<p>ARRANGEMENT OF 

REGULATIONS<br /><br />Regulation<br /><br />Application<br /><br />1. Application<br /><br 

/>Matters related to the Board and corporate<br /><br />goals of the Service<br /><br />1.    

Notification of vacancy on the Board<br /><br />2.    Notification of end of tenure<br /><br 

/>3.    3 Meetings of the Board<br /><br />4.Terms and scope of activities of committees<br 

/><br />5.Engagement of consultants and experts<br /><br />6.Grounds for the removal of a board 

member<br /><br />7.Corporate governance<br /><br />8.Internal control and risk management<br 

/><br />9.Policy formulation and administration of the Service<br /><br />10.Corporate plan<br 

/><br />Matters related to the Service<br /><br />12.Structure and responsibilities of the 

Service<br /><br />13.Performance monitoring and quality control<br /><br />14.Recruitment and 

progression in the Service<br /><br />15.Human resource development<br /><br />16.Report on 

appointments<br /><br />17.Qualification for posts in the Service<br /><br />18.Conditions of 

service<br /><br />19.Code of ethics<br /><br />20.Public Complaints Unit<br /><br 

/>21.Discipline in the Service<br /><br />22.Prudent use of resources<br /><br />23.Awards for 

exceptional performance<br /><br />24.Facilities and logistics<br /><br />25.Retirement and 

gratuity benefits<br /><br />26.Calculation of pension<br /><br />Audits<br /><br />27.External 

auditing<br /><br />28.Special audits<br /><br />29.Register of persons and institutions<br 

/><br />30.Settlement of fees due to appointed persons<br /><br />31.Selection for audit 

bids<br /><br />32.Fee charging regime<br /><br />33.Excessive audit fees<br /><br />34.Audit 

observations and reporting<br /><br />35.Consequence of not responding to an audit 

observation<br /><br />36.Record of officers who do not respond to audit observations<br /><br 

/>37.Issue of management letters<br /><br />38.Record of audit assignments<br /><br />39.Record 

of audit observations and management letters<br /><br />40.Accountability report to 

Parliament<br /><br />41.Contents of the Auditor-General's annual report<br /><br />42.Audit 

Report Implementation Committees<br /><br />43.Monitoring audit recommendations<br /><br 

/>Finances of the Service<br /><br />44.Administrative expenses of the Service<br /><br 

/>45.Annual estimates of the Service<br /><br />46.Supplementary expenditure of the Service<br 

/><br />47.Bank account of the Service<br /><br />48.Limitations on the Service<br /><br 

/>49.Accounts and audit<br /><br />50.Corporate Performance Report by the Board<br /><br 

/>Miscellaneous<br /><br />51.Tipping off<br /><br />52.Interpretation<br /><br /> <br /><br /> 

<br /><br />Audit Service Regulations, 2011<br /><br /> <br /><br />IN exercise of the powers 

conferred on the Audit Service Board acting in consultation with the Public Services Commission 

by article 189(3)(b) of the Constitution and section 35 of the Audit Service Act, 2000 (Act 

584) these Regulations are made this 15th day of February, 2011.<br /><br />Application<br 

/><br />Application<br /><br />1. (1) These Regulations apply to members of the Audit Service, 

and to individuals and institutions engaged by the Auditor-General for the purpose of 

discharging the duties of the Auditor-General under the Con­stitution and the Audit Service 

Act, 2000 (Act 584).<br /><br />(2) Members of the Service shall in matters related to audit 

operations and administration of the Service be subject only to the direction of the Board and 

shall not be regarded as holding an office in any Ministry, Department or Agency.<br /><br 

/>Matters related to the Board and corporate goals of the Service<br /><br /> Notification of 

vacancy on the Board<br /><br />2. (1) In the event of a vacancy in the position of chairperson 

of the Board, the Secretary to the Board shall within seven days communicate the vacancy to the 

President who shall appoint a chairperson in accor­dance with article 189 (1) of the 

