated timely. Also, salary is being regulated after
accounting for leaves availed.
HUDCO Niwas
Verification that loan application and its acceptance is in prescribed format and
documents submitted are as per guidelines
Verification of appraisal to check the credit worthiness, repaying capacity
(individual and rental income), credit appraisal ratios and fixing of repayment
period
Verification of title documents and creation of security as per guidelines.
Verification of release of loan after compliance of sanction conditions, site
inspection, individual contribution and requisite financial and physical progress
Monitor that requisite number of post-dated cheques have been received as per
guideline and verification of conversion of PDCs with National Automated
Clearing house(NACH).
Verify that default cases are being reviewed and Default Recovery minutes are
sent to HO from time to time. Whether action under section 138 of Negotiable
Instrument Act, filing of civil and criminal cases including Sarfaesi Act is being
taken.
Verify that penal interest, compound interest are calculated as per
practice/procedure/norm and NPA provisioning is being made as per prudential
norms
Verify that all insurances have been taken as per guidelines
Verification of books of accounts and vouchers with regard to appropriateness
and correctness of heads of accounts
Verification of bank reconciliation statement and monthly cumulative report for
quarterly, half-yearly, nine-monthly and annual statements generated through
Software package.
Verify whether necessary provisions in HUDCO Niwas loans has been made as
per NHB norms
Verify Compliance of provisions of GST Act / Income Tax Act, 1961
Verification that eligible CLSS subsidy claims/releases to banks by HUDCO
(as CNA) and CLSS subsidy received from NHB by HUDCO (as PLI) is as per
guidelines.
Verify the Rectification JV/Differential Entry passed by the RO in the HUDCO
Niwas Accounting System (Software package), if any.
Public Deposit Scheme
Verification that application forms for deposits and its acceptance are in the
prescribed format and documents submitted therein are as per the guidelines.
Verifying that the renewal of deposits received under HUDCO Public Deposit
Scheme are as per guidelines of HUDCO Public Deposit Scheme .i.e. the
renewal of deposit with retrospective effect is permitted provided fresh
application in prescribed form is submitted within a period of one month after
the date of maturity of the deposit.
Verify that application forms are duly stamped with respect to applications
being received directly or through broker.
Verify whether maturity interest/pre-mature interest on FDR/Loan against FDR
has been calculated correctly
Verify that the TDS has been deducted correctly as per the applicable sections
and rates under the IT Act,1961 and in case of non-deduction/deduction at
lower rates, supporting documents have been received.
Verifying that reminder letters intimating the details of maturity of the deposit
has been issued to all the depositors at least 14 days before the date of maturity
of deposit.
Verify that Tax deducted at source against interest on deposits and brokerage
paid is deposited with Income Tax department by 7th of succeeding month.
Verification of filing quarterly TDS Returns and uploading of the same with the
Tax Authorities for every quarter by 15th of the month succeeding the quarter
incorporating the details of total taxable interest viz details of Form 15-H /15-G
and exemption certificates submitted by the depositors.
Verify that the details of Assessment Year, Rate of TDS are correctly filled up
in challans deposited with I.T. department.
Verifying that the notices received from Income Tax Authorities are promptly
attended to.
Verification with respect to filing of correction statement/Rectification of TDS
Returns already filed, if required.
Verify that the PDS Deposit Holder Register is maintained as per the NHB
guidelines.
Verifying the PDS accounting heads such as interest on PDS, Interest Approved
but Not Due (IABN), brokerage payable/brokerage paid, unclaimed
PDS/unclaimed interest on PDS, TDS payable, PDS receipt control interest
under various schemes, LA PDS/interest on LA PDS/interest accrued on LA
PDS, prior period brokerage, prior period interest expenses, any other deferred
expenses, stale cheques, any other accounting head added to the PDS
accounting during the financial year.
Verifying bank reconciliation on monthly basis.
Verifying outstanding under the PDS with confirmation to opening
balances, deposits during the year, redemption made during the year and closing
balance outstanding Scheme-wise, Period-wise and Maturity-wise.
Verifying that complaints of depositors under HUDCO PDS are maintained in
the prescribed format and report sent to PDS dept. HO on Quarterly basis.
Verifying the Cash Flow Statement on quarterly basis.
Verifying the interest and brokerage provision at the end of every quarter.
