BAKER TILLY LIBERIA - World Bankdocuments.worldbank.org/curated/en/... · 3.1 Audit Objectives The aim of the audit is to certify and express an opinion on the follow ng: i. the project

BAKER TILLYLIBERIA

LIBERIA WILL RISE AGAIN D ASPORA ENGAGEMENT PROGRAM

World Bank Funded Project: Gra t No. TF 12105

Independent Auditor's Report and Fi ancial StatementsFor the Fiscal Year ended Jun 30,2015

an independent member of

BAKER TILLY Assurance | Tax | AdvisoryINTERNATIONAL

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BAKER TILLYLIBERIA

TABLE OF CONTENTS

CONTENTS PAGE

GENERAL INFORMATION 1

AUDITOR'S REPORT 2

STATEMENT OF RECEIPTS & PAYMENT 4

STATEMENT OF FUND BALANCE & CASH STATUS 5

STATEMENT OF FINANCIAL POSITION 6

NOTES TO THE FINANCIAL STATEMENTS 7

AUDITOR'S REPORT ON STATEMENTS OF EXPENDITU E 12

SUMMARY OF STATEMENTS OF EXPENDITURE 14

AUDITOR'S REPORT ON DESIGNATED ACCOUNT 15

PROJECT DESINATED ACCOUNTS RECONCILIATION 16

MANAGEMENT LETTER 17

AKER TILLYLIBIRIA

GENERAL INFORMATION

PROJECT MANAGEMENT TEAM

Project Financial Management Unit: Christopher Sokpor,Unit ManagerProject Financial Management Unit (PFMU)

Mohammed KoreSenior Project Accountant

Subozu KollieSenior Assistant P oject Internal Auditor

Registered Office: Project Financial Management Unit (PFMU)Ministry of Financ and Development PlanningBroad and Mechli StreetsMonrovia, Liberia

Project Implementation Unit: Loylld ScottProject CoordinatorLiberia Will Rise AgainC/O Ministry of I oreign Affairs

Client Address: C/O Ministry of oreign AffairsCapitol Hill, Liber a

Bankers: Liberian Bank for Development & Investment9,1 Street SinkorMonrovia, Liberia

Auditors: Baker Tilly Liberia Limited(Member of Baker Tilly International)Certified Public Acco antaftsKings Plaza2nd-4h FloorsBroad StreetMonrovia

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BAKER TILLYLIBERIA

King Plaza2n - 4 tn FloorsBroad StreetP. O. Box 10-00111000 Monrovia 10Liberia

T: +231 (0) 886 514 965F: +1 905 469 0986

AUDITOR'S [email protected]

To: Mr. Loylld Scott www.bakertillyliberia.comProject CoordinatorLiberia Will Rise Again Diaspora Engagement ProjectC/O Ministry of Foreign AffairsCapitol HillMonrovia-Liberia

We have audited the financial statements of Liberia Will Rise Again Diaspora Engagement project funded byWorld Bank's GRANT No. TF 12105 and implemented by Miristry of States without Portfolio. Thesefinancial statements comprise the project statement of financial p sition as at June 30, 2015 and the relatedstatements of receipts and payment and statement of changes in fnd balance & cash status for the FiscalYear then ended. These financial statements are prepared in acccrdance with the accounting policies andother explanatory notes as set out on pages 6 to 9.

Management's Responsibility

The Project's management is responsible for the preparation d fair presentation of these FinancialStatements in accordance with Cash Basis International Public Sec or Accounting Standards (IPSAS) and inthe manner required by the Project Grant Agreement. This respon ibility includes: designing, implementing,and maintaining internal control relevant to the preparation and fai, presentation of the Financial Statementsthat are free from material misstatement, whether due to fraud or er or

Auditor's Responsibility

Our responsibility is to express an opinion on these financial state nents based on our audit. We conductedour audit in accordance with International Standards on Auditing. Those standards require that we comply

with ethical requirements and plan and perform the audit to obtain ieasonable assurance whether the financialstatements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence ibout the amounts and disclosures in thefinancial statements. The procedures selected depend on our ju nt, including the assessment of the risksof material misstatement of the financial statements, whether due to fraud or error. In making those riskassessments, the auditor considers internal control relevant to the e tity's preparation and fair presentation ofthe financial statements in order to design audit procedures that are appropriate in the circumstances, but notfor the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit alsoincludes evaluating the appropriateness of accounting policies us d and the reasonableness of accountingestimates (if any) made by management as well as evaluating t ie overall presentation of the financialstatements.