Constitution.<br /><br />(2) In the event of a vacancy in the position of a member of the 

Board, the chairperson shall within seven days communicate the vacancy to the President who 

shall appoint a member in accordance with article 189(1) of the Constitution.<br /><br 

/>Notification of end of tenure<br /><br />3. The chairperson shall notify the President of the 

impending end of the tenure of office of a member of the Board six months before the end of the 

tenure of office.<br /><br />Meetings of the Board<br /><br />4. (1) The Board shall have at 

least six regular meetings each year, as provided under section 6(1) of the Act<br /><br />(2) 

The Board shall develop a calendar for its regular meetings for the year.<br /><br />Terms and 

scope of activities for committees<br /><br /> 5. The Board shall<br /><br />(a) determine the 

terms and scope of activities for its committees, and<br /><br />(b) establish a system to 

regularly monitor the performance of the committees<br /><br />established under section 7 of 

the Act.<br /><br />Engagement of consultants and experts<br /><br />6. The Board shall ensure 

due compliance with the Public Procure­ment Act, 2003 (Act 663) when engaging consultants and 

experts to assist in the performance of functions conferred on it by the Constitution and the 

Act.<br /><br />Gr-: ids for the removal of a board member<br /><br />7. Subject to the 

Constitution, a member of the Board other than the ex-officio member may be removed from the 

Board by the President act­ing on the advice of the Council of State on the following 

grounds:<br /><br />(a) a medical report showing the inability of the member to perform the 

functions of that member and discharge the duties of the Board because of infirmity of mind or 

body; (b) proven charges against a member considered sufficient for the removal of the member, 

after applying due process of law and observance of the rules of natural justice; or<br /><br 

/>(c) adverse findings from a commission of enquiry appointed by the President under article 

278 of the Constitution.<br /><br />Corporate governance<br /><br />8. (1) The Board is 

responsible for the corporate governance of the Service and is ultimately accountable and 

responsible for the overall per­formance of the Service.<br /><br />(2) The Board shall<br 

/><br />(a) develop a charter of its responsibilities to be disseminated to its stakeholders, 

and<br /><br />(b) carry out activities that promote and secure its constitutional role in<br 

/><br />(i) public sector financial management, and (ii) the accountability process of the 

country.<br /><br />(3) The Board shall include in its activities continuing education on the 

relevance and necessity for a Service which is politically, administratively, financially and 

operationally independent.<br /><br />Internal control and risk management<br /><br />9. The 

Board shall ensure that<br /><br />(a) effective, efficient and transparent internal control 

and risk management systems are established within the Service, and (b) periodic assessment of 

the effectiveness of the internal controls and risk management systems is undertaken by the 

Service and the outcome reported to the Board.<br /><br />Policy formulation and administration 

of the Service<br /><br />10. (1) The Board shall formulate policies for the administration and 

management of the Service and cause communication channels to be established within the 

Service, to ensure timely and effective circulation of its policies at all levels of the 

Service.<br /><br />(2) The Board may establish links with individuals, organisations and 

associations in and outside the country on the terms that the Board considers appropriate to 

ensure<br /><br />(a) the promotion of the effective and efficient administration of the 

Service; and<br /><br />(b) the due performance of auditing activities by the Service in 

accordance with internationally recognised best practices.<br /><br />Corporate plan<br /><br 

/>11. (1) The Board shall cause the Service to develop and implement a five year corporate plan 

and shall, at the end of the period issue a new corporate plan for the next five years.<br 

/><br />(2) The Board shall in the development of the corporate plan<br /><br />(a) have due 

regard to the requirements of the Constitution, the Act, and other relevant laws and programmes 

of Government, public sector agencies and the expectation of stakeholders in financial 

management and accountability processes in the country, and<br /><br />(b) carry out activities 

that promote and secure its constitutional role in<br /><br />(i) public sector financial 

management, and (ii) the accountability process of the country.<br /><br />(3) The Board shall 

include in its activities continuing education on the relevance and necessity for a Service 

which is politically, administratively, financially and operationally independent.<br /><br 