Verification with respect to timely transfer of all the unclaimed deposits and
interest amount which are due for transfer to IEPF account in compliance of
section 125 of Companies Act 2013.
Verifying that HUDCO PDS Control accounts i.e. GL 322080 and GL 322081
are made NIL at the end of every quarter.
Assuring that all other NHB regulatory guidelines are being duly complied.
Income Tax Related
Verify deduction of tax at source from
1. Salary in reference to Savings & Investments, Income from House Properties submitted by
employees
2. Medical Bill payments to non-exempted hospitals
3. All other payments are in compliance with the provisions and under applicable sections
under Income Tax Act, 1961.
Verify timely deposit of TDS amount to the appropriate authorities.
Verification the correctness of the TDS returns before these are filed with the
appropriate authorities and timely filing of the above with Tax Authorities.
Verify from Income Tax site that the tax payment has been properly accounted
for with Income Tax Authorities and the proper credit for TDS on income is
available to HUDCO;
To verify the segregation of all the expenses heads in regard to deductibility /
non-deductibility of TDS.
Verification with respect to Filing of correction statement/Rectification of TDS
Returns already filed, if required
Verify that all the provisions of Income Tax Act,1961, amendments therein and
related circulars issued by Head Office from time to time are complied with.
Verification of Form 3CD as per the format of CBDT at the year-end along
with all the annexures required at the time of compilation of Tax Audit Report
at Head Office.
Goods & Service Tax (GST) Related
Verify the Statements / Ledgers in regard to GST paid by RO on input services,
GST collected on output services, GST payable under reverse charge,
adjustment of GST on input service as per eligibility and GST payable on
output services. Also verify its booking under appropriate GL A/c.
Verify that the invoices have been raised as per applicable provision within the
prescribed time under GST Act in respect of output services / services covered
under RCM and accounted for in Books of Accounts properly.
Verify that Regional Offices are making monthly payments of GST timely to
the appropriate authorities after taking input tax credit as per applicable
provision of GST Act/ Rules.
Verifying timely filing of monthly GST returns as applicable with the
concerned authorities and verification of reconciliation of GST return with the
financial data available in GSTN.
Verify that appropriate and timely action is taken by Regional office in case of
show-cause notice / order if any received from the service tax / GST authorities.
Verifying compliance of various notifications/circulars / instructions issued by
various authorities/ Head Office in regard to GST from time to time.
IND-AS Related
As of now, IND-AS is applicable on banking and financial institutions w.e.f.
01.04.2018, therefore, CA Firm is required to verify that all the provisions of
Indian Accounting Standards (IND-AS) applicable to HUDCO along with any
instruction issued by HO from time to time in this regard are timely complied
with.
KYC & PML Certification
Verification of compliance of KYC and PML guidelines issued by NHB and
HUDCO from time to time in respect of applications for Project Loans
including loans to Government Agencies received at RO, HUDCO Niwas, PDS
and furnishing the certificate as prescribed by Principal officer / ED (IA), on
monthly basis (as per IOM dated 30.01.2018 issued by IA-wing).
Incidental matters
Verify that the receipt of Utilization Certificates under CSR is being regularly
monitored by the RO.
Verify that all the mortgaged properties under Niwas, Project Loans and
Advances to staff have been registered under CERSAI and with appropriate
authority.
Preliminary Audit of accounts of the agency(s) before release of security/
initiating legal action shall be carried out. Compilation and forwarding of all
copies of documents relevant for pre-audit for final clearance by Internal Audit
Wing (Head Office).
Annexure II
Checklist with comments on observations and deviations, if any
Audit as per scope of work Auditor's
Comments
Observation/Deviat
ion with
justification
PROJECTS
1 Verify whether Loan application has been received in prescribed
format as per guidelines along with relevant documents and
documentation charges.
2 Whether the proposed scheme is eligible for HUDCO funding as
per HUDCO mandate.
3 Whether the agency is eligible to raise loan from HUDCO as per
its MoA/Constitution.
4 Verify whether the scheme is being processed within the
sanctioning powers of the Competent Authority.
5 Verify whether sanction of schemes has been accorded in line
with the financing pattern issued from time to time.
6 Verify whether the state and individual agency exposure is within
the limit prescribed by NHB and HUDCO.
7 Verify compliance with all the pre-disbursement sanction
conditions and required running conditions and monitoring the
achievement of required level of expenditure for second and
subsequent releases.