We believe that the audit evidence we have obtained is sufficient aid appropriate to provide a basis for ouraudit opinion.

Partners: G. Fonderson (Executive Chairman), T. Joseph (Managing Partner), A. Fumbah

An independent member of Baker lilly International

BAKER TILLYLIBERIA

Opinion

In our opinion, the financial statements give a true and fair view of orld Bank Grant No. TF 12105 as atJune 30, 2015 in accordance with International Public Sector Accoun g Standards (IPSAS).

(Certfied PubHi Accountants)December 23, 2015Monrovia

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iAKER TILLYIndcciiIctt Aidior' Reort indFinliwal tatnlets,LIBERIA

STATEMENT OF RECEIPTS AND PAYMENTSDURING THE FISCAL YEAR (NOVEMBER 1 2014 TO JUNI 30,2015)

In United States Dollars Notes

Openning Funds Balance 88,389Receipts for the Period (Grant No:TF12105) 1018J_

Total Funds Available for Current Year i.u12

Payments

Development Networking/Coordintion Capacityof the Diaspora 5 0

Designing Diaspora Engagement Interventions 6 0Project Management 7 (1802)

Total Payments (1802)

Excess of Receipts Over Payments 100,371

Fund Balance As At July 1, 2014

Cumulative fund balance

The notes on pages 7 to 10 are integral part of these prP ctfinan6ial reports.

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BAKER TILLYI)VI(I(), (ldior' "Id Fi'llcia Staeme ts[IBERIA

STATEMENT OF FUND BALANCE AND CASH STATUS

FOR THE FISCAL YEAR ENDED JUNE 30, 2015

Notes 2015In United Slates Dollars

A Fund Balance

Balance of Project Fund 88,389

Add: Total Receipts during the period 11,82

Total fund available for operations 100,371

Less: Total payments during the period 0

Balance of project funds at the end of the year 100,71

B. CASH STATUS:

Cash on hand 0

Cash at bank

Total cash on hand and in bank

Difference between A and B

The notes on pages 7 to 10 are integral part of these prj vtfinanial reports.

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BAKER TILLYLIBERIA

STATEMENT OF FINANCIAL POSITION AS AT JUNE 30.2 15

In United States Dollars 2015

Assets

Cash and cash equivalent 100,371

Total Assets 100.37

Fund BalanceGrant No: TF 12105 100,371

Accumulated Fund Balance

The financial statements on pages 4 to 6 were approved by the Proje t Management Team on2015 and were signed on their behalf by:

Christopher Sokpor Loylld SttPFMU Manager Project Coordinator-LWRAP

The notes on pages 7 to 10 are integral part of these po ctfinanial report

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BAKER TILLYIII(CI)Ildnt AK110l" ltl)or an Fiancal SatelieitsLIBERIA

NOTES TO FINANCIAL STATEMENTS1. Background and Information of the Project

The objective of this IDF operation is to strengthen the capacity oF the Government of Liberia's (GOL)Diaspora Affairs Unit (in the Office of the Minister of State Without Portfolio) to design and implement the

country Diaspora Engagement Program.

2. Use of Grant Proceeds

The table below sets out the categories of items to be financed out of e grant proceeds, the allocation of the

amounts of the grant to each category and the percentage of expen Ltures for items to be financed in each

category:

Arnount ofGrant Allocated % of

Expressed n expenditure toUS$ be financed

Category

Goods 17, 00 100

Consultants Services 331,800 100

Training 93-600 100

Total 443.000

All categories of expenditure shown in these financial statements re fully financed by the World Bankthrough the International Trust Fund (ITF)

3. THE AUDIT

We have been engaged by the Ministry of Finance and Development F lanning, Project Financial Management

Unit to audit the financial statements of World Bank Grant No. TFOl105, prepared by the PFMU under the

Ministry of Finance and Development Planning in accordance with he terms of reference annexed to our

- contract.