/>Internal control and risk management<br /><br />9. The Board shall ensure that<br /><br />(a) 

effective, efficient and transparent internal control and risk management systems are 

established within the Service, and (b) periodic assessment of the effectiveness of the 

internal controls and risk management systems is undertaken by the Service and the outcome 

reported to the Board.<br /><br />Policy formulation and administration of the Service<br /><br 

/>10. (1) The Board shall formulate policies for the administration and management of the 

Service and cause communication channels to be established within the Service, to ensure timely 

and effective circulation of its policies at all levels of the Service.<br /><br />(2) The 

Board may establish links with individuals, organisations and associations in and outside the 

country on the terms that the Board considers appropriate to ensure<br /><br />(a) the 

promotion of the effective and efficient administration of the Service; and<br /><br />(b) the 

due performance of auditing activities by the Service in accordance with internationally 

recognised best practices.<br /><br />Corporate plan<br /><br />11. (1) The Board shall cause 

the Service to develop and implement a five year corporate plan and shall, at the end of the 

period issue a new corporate plan for the next five years.<br /><br />(2) The Board shall in 

the development of the corporate plan<br /><br />(a) have due regard to the requirements of the 

Constitution, the Act, and other relevant laws and programmes of Government, public sector 

agencies and the expectation of stakeholders in financial management and accountability 

processes in the country, and<br /><br /> <br /><br /> (b) seek inputs from management, other 

staff of the Service and civil society.<br /><br />(3) The Board shall cause organisational 

goals based on the corpo­rate plan to be established and used<br /><br />(a) as a basis to 

assign responsibilities, duties and deliverables by officers and staff of the Service, and<br 

/><br />(b) to assess performance.<br /><br />(4) The Board shall develop a system to 

coordinate, monitor and evaluate the effectiveness and efficiency of implementation of the 

corpo­rate plan.<br /><br />(5) In furtherance of sub-regulation (4), the Board shall cause<br 

/><br />(a) regular and periodic performance reports to be submitted in the course of the 

financial year by the Service,<br /><br />(b) an independent review where necessary to be 

conducted to confirm or determine the continuing relevance and the realisation of the 

objectives in the corporate plan, and<br /><br />(c) the independent review is to be conducted 

by a person appointed by the Board in accordance with the Public Procurement Act, 2003 (Act 

663).<br /><br />(6) The Board may cause the corporate plan to be reviewed in the course of the 

year and at the end of each year and revise the corporate plan to reflect changes occasioned by 

new developments or an emerging trend consistent with the framework of the corporate plan.<br 

/><br />Matters related to the Service<br /><br /> Structure and responsibilities of the 

Service<br /><br />12. (1) The Board shall determine and periodically review the organisational 

structure of departments and offices of the Service.<br /><br />(2) The Board shall ensure that 

the scope of operations and activi­ties of established departments and offices of the Service 

incorporates (a) the responsibilities conferred on the Auditor-General by the Constitution and 

the Act, and<br /><br />(b) administrative and support structures required for the effective 

and efficient performance of the functions and responsibilities of the Service.<br /><br /> <br 

/><br />Performance monitoring and quality control ,<br /><br />13. (1) The Board shall adopt 

measures it considers necessary to ensure that<br /><br />(a) the Service, in the performance 

of the auditing functions specified in sub-regulations (1) and (2) of regulation 27, and (b) 

other persons or institutions appointed by the Auditor General to perform audit functions<br 

/><br />adhere to international auditing standards and best practices applicable to the various 

entities covered by these Regulations.<br /><br />(2) The Board shall establish a performance 

appraisal system in the Service to<br /><br />(a) set out performance targets and goals,<br 

/><br />(b) continuously and annually monitor performance of individual staff,<br /><br />(c) 

identify training needs of appraisees to address weaknesses<br /><br />and deficiencies,<br 

/><br />(d) award incremental credits,<br /><br />(e) assess staff for promotion,<br /><br />