8 Verify receipt of all the charges as specified in the Loan
Agreement
9 Verify that loan releases to the borrowing agency Date of
release amount and rate of interest as per applicable Financing
Pattern
10 Verify that Loan Releases in Consortium funded project - date of
release, amount and Rate of interest as per terms of Common
Loan agreement (CLA)/Inter Credit Arrangement
(ICA)/consortium partners for verification of interest charged by
consortium partners/ Hudco guidelines.
11 Verify that the receipt/ recovery of application fee/ front-end-fee/
Research and Development (R&D) , as applicable in reference to
the loan agreement and financing pattern and checking of
accounting entries with respect to the relevant voucher passed
12 Verify the receipt of applicable GST on the receipts indicated at
(11) above.
13 Recovery of deferment charges and prepayment charges,
Commitment charges, conversion charges, as per
guidelines/norms, as and when applicable and applicable GST
thereon.
14 Repayments with respect to amount received, actual date of
receipt/credit of payments received from agency based on the
bank statement.
15 Verify the project property under project loan is registered with
appropriate authority.
16 Verify that valuation report of mortgaged property have been
obtained as and when required and in terms of guidelines from
empanelled valuers and duly accepted by competent authority.
17 Verify that project property mortgaged to HUDCO is insured as
per LMC/Guidelines.
18 Accounting of Corporate Debt restructuring and waiver
implemented during the year.
19 Accounting of Restructuring /Deferment/Re-schedulement and
waiver implemented during the year.
20 Implementation of the revised interest rate on account of revision
in financing pattern and automatic reset falling due on
completion of specified period as per financing pattern.
21 Recovery of charges/fees as per terms of CLA/ICA or any other
agreement in case of consortium funded projects and checking of
accounting entries.
22 To review the status of receipt of Balance Confirmation
certificates from the borrowing Agencies at the quarter end,
which are not in litigation and also review the reconciliations or
the reasons for the difference in the Balance Confirmation
certificates carried out by the Department.
23 To check the receipt of Utilization Certificates from Borrowing
Agencies in respect of Grant released by Hudco.
24 To check the calculation of interest & penal levies on sample
basis (specifying the scheme) covering each category and
regional office.
25 To check appropriations of payment received from agency on
sample basis (specifying the scheme) covering each category and
regional office.
26 To check implementation of deferment/amendment in the loan
card/ new loan card/ loan Ledger with respect to OTS/ DRP/
Decree of DRT,DRAT/
CDR/Restructuring/Deferment/reschedulement/Curtailment of
loan based on the amendment letter issued by the Regional
Office and its accounting entries.
27 To check loan recall notice implemented in the loan card based
on the loan recall notice issued by regional office during the
period and its accounting entries.
28 Verify the classification of assets/loan (Housing and Non
Housing) in respect of Project loans sanctioned during financial
year.
29 Monitor the timely receipt of Progress Reports, during the course
of project implementation and Completion certificate upon
project completion
30 Verify whether default cases are being reviewed and followed up
regularly.
31 Verify whether DMRC meetings are held regularly and minutes
are forwarded by RO to Hqrs. as per guidelines.
32 Preliminary Audit of accounts of the agency(s) before release of
security/ initiating legal action, shall be carried out. Compilation
and forwarding of all copies of documents relevant for pre-audit
for final clearance by Internal Audit Wing (Head Office).
FINANCE
1. Verification of salary vouchers with regard to appropriateness of
heads of accounts
2. Verify whether employees tax calculation has been done as per
applicable provisions of IT Act and all exemptions granted are
under relevant sections of IT Act backed with duly supported
relevant documents for claiming such exemptions
3. Verify that the present pay has been calculated correctly in
accordance with the 3rd pay revision order issued.
4. Verify that TA/DA is being granted as per HUDCO norms and
rules
5. Verification of staff loan advances and all other advances and
whether any advance is overdue and not settled within the
scheduled time
6. Verification that all income heads and expense heads have been
checked with regard to deductible/non-deductible TDS and
timely remittances and there are no arrears/late deposits reported.
7. Physical verification of assets with the books is reconciled at the
end of the financial year
ACCOUNTS
1. Verification of all bank and journal vouchers.
2. Verification of monthly trial balance accompanied by audit report
3. Verification of maintenance of bank book, journal books and
other subsidiary records
4. Verification of actual expenses Vs. budget allocation
5. Verification of opening and closure of bank accounts as per
approval of competent authority.
