How to pass MOC in bank audit?
Bank Audit :
Usually, every bank closes their books of accounts on 31.03.20XX and any changes to be made to books of accounts can be made with the permission of competent authority of banks. In the same way, any changes if any suggested by auditors regarding increase/decrease of provision, Asset status or Asset classification will be done through MOC.
Statutory auditors of the bank will pass a Memorandum of changes (MOC) for suggesting changes in the following aspects that he come across during the course of the audit.
Part A: Entries affecting / Not affecting the Revenue
Part B: Classification of Advances
Part C: Changes with regard to Asset status /Provision / Interest reversal
Part D: Capital Adequacy- Basel III
Part E: Other Observations
Procedure for Passing MOC in Finacle:
Step 1: Login into the MOC module with the help of the Link provided by the bank.
Step 2: Provide details of Audit firm like RBI unique code, Date of appointment, Name of Audit Firm.
Step 3: Click on Add/Modify Column and provide relevant information like Borrower Name, Account Number, and security values and relevant information you want to change.
Step 4: Submit MOC and This will be verified at H.O of banks
Step 5: After Verification, take one copy of MOC as Audit documentation.
For any help do not forget to Comment.
CA. K.Nagaraju
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