(f) institute disciplinary action, and<br /><br />(g) disengage staff who are unable to 

consistently meet performance targets set for them after they have received adequate and 

relevant training.<br /><br />(3) The Board shall cause a quality control mechanism including 

peer review to be established within the Service and at the institutional level by external 

bodies to provide assurance on the effectiveness of exist­ing quality control procedures in the 

Service.<br /><br />(4) The Board shall take measures it considers appropriate to address and 

rectify deficiencies and omissions identified by the quality control mechanism.<br /><br 

/>Recruitment and progression in the Service<br /><br />14. (1) The Board shall, in 

consultation with the Public Services Commission, be responsible for the appointment of 

officers and other employees in accordance with article 189 (2) of the Constitution.<br /><br 

/>(2) The Board shall develop a Scheme of Service for the Service<br /><br />which shall 

indicate the following:<br /><br />(a) recruitment and placement policies;<br /><br />(b) entry 

requirements into various grades of the Service;<br /><br />(c) the career path, development 

and progression in the Service;<br /><br />and<br /><br />(d) job descriptions for key 

positions in the Service.<br /><br />(3) Vacancies in the Service shall be filled in accordance 

with the Scheme of Service either by promotion, transfer, recruitment or appointment, 

consistent with article 189(2) of the Constitution.<br /><br />Human resource development<br 

/><br />15. The Board shall formulate policies that promote the effective<br /><br 

/>organisation and development of training programmes in the Service at all levels of operation 

and ensure that modern technologies, standards and best practices in management, accounting, 

auditing and informa­tion and communication technology are used in the Service.<br /><br 

/>Report on appointments<br /><br />16. (1) The Auditor-General, a member or a committee of the 

Board<br /><br />shall submit a periodic report to the Board on the exercise of the powers 

delegated under article 189 (2) of the Constitution and section 4 (3) of the Act.<br /><br />

(2) The report shall be in a form determined by the Board.<br /><br />Qualification for posts 

in the Service<br /><br />17. (1) A person does not qualify for a position in the Service, 

unless that person possesses the requisite qualification and experience prescribed in the 

Scheme of Service.<br /><br />(2) The Board shall take into consideration the Constitution, 

international conventions, protocols and treaties ratified by the Republic that seek to promote 

justice, fairness ami human dignity especially on gender and matters of persons with disability 

when recruiting to fill a vacant position in the Service.<br /><br />(3) The Board shall not 

appoint a person into the Service if that person has been convicted of an offence relating to 

fraud or dishonesty.<br /><br />Conditions of service<br /><br /> <br /><br />18. (1) The Board 

acting in consultation with the Public Services Com­mission shall<br /><br />(a) establish 

posts below the position of Auditor-General in the Service,<br /><br />(b) determine the human 

resource competency and skills mix required by the Service to perform and support the range of 

auditing activities mandated under these Regulations, and (c) determine and approve conditions 

of service of members of the Service other than the Auditor-General.<br /><br />(2) The Board, 

in performing its functions shall, among other things, take into consideration the oversight 

responsibilities and advi­sory roles that the Service is required to undertake in the public 

sector to ensure the recruitment and retention of trained and competent officers.<br /><br 

/>Code of ethics<br /><br />19. The Board shall establish and publish a code of ethics for 

mem­bers of the Service. Public Complaints Unit<br /><br />20. The Board shall establish a 

Public Complaints Unit to receive com­plaints from the public.<br /><br />Discipline in the 

Service<br /><br />21. The Board is responsible for discipline in the Service and shall for 

this purpose establish a system of discipline and related procedures to be maintained by the 