6. Verification of reconciliation of bank accounts with reference to
closing balance of bank accounts appearing in monthly trial
balance
7. Verification of head office control account with reference to
remittances received from HO and disbursement made at
Regional Office
8. Verification of closing balances as per ledger appearing in the
trial balance at the close of the financial year (opening balance +
cumulative of net of monthly balances)
9. Verify whether requirement of fund has been assessed before
requisitioning from the head office and minimum balances are
maintained as per the direction of the head office
ADMINISTRATION & REAL ESTATE
1 HUDCO's procurement guidelines are being complied for
procurement of items and services
2 All the purchases are made as per the delegation of power and
within specified budgetary limits
3 Award of Annual Maintenance Contracts and
empanelment/engagement of service providers and payments
therein are being regulated as per the HUDCO guidelines and
Purchase Manual and in compliance with the tender document.
The contractor for AMC has been selected in terms of the
eligibility criteria and financial bid embedded in the tender
document. The tender document has been conceived as per the
Government of India regulations, HUDCO guidelines and other
regulatory authorities.
4 All the break-up of payments has been made as per relevant head
in the contract document and verify with the supporting
documents that the contractor has made statutory payments like
PF, ESI etc. within schedule time to the respective authorities and
the net payment released to his staff is also be verified. Also,
other terms of contracts have been complied.
5 Flats have been allotted as per the eligibility and whether HRA
for all occupied flats is being recovered.
6 Maintenance and Insurance of all office assets. Proper
mechanism of insurance coverage of office asset is in place.
Insurance policies are renewed and taxes are paid timely.
7 Disposal of obsolete assets and weeding out of old records as per
the guidelines issued from time to time. There is a system to
identify unused/damaged assets with proper approval and
weeding out of old records as per guidelines.
8 Digitization of records and backup of data to be maintained as
per guidelines.
HUMAN RESOURCE
1. Verify that the loan advances granted to the employees are as per
eligibility and secured by mortgage of property/hypothecation of
vehicles and also the same has valid insurance.
2. Whether original documents are kept in safe custody.
3. Proper record of credit/debit of leaves in line with leave rules and
proper updated maintenance of service book.
HUDCO NIWAS
1. Verification of duly filled in loan application and acceptance is in
prescribed format and documents submitted are as per guidelines
2. Verification of appraisal to be done to check credit worthiness
including CIBIL, repaying capacity (individual and rental
income), credit appraisal ratios and fixing of repayment period
3. Verification of title documents and creation & registration of
security as per guidelines.
4. Verification of release of loan after compliance of sanction
conditions, site inspection, individual contribution and requisite
financial and physical progress.
5. Verification that requisite number of post-dated cheques have
been received as per guideline and verification of conversion of
PDCs with NACH
6. Verification that default cases are being reviewed and Default
recovery minutes are sent to HO from time to time. Whether
action under 138 of Negotiable Instrument Act, filing of civil and
criminal cases including Sarfaesi Act is being taken.
7. Verification that penal interest, compound interest calculated as
per practice/procedure/norm and NPA provisioning is being
made as per prudential norms
8. Verification that all insurances have been taken as per guidelines
9. Verification of books of accounts and vouchers in regard to
appropriateness and correctness of heads of accounts
10. Verification of bank reconciliation and monthly cumulative
report for quarterly, half-yearly, nine-monthly and annual
statement generated through Software package
11. Verify whether necessary provisions in HUDCO Niwas loan has
been made as per NHB norms
12. Verify whether correct entries have been passed for interest due
and interest de-recognition.
13. Verifying Compliance of requirements as per GST Act / Income
Tax Act.
14. Verification that eligible CLSS subsidy claims/releases to banks
by HUDCO (as CAN) and CLSS subsidy received from NHB by
HUDCO (as PLI) is as per guidelines
15. Verify the Rectification JV/Differential Entry passed by the RO
in the Hudco Niwas Accounting System (Software package), if
any
PUBLIC DEPOSIT SCHEME
1. Verification that application forms for deposits and its acceptance
are in prescribed format and documents submitted are as per
guidelines.
2. Verifying that the renewal of deposits received under Hudco
Public Deposit Scheme are as per guidelines of HUDCO Public
Deposit Scheme .i.e. the renewal of deposit with retrospective
effect is permitted provided fresh application in prescribed form
is submitted within a period of one month after the date of
maturity of the deposit.