3.1 Audit Objectives

The aim of the audit is to certify and express an opinion on the follow ng:

i. the project financial statements and related notes to these financi l statements.

ii. the statements of expenditure (SOE) - for the Fiscal Year ended 30 June 2015; andiii. the Statement of Designated Account as at 30 June 2015.

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BAKER TILLYLIBERIA

3,2 Audit Scope

The scope of this audit covered the expenditure stated in the State nts of Expenditure of the Project for

the Fiscal Year ended 30 June 2015. This includes payments from fu ds transferred by World Bank for the

project and direct payments processed by the World Bank at the reque t of the PFMU.

3.3 Audit Process and Methodology

We assessed the risks of material errors or misstatements in the e enditure stated in the SOE, whether

caused by error or fraud. Where necessary we designed and perfo d further audit procedures to address

risks identified. This work involved an assessment of the risks that:

i. the SOE is not reliable i.e. that it does not present, in all aterial respects, the actual expenditure

incurred for the Project in conformity with applicable contrac al conditions;

ii. the Project funds provided by the World Bank have not in all material respects, been used in

conformity with applicable contractual conditions;

iii. fraud and irregularities can occur or have occurred which ave an impact on Project expenditure

and which are not detected and corrected in a timely manner; nd

iv. the relevant Contractual Conditions of the Project are not omplied with

4. Significant Accounting Policies

Basis of accounting

The financial statement have been prepared in accordance with the ash Basis International Public Sector

Accounting Standards (IPSAS) and in the manner required by the P oject Grant Agreement as required by

the World Bank's Operating Policies and Procedures and PFMU' Financial Management manual. This

implies that all expenditures are expensed whether they are reven e or capital in nature and income is

recognized when funds are received from the World Bank.

Reporting currency

Financial reports have been presented in United States Dollars. Trans ctions denominated in other currencies

are translated into United States Dollars and recorded at the rate of exchange ruling at the date of

transactions. Balances denominated in other currencies are translated to United States Dollars at the rate of

exchange prevailing on the reporting date.

Goods and works

Goods and works (fixed assets) are expensed on acquisition, but a comprehensive fixed assets register is

maintained to account for and monitor those assets.

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BAKER TILLYLIBERIA

Grant

Grant from World Bank is held in a deferred income account when eceived and are only recognized in the

Project's income statement when utilized.

NOTES TO FINANCIAL STATEMENT (continued)

In United States Dollars

4. Grant Receipt

30 JuneIn United States Dollars 2015

LWRA/MOF/001 88,389LWRA/MOF/002 10,180

Development Networking/Coordintion Capacityof the DiasporaDevelopment Networking/Coordintion Capacityof the Diaspora 0

Total Development Networking/Coordintion5 Capacity of the Diaspora 0

Designing Diaspora Engagement Interventions

Designing Diaspora Engagement Interventions 0

Total Designing Diaspora Engagement6 Interventions 0

Project ManagementProject Management (1,802)

7 Project Management (1,802)8

BAKER TILLYLIBERIA

NOTES TO FINANCIAL STATEMENT (continued)


8 Cash and Cash EquivalentsCash on hand 0

Cash at bank 9,76

Total Cash and Cash Equivalent

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BAKER TILLYLIBERIA

King Plaza2 - 4th FloorsBroad StreetP.O. Box 10-00111000 Monrovia 10Liberia

T: +231 (0) 886 514 965F: +1 905 469 0986

[email protected]'S REPORT ON STATEMENTS OF EXPENDIT RE www.bakertillyliberia.com

To: Mr. Loylld ScottProject CoordinatorLiberia Will Rise Again Diaspora Engagement ProjectC/O Ministry of Foreign AffairsCapitol HillMonrovia-Liberia

We have audited the Statements of Expenditure (SOE) of Liberi Will Rise Again Diaspora Engagement

project funded by World Bank's GRANT No. TF 12105 and im)lemented by Ministry of States without

Portfolio for the Fiscal Year ended 30 June 2015 submitted to the World Bank to request for fund and in

support of application for reimbursement of expenditure in accorda ice with the Grant Agreement dated June

29, 2012 as set out on pages 12 to 13.

