The Automotive Industry Development Centre has obtained a Clean Audit which is an Unqualified Report with no material findings for the for the 2020/2021 Financial Year. A clean audit relates to three aspects; the financial statements are free from material misstatements, there are no material findings on the annual performance report and lastly, there are no material findings on non-compliance with key legislation
Misstatements are incorrect or omitted information in the financial statements. These include the incorrect or incomplete classification of transactions, or incorrect values placed on assets, liabilities or financial obligations and commitments.
According to the Auditor General (AG) the objective of an audit of financial statements is to express an audit opinion on whether the financial statements fairly present the financial position of auditees at financial year-end and the results of their operations for that financial year. The AG can express one of the following audit opinions:
CLEAN AUDIT OUTCOME:
The financial statements are free from material misstatements (in other words, a financially unqualified audit opinion) and there are no material findings on reporting on performance objectives or non-compliance with legislation.
FINANCIALLY UNQUALIFIED AUDIT OPINION:
The financial statements contain no material misstatements. Unless we express a clean audit outcome, findings have been raised on either reporting on predetermined objectives or non-compliance with legislation, or both these aspects.
QUALIFIED AUDIT OPINION:
The financial statements contain material misstatements in specific amounts, or there is insufficient evidence for us to conclude that specific amounts included in the financial statements are not materially misstated.
ADVERSE AUDIT OPINION:
The financial statements contain material misstatements that are not confined to specific amounts, or the misstatements represent a substantial portion of the financial statements.
DISCLAIMER OF AUDIT OPINION:
The auditee provided insufficient evidence in the form of documentation on which to base an audit opinion. The lack of sufficient evidence is not confined to specific amounts or represents a substantial portion of the information contained in the financial statements.
The Acting Chief Financial Officer the AIDC Mr Jameel Chand says “This is a great improvement from the previous year where we had an Unqualified Audit Report with some material findings. The attainment of a Clean Audit is in line with our commitment to good governance through financial compliance and internal controls. Chand expressed gratitude to AIDC staff saying “I would like to thank each one of you for your contribution to this achievement. Let us continue to work diligently to ensure that we maintain this standard”