3. Application form are duly stamped with respect to application
being received direct or through broker
4. Verify whether maturity interest/pre-mature interest on
FDR/Loan against FDR has been calculated correctly.
5. Verify that the TDS has been deducted correctly as per the
applicable sections and rates under the IT Act,1961 and in case
of non-deduction/deduction at lower rates, supporting documents
have been submitted.
6. Verifying that reminder letters intimating the details of maturity
of the deposit has been issued to all the depositors at least 14
days before the date of maturity of deposit.
7. Tax deducted at source against interest on deposits and brokerage
paid is deposited with Income Tax department by 7th of
succeeding month.
8. Verification of filing quarterly TDS Returns and uploading of the
same with the Tax Authorities for every quarter by 15th of the
month succeeding the quarter incorporating the details of total
taxable interest viz details of Form 15-H /15-G and exemption
certificates submitted by the depositors.
9. The details of Assessment Yea, rate of TDS are correctly filled
up in challans deposited with I.T. department.
10. Verifying that notices received from Income Tax Authorities are
attended to promptly.
11. Verification with respect to filing of correction
statement/Rectification of TDS Returns already filed, if required.
12. Verify that the PDS Deposit Holder Register is maintained as per
the NHB guidelines
13. Verifying the PDS accounting heads such as interest on PDS,
Interest Accrued but Not Due (IABN), brokerage
payable/brokerage paid, unclaimed PDS/unclaimed interest on
PDS, TDS payable, PDS receipt control interest under various
schemes, LA PDS/interest on LA PDS/interest accrued on LA
PDS, prior period brokerage, prior period interest expenses, any
other deferred expenses, stale cheques, any other accounting head
added to the PDS accounting during the financial year.
14. Verifying bank reconciliation on monthly basis.
15. Verifying outstanding under the PDS with confirmation to
opening balances, deposits during the year, redemption made
during the year and closing balance outstanding Scheme-wise,
Period-wise and Maturity-wise.
16. Verifying that complaints of depositors under HUDCO PDS are
maintained in the prescribed format and report sent to PDS dept
HO on Quarterly basis.
17. Verifying the Cash Flow Statement on quarterly basis.
18. Verifying the interest and brokerage provision at the end of every
quarter.
19. Verification with respect to timely transfer of all the unclaimed
deposits and interest amount which are due for transfer to IEPF
account in compliance of section 125 of Companies Act 2013.
20. Verifying that HUDCO PDS Control accounts i.e. GL 322080
and GL 322081 are made NIL at the end of every quarter.
21. All the other NHB regulatory guidelines have been duly
complied.
INCOME TAX
1. Verify deduction of tax at source from salary in reference to
Savings & Investments, Income from House Properties submitted
by employees, Medical Bill payments and all other payments in
compliance of the provisions of the Income Tax Act. Verify
timely payment of TDS amount to appropriate authorities.
Verification the correctness of the TDS returns before these are
filed with the appropriate authorities and timely filing of the
same. Verify from Income Tax site that the tax payment has been
properly accounted for with Income Tax authorities and the
proper credit for TDS on income is available to HUDCO
2. To verify the segregation of all the expenses heads in regard to
deductibility / non-deductibility of TDS.
3. Verification with respect to Filing of correction statement/
Rectification of TDS Returns already filed, if required
4. Verification that all the provisions of Income Tax Act,
amendments therein and related circulars issued by Head Office
are complied with.
5. Verification of Form 3CD as per format of CBDT at the year-end
along with all the annexure required at the time of compilation of
Tax Audit Report at Head Office.
GOODS & SERVICE TAX (GST)
1. Verify the Statement / Ledgers in regard to GST paid by RO on
input services and goods, GST collected on output services, GST
payable under reverse charge, adjustment of GST on input
service as per eligibility and GST payable on output services.
Also Verify its booking under appropriate GL A/c.
2. Verify that the invoices have been raised as per applicable
provision under GST in respect of output services / services
covered under RCM and accounted for in books of Accounts
properly.
3. Verify that Regional Offices are making monthly payments of
GST timely to appropriate authorities after taking input tax credit
as per applicable provision of GST Act/Rules.
4. Verifying timely filing of monthly GST returns as applicable
with the concerned authorities and verification of reconciliation
of GST return with the financial data available in GSTN.