Service.<br /><br />Prudent use of resources<br /><br />22. Members of the Service shall ensure 

that<br /><br />(a) the system of financial management and internal controls established for 

the Service is maintained,<br /><br />(b) resources entrusted to them are economically, 

efficiently and effectively applied in a transparent manner towards the achievement of approved 

goals and objectives of the Service, and<br /><br />(c) assets of the Service are safeguarded 

against losses of any kind including abuse, fraud, willful or accidental wastage and 

destruction.<br /><br />Awards for exceptional performance<br /><br />23. The Board shall 

institute awards to recognise and reward merito­rious and exceptional performance of functions 

by lUUIJUC; s of the Service.<br /><br />Facilities and logistics<br /><br />24. (1) The Board 

shall provide to members of the Service app:op::j",k facilities and logistics required for 

optimal performance of their 't'Jties.<br /><br />(2) The facilities and logistics include<br 

/><br />(a) office accommodation,<br /><br />(b) transportation,<br /><br />(c) office 

facilities, equipment, materials and furniture,<br /><br />(d) library and research 

facilities,<br /><br />(e) a safe environment,<br /><br />(f) social and recreational 

facilities,<br /><br />(g) human resource development and training facilities, and (h) relevant 

operational documents including auditing and<br /><br />accounting standards, audit programmes, 

manuals and guidelines.<br /><br />Retirement and gratuity benefits<br /><br />25. (1) In 

accordance with article 187 (14) and paragraph 20 of Part IV of the First Schedule of the 

Constitution. members of the Audit Service who have attained the voluntary or compulsory 

retiring age shall be paid gratuities and pensions from the Consolidated Fund.<br /><br />(2) A 

member of the Audit Service, other than the Auditor-General who has served the Service for ten 

continuous years or more, shall be paid retiring benefits from the Consolidated Fund.<br /><br 

/>(3) A contribution or deduction made under an enactment towards a member's pension shall 

cease to apply to a member of the Service and the deductions made shall be considered as 

voluntary contributions, and shall be refunded with interest at the Bank of Ghana prevailing 

rate.<br /><br />(4) The final emoluments enjoyed by members of the Service other than the 

Auditor-General at the date of retirement of that member from the Service shall be the basis on 

which pensions gratuities shall be calculated.<br /><br /> <br /><br /> (5) A member of the 

Service who has served for less than ten con­tinuous years shall, unless as specified in these 

Regulations, be entitled to receive proportionate gratuity for the period served.<br /><br />

(6) The pensionable emoluments to be used in the calculation of pensions and gratuities shall 

be the basic salary and other allowances, approved by the Board and enjoyed by members of the 

Service at the time of retirement other than allowances in respect of housing, entertainment, 

leave, utilities, and clothing.<br /><br />Calculation of pension<br /><br />26. (1) Members of 

the Service who have met the qualifying service period and conditions for retirement from the 

Service shall opt for reduced pension and gratuity or full pension six months before the date 

of retirement and once the option is made the member cannot change it.<br /><br />(2) The full 

pension payable to a retired member of the Service shall be calculated as the product of the 

length of service in months multiplied by the final pensionable emoluments attached to the post 

from which the member retired and the Appropriate Pension Constant of 1/ 480.<br /><br />(3) 

Gratuity shall be paid at the rate of twenty- five percent of full pension multiplied by twenty 

years.<br /><br />(4) A member of the Service who opts for reduced pension shall receive 

monthly pension at the rate of three-quarters of the pensionable emoluments attached to the 

post from which the member retired and that pension<br /><br />(a) is the basis on which 

pensions and gratuities shall be calculated and<br /><br />(b) shall be indexed, at the same 

rate as to any subsequent revision of the salary structure of active members of the Service.<br 

/><br />(5) Retiring benefits due to a member as a result of the abolition of a post, injury, 

termination of appointment, marriage by a female member; VC:"1T:Hl_,re retirement or retirement 

on medical grounds and any other CT01LL;t",nces determined b) the Board, shall be calculated at 

the same rate as specified in these Regulations.<br /><br /> <br /><br /> <br /><br /> (6) 

