Banking Department

Issues in the Credit Examination Process (Follow-Up Review)

The Banking Department is required to conduct periodic on-site examinations of banks' financial records. In our prior audit report 96-S-33, we found that some of the banks requiring annual examinations may not have been examined annually, the examinations themselves could have been better documented by Department staff, and some of work performed by Department examiners may have duplicated work performed by certified public accountants and other reviewers. We recommended a number of improvements in the Department's examination process, and in our follow-up review, we found that good progress has been made in implementing these recommendations.

For a complete copy of Report 99-F-26 click here.