5. Verify that appropriate and timely action is taken by Regional
office in case of show-cause notice / order if any received from
the service tax / GST authorities.
6. Verifying compliance of various notifications/circulars /
instructions issued by various authorities/ Head Office in regard
to GST from time to time.
IND-AS RELATED
1. As IND-AS is applicable on banking and financial institutions
w.e.f. 01.04.2018, therefore, CA Firm to Verify that all the
applicable provisions of Indian Accounting Standards (IND-AS)
applicable to HUDCO as per instructions issued by Head Office
from time to time are complied with.
KYC & PML Certification in respect of Project Loans
1 Verification of compliance of KYC and PML guidelines issued
by NHB and HUDCO from time to time in respect of
applications for Project Loans including loans to Government
Agencies, PDS and HUDCO Niwas and furnishing the certificate
as prescribed by Principal officer/ ED (IA), on monthly basis (as
per IOM dated 30.01.2018 issued by IA-wing).
Incidental Matters
1 Verify that the receipt of Utilization Certificate under CSR is
being regularly monitored by RO.
2 Verify that all mortgaged properties under Niwas, Project loans
and advances to staff have been registered under CERSAI
3 Verify that all activities relating to sanctioning of projects,
administration, HR etc. carried out in line with Delegation of
Powers.
Annexure III
Specimen format of the report to be followed
The Internal Auditor's report should contain a clear written expression of significant
observations, suggestions/ recommendation based on the policies, process, controls and
transaction policies taken as a whole.
The internal audit is to be conducted in line with the standards and guidance notes on
internal audit issued by the Institute of Chartered Accountants of India, HUDCOs'
guidelines, prudential norms issued from time to time besides applicable guidelines
issued by various authorities and provisions of the applicable Acts. However,
Chartered Accountants Firm may suggest any more checks, as may be required.
The Auditor's report should contain the following elements ordinarily within the
following layout:
Part-I
a) Title;
b) Addressee
c) Firm registration number alongwith supporting documents
d) Coverage (Period)*
e) Duration of audit
f) Composition of Audit Team**
g) Opening or introductory paragraph (including the work handle by the auditee unit)
h) Organizational structure of Auditee unit
i) Scope of audit
j) Checklist given in Annexure III to be mandatory filled-up
k) Records reviewed and sample size in case of test check (100% verification in case
the number of vouchers in each category(as given in the description of work in the
eligibility criteria), is less than 100 in a month and sample size of 50% in case the
number is more than 200/250 per month).
l) Non production of records, if any
m) Executive Summary of the audit observations
* The coverage period shall include the coverage of balance period of the previous
financial year (2017-18) not covered by Internal Audit and payment shall be paid on
proportionate basis and the Report shall be submitted alongwith the first quarter
Audit Report.
** The Audit team will consist minimum of one Chartered Accountant and one paid
assistant {qualified (CA/CMA)/semi qualified(CA/CMA- inter)}.
Part-II
a) Performance review of area(s)/business of the Auditee unit
b) Significant audit observation requires immediate action/attention
c) Audit observations (Audit Paras)
d) Recommendations
e) Annexure/exhibits to the Report
Part-III
a) Review of outstanding paras from earlier reports and its compliance status as on
date
b) Concluding paragraph
Part-IV
a) The Audit report shall be submitted latest by 7th of the ensuing month of the
completed quarter and the scanned copy of the report shall be submitted to the
Internal Audit Wing. The hard copy alongwith relevant annexures shall be
submitted thereafter.
b) The audit report will be submitted after discussion of the all the audit observations
with the respective Regional Chief and a certificate to this effect is to be enclosed.
c) The internal audit is to be conducted with the highest standard of professional
ethical competence and integrity.
d) CA firm shall not disclose to any person the confidential information relating to the
assignment or HUDCO's business or operations without prior permission of
ED(IA), Internal Audit Department , Head Office, New Delhi.
e) The pre-audit cases pertaining to private sector/consortium and one time agency
will be sent to Internal Audit Head Office, for further due diligence.
f) In case of any dispute between HUDCO and the CA Firm regarding Internal Audit
assignment given to the CA Firm at Regional Office, the decision of the CMD,
HUDCO shall be final and binding on all the parties.
*****
Annexure IV
Estimated Fee Details
Description of the work Amount (Rs.)