Where a member of the Service other than a member on probation dies in active service, the 

legal representative or nominee of that member shall be paid gratuity of an amount not 

exceeding full pension multiplied by twenty years, of the estimated constant period divided by 

two.<br /><br />(7) Where a deceased member is survived by a spouse a pension at a rate not 

exceeding one sixth of the annual pensionable emoluments of the deceased member shall be paid 

to the spouse.<br /><br />(8) Where the deceased member is survived by children and not a 

spouse or pension is not granted to the spouse a pension of an amount twice the rate specified 

in regulation (7) shall be paid to each child who has not attained the age of twenty-one 

years.<br /><br />(9) Where the deceased member is survived by a spouse and children, one-

quarter of the pensionable emolument of the deceased member shall be paid to each child.<br 

/><br />(10) Where a member of the service is injured and the degree of injury is likely to be 

permanent, the member shall be paid a workman's compensation in addition to any gratuity and 

pension that the member is entitled to at the rate at which the member would be eligible if the 

member had retired compulsorily, at the date of the member's injury.<br /><br />(11) Where a 

retired member on a reduced pension dies within twenty years after the date of retirement from 

the Service, the unexpired period of that retired member shall be used as a basis to calculate 

the benefit to nominated beneficiaries at the rate of pension that the deceased person was 

entitled to.<br /><br /> <br /><br />Audits<br /><br />External auditing<br /><br />27. (1) The 

Service shall carry out the external auditing of:<br /><br />(a) the public accounts of Ghana 

including the Central Government and its Ministries, Departments and Agencies, the Courts and 

Parliament,<br /><br />(b) District Assemblies,<br /><br />(c) the Houses of Chiefs and 

Traditional Councils;<br /><br /> (d) Universities and public institutions of like nature;<br 

/><br />(e) governing boards appointed pursuant to article 190(3)(a) of the Constitution;<br 

/><br /> <br /><br />(!) bodies established with public funds including corporations, companies 

and other enterprises,<br /><br />(g) public offices established by the Constitution and other 

public offices as defined by article 295 of the Constitution:<br /><br />(h) an entity 

established with public funds by or under an Act of Parliament, and<br /><br />half yearly 

foreign exchange receipts and payments statements of the Bank of Ghana for the periods 30th 

June and 31st December each year<br /><br />under the direction of the Auditor-General in 

accordance with articles lR4 (3) and 187 (2) of tile Constitution.<br /><br />U) The Board 

shall ensure that the range of external Auditing activities to be carried out by the Service in 

accordance with t\l,:;c Regulations includes<br /><br />(a) compliance and regularity audit<br 

/><br />(b) financial audit,<br /><br />(c) performance or value for money audit,<br /><br /> 

(d) forensic audit,<br /><br /> (e) environmental audit,<br /><br /> (f) procurement audit, and 

computerised and electronic systems audit,<br /><br />(g) emerging audit concepts and 

methodologies recognised by the International Organisation of Supreme Audit<br /><br 

/>Institutions.<br /><br />(3) The A.uditor-General may in the discharge of duties under 'ut, 

f epulatJem (1), engage or appoint an individual or institution to ,i,Sl'it If'c .')( ! VIce 

to carry out the auditing responsibilities specified under these Regulations<br /><br />Board 

shall ensure that appointments made under sub­rcgulcltlOl1 (3) arc in accordance with the 

Public Procurement Act, 2003 (Art 663)<br /><br /> <br /><br />(5) The Board shall establish a 

system to ensure that appropriate quality control standards arc developed and used in 

monitoring and evaluating audit work carried out by individuals and institutions appointed by 

the Auditor-General to carry out work on behalf of the Auditor-General.<br /><br /> <br /><br 

/>Special audits<br /><br />28. (1) In accordance with the provisions of sections 22 and 36 of 

the Act, the Service may, in addition to the audits specified under regula­tions 27(1) and (2), 

undertake special audits of the activities of any indi­vidual or organisation which seeks 

financial aid from Government and beneficiaries of financial aid, which includes loans, grants 

and credit facilities, commodity aids and guarantees.<br /><br />(2) The special audit shall be 

conducted to determine among other things, whether<br /><br />(a) intended beneficiaries exist 

and their activities have been duly registered under the applicable laws and have met the 

obligations imposed on them by law, conventions and treaties including environmental issues,<br 