Management's Responsibility

The Units management is responsible for the preparation and the fait presentation of these Statements ofExpenditure in accordance with Cash Basis International Public Sector Accounting Standards (IPSAS) and inthe manner required by the Project Grant Agreement. This respon ibility includes: designing, implementing,and maintaining internal control relevant to the preparation and fai presentation of the Financial Statementsthat are free from material misstatement, whether due to fraud or er or.

Auditor's Responsibility

Our responsibility is to express an opinion on these Statements 3f Expenditure based on our audit. Weconducted our audit in accordance with International Standards ot Auditing. Those standards require thatwe comply with ethical requirements and plan and perform the aud t to obtain reasonable assurance whetherthe financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence bout the amounts and disclosures in thefinancial statements. The procedures selected depend on our jud nt, including the assessment of the risksof material misstatement of the financial statements, whether due to fraud or error. In making those riskassessments, the auditor considers internal control relevant to the er tity's preparation and fair presentation ofthe financial statements in order to design audit procedures that are appropriate in the circumstances, but notfor the purpose of expressing an opinion on the effectiveness of th entity's internal control. An audit alsoincludes evaluating the appropriateness of accounting policies used and the reasonableness of accountingestimates (if any) made by management as well as evaluating ne overall presentation of the financialstatements.


An independent member of Baker Tilly International

BA9KER TILLYn (Ie Ic iide i Atclitr'sRejort nd inacialStaenlntsLIBERIA

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for ouraudit opinion.

Opinion

In our opinion, the Statements of Expenditure, along with the suppo g summary sheets and informationsubmitted are reliable and in respect of withdrawals for the purpose <f the program in accordance with theprovisions of World Bank Grant No. TFl2105.

(Certified Public Accountants)December 23, 2015Monrovia

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BAKER TILLYInclpenentAudtor' ReortandFinacia SttemntsLIBERIA

SUMMARY OF STATEMENT OF EXPENDITURE


SUMMARY OF STATEMENT OF EXPENDITUREIn United States Dollars

a. WITHDRAWAL APPLICATION 1 30-Jun-15Borrower reference: WRA/MOF/003

Opening Balance at February 1, 2014

IDF 1 88,389

Second statement of expenditure 1

Prior year withdrawal applications

Represented in cash balance at July 31, 2014 88,389

Summary Statement of expenditure


Category Description

1 Consultants Services

2 Project management

b. WITHDRAWAL APPLICATION 2 August 14, 2014.Borrower reference: WRA/MOF/003

Unspent balance at October 1, 2014 88,389

IDF 2

Second statement of expenditure 1 -

Prior year withdrawal applications _

Represented in cash balance at December 31, 2014 88,389





2 Project management

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BAKER TILLY

d. WITHDRAWAL APPLICATION 2 June 30, 2015.Borrower reference: WRA/MCF/003

Unspent balance at April 1, 2015 88,389

IDF 2 10,180

Second statement of expenditure 1 1,802

Represented in cash balance at June 30, 2015 100,371





2 Project management (1,802)

(1,802)




Second statement of expenditure 4 (1,802)

Total expenses repoted in the income statement (Refund) (1,802)

Statement of expenditure (LWIA/MOF/003) 0

Designated Account (iLQ2)

Represent total expenditure reported in Statement

of Receipts and Payments ( J

Comment

We have reconciled the statements of expenditure for the eight mont -s 1November 2014 to 30 June 2015and observed that refund of (US$1,802) relate to expenditure incurrec from balance on Designated Account

for the eight months ended 30 June 2015. We observed that the diference between Designated Account

balance and US$1,802 equals US$ 100,341 which represents the closin cash balance of Designated Account

as of 30 June 2015.