For audit and verification of imprest and project 10000/- per month
loan
For audit and verification of HUDCO Niwas
vouchers
1. Less than 100 vouchers 5000/- per quarter
2. 100 300 vouchers 7000/- per quarter
3. 300 500 vouchers 8000/- per quarter
4. 500 1000 vouchers 11000/- per quarter
5. More than 1000 vouchers 13000/- per quarter
For audit and verification of PDS vouchers
1. Less than 500 vouchers 3500/- per quarter
2. 500 1000 vouchers 6500/- per quarter
3. 1000 2000 vouchers 13000/- per quarter
4. More than 2000 vouchers 17000/- per quarter
KYC and PML verification as per KYC and 300/- per month
PML guidelines, pertaining to Projects, PDS
and HUDCO Niwas
For audit and verification of sanction of project 100/- per case with a
loans ceiling of 10000/- per
annum
For audit and verification of releases of project 100/- per case with a
loans ceiling of 10000/- per
annum
For audit and verification of HUDCO Niwas 75/- per case with a
sanction and release ceiling of 10000/- per
annum
For audit and verification of PDS cases 50/- per case with a
ceiling of 10000/- per
annum
Incidental Matters and other Miscellaneous Rs.300/- per month
work
GST charges will be additional
100% verification in case the number of vouchers in each category(as given in
the description of work in the eligibility criteria), is less than 100 in a month and
sample size of 50% in case the number is more than 200/250 per month.
Annexure V
TECHNICAL BID
1 Name of the Firm
2 Status/Constitution of the Firm
3 Date of Establishment of the
Firm
4 Address of the Firm
5 Telephone Numbers / Fax
Numbers / E-Mail
6 No. of Partners (CAs)
Name and Membership Nos.
7 Number of Paid Assistants
{qualified (CA/CMA)/semi
qualified (CA/CMA- inter)}.
8 Address of the Local Office
9 Telephone Numbers / Fax
Numbers / E-Mail of the Local
Office
10 No. of Partner(s) and Working Partner:
Staff at Local Office Working Staff:
11 PAN No, *
12 GST No. *
13 TAN No. *
14 Experience (in years) in
undertaking Internal Audit
works of Public Sector
undertakings
15 Experience (in years) in
handling Tax related matters
including filing of TDS in
respect of Public Sector
Undertakings
16 Undertakings as specified at
point no. 6. i. (a) and (b) of NIT
*Please enclose supporting documents.
Date:
Place: (Signature of the Authorized
Signatory with Seal)
Technical bid continues...
BANK DETAILS
The details of Bank A/c in which payment is to be transferred and other details are as
follows:
1 Name of the Firm
2 Bank Name
3 Bank A/c Number
4 Branch Name
5 Branch Address
6 Branch Telephone No.
7 A/c Type
(SB A/c / CA/ Cash Credit)
8 IFSC Code of the Bank
9 MICR Code of the Bank (9
digit code number of Bank
and Branch)
Date:
Place: (Signature of the Authorized
Signatory with Seal)
Annexure VI
FINANCIAL BID
Sl. Description of Works Fee excluding GST
No.
1 For audit and verification of imprest and project
loan Rs.__________/- per month
2 For audit and verification of HUDCO Niwas
vouchers
i. Less than 100 vouchers Rs.__________/- per quarter
ii. 100 300 vouchers Rs.__________/- per quarter
iii. 300 500 vouchers Rs.__________/- per quarter
iv. 500 1000 vouchers Rs.__________/- per quarter
v. More than 1000 vouchers Rs.__________/- per quarter
3 For audit and verification of PDS vouchers
i. Less than 500 vouchers Rs.__________/- per quarter
ii. 500 1000 vouchers Rs.__________/- per quarter
iii. 1000 2000 vouchers Rs.__________/- per quarter
iv. More than 2000 vouchers Rs.__________/- per quarter
4 KYC and PML verification as per KYC and
PML guidelines, pertaining to Projects, PDS and Rs.__________/- per month
HUDCO Niwas
5 For audit and verification of sanction of project
loans Rs.__________/- per case
6 For audit and verification of releases of project
loans Rs.__________/- per case
7 For audit and verification of HUDCO Niwas
sanction and release Rs.__________/- per case
8 For audit and verification of PDS cases
Rs.__________/- per case
9 Incidental Matters and other Miscellaneous work
Rs.__________/- per month
Date:
Place: (Signature of the Authorized
Signatory with Seal)
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