/><br />(b) the terms of underlying agreements for the loans, credit facilities, commodity aid 

and government guarantees are reasonable and are being complied with,<br /><br /> <br /><br /> 

(c) recoveries are being appropriately made from the beneficiaries concerned, and<br /><br />

(d) intended benefits for the national economy are being derived.<br /><br />(3) The Board 

shall cause procedures to be established for the review and co-ordination of special requests 

made for audit examina­tion and verification by audited bodies, offices and organisations 

including the Office of the President and Parliament and, where necessary, secure additional 

resources before the Service undertakes the requested audits.<br /><br />(4) Reports on special 

audits undertaken by the Service or on the basis of requests accepted by the Auditor-General 

shall be submitted to Parliament as soon as the reports have been completed.<br /><br />(5) 

Subject to the provisions of section 23 of the Act, the Board shall cause to be created in the 

Service, appropriate mechanisms under which the reports of the Auditor-General shall be made 

accessible to the public, after the reports have been presented to the Speaker to be laid 

before Parliament.<br /><br />Register of persons and institutions<br /><br />29. (1) The 

Service shall maintain a register of individuals and insti­tutions qualified to be appointed by 

the Auditor-General to carry out audits on behalf of the Auditor-General.<br /><br />(2) The 

register shall be updated regularly.<br /><br />(3) The Service shall classify the individuals 

and institutions in the register by grade and size, and the category of audited organisations 

for which the individuals and institutions will be eligible to bid for auditing purposes.<br 

/><br />(4) The register shall show the following profile of the individuals<br /><br />and 

institutions:<br /><br />(a) curriculum vitae of the key personnel; (b) location and 

address;<br /><br />(c) international affiliation, if any; (d) succession partners;<br /><br 

/>(e) total operational staff;<br /><br />(f) number of years of existence of the institution; 

and (g) list of organisations currently under audit.<br /><br />(5) The Service shall 

periodically conduct inspection of the pre­mises, facilities and staffing levels indicated in 

the register for verifica­tion and validation purposes.<br /><br />(6) The Service shall ensure 

that persons listed in bidding docu­ments of an institution which wins an award to conduct an 

audit on behalf of the Auditor-General, participates in the planning, execution and reporting 

processes of auditing as shown in the bidding documents and evidence of the participation are 

provided on demand at any stage of the auditing process.<br /><br />(7) Individuals and 

institutions may be appointed by the Auditor­General under the Public Procurement Act, 2003 

(Act 663) to assist the Service to carry out its work for a minimum period of one year, which 

is renewable for a maximum period of five years, subject to satisfactory performance.<br /><br 

/>(8) Institutions or individuals appointed by the Auditor-General to carry out work on the 

Auditor-General's behalf shall be issued with terms of reference and guidelines for the 

conduct and reporting on au­dits assigned to them by the Auditor-General.<br /><br />(9) The 

Board shall cause the Service to establish procedures to ensure that individuals or 

institutions appointed by the Auditor-General to carry out audits on behalf of the Auditor-

General comply with the terms of reference and guidelines issued for the audit.<br /><br 

/>Settlement of fees due to appointed persons<br /><br />30. The Board shall ensure that issues 

arising from an evaluation of the performance of appointed individuals and institutions against 

the terms of reference and guidelines issued for the audit are satisfactorily resolved before 

fees due to the appointed persons or institutions are paid.<br /><br />Selection for audit 

bids<br /><br />31. (1) The performance of individuals and institutions that have car­ried out 

an audit on behalf of the Auditor-General shall be taken into consideration in subsequent 

appointments.<br /><br />(2) At least three months before the end of the final year of the 

maximum engagement period of five years specified under regulation 29(7), the bidding process 

in accordance with the Public Procurement Act, 2003 (Act 663) shall be activated to allow for 

timely appointment of an incoming institution or individual to undertake audits on behalf of 

the AUditor-General.<br /><br />Fee charging regime<br