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BAKER TILLYLIBERIAKing Plaza2nd -t FloorsBroad StreetP.0. Box 10-00111000 Monrovia 10Liberia

T: +231 (0) 886 514 965F: +1 905 469 0986

[email protected]

AUDITORS' REPORT ON STATEMENT OF DESIGNATED ACCOUNT

To: Mr. Loylld ScottProject CoordinatorLiberia Will Rise Again Diaspora Engagement ProjectC/O Ministry of Foreign AffairsCapitol HillMonrovia-Liberia

We have audited the Designated Account Statement (nited States Dollar Account No.

001USD21320509413) of World Bank Trust Fund Grant No. T F012105 titled "Liberia Will Rise Again

established under the Diaspora Engagement Program" dated Janu ry 1, 2015 for the Fiscal Year ended 30

June 2015.

The Designated Account Statement preparation and fair present tion is the responsibility of the ProjectManagement Team. This responsibility includes: designing, implementing, and maintaining internal controlrelevant to the fair presentation of the Special Account Statement that is free from all material misstatement,whether due to fraud or error, selecting and applying appropriate ac:ounting policies, and making accountingestimates (if any) that are reasonable in the circumstances. Our resFonsibility is to express an opinion on thefinancial statements based on our audit.

We conducted our audit in accordance with International Stand rds on Auditing (ISA) insofar as thesestandards can be applied in the specific context of a contractual cmmpliance audit Those standards require

that we plan and perform the audit to obtain reasonable assurance about whether the designated account is

free of material misstatement. An audit includes examining on a test basis, evidence supporting the amounts

and disclosures in the designated account statements. An audit also includes assessing the accounting

principles used and significant estimates made by management, as well as evaluating the overall presentation

of the Statement.

The accompanying designated account statement was prepared on tie basis of cash deposits and withdrawals

for the purpose of complying with the Grant Agreement.

We believe our audit provides a reasonable basis for our opinion.



BAKER TILLY

Emi LIBERIA

Opinion:

In out opinion, the receipts have been properly accounted for and wit drawals were made for the purpose ofthe project in accordance with the provisions of the International Ban] for Reconstruction and DevelopmentIDF Grant No. TF 012105.

(Cerified Puble Accountants)December 23, 2015Monrovia

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BAKER TILLYLIBERIA

PROJECT DESIGNATED ACCOUNT STATEMENT

Account Number: 001USD21320509413

Account Type: Current Account

Depository Banc Liberia Bank For Developme and Investment

Address: 9th Street, SinkorMonrovia, Liberia

- Related Grant Agreement: World Bank (IDF)Grant No. F 12105

Currency: United States Dollar

In United

States Dollars

Total IDF grant received 98,569

Total grant income reported 98,569Amount spent 1,802

Balance as at 30 June 2015

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BAKER TILLYLIBERIAKing Plaza2nd - 41 FloorsBroad StreetP. O. Box 10-00111000 Monrovia 10Liberia

T: +231 (0) 886 514 965F: +1 905 469 0986

[email protected]

MANAGEMENT LETT R

To: Mr. Loylld ScottProject CoordinatorLiberia Will Rise Again Diaspora Engagement ProjectC/O Ministry of Foreign AffairsCapitol Hill

Monrovia-Liberia

Dear Sir:

During the course of our audit of the Financial Statements of the World Bank funded - Liberia Will RiseAgain Diaspora Engagement Program (LWRAP) Project for the Fi cal Year ended June 30, 2015, there wasno matter that came to our attention which we considered significan to be brought to your attention.

Finally, we would like to express our thanks to all members of the roject's staff who assisted us in carryingout our work.

Yours faithfully,

For: BAKER TILLY LIBERIA LIMITED(Certified Public Accountants)

Theo. Dekonty Joseph CPA, CFE

MANAGING PARTNERDecember 23, 2015



Documents

BAKER TILLY LIBERIA - World Bankdocuments.worldbank.org/curated/en/... · 3.1 Audit Objectives The aim of the audit is to certify and express an opinion on the follow ng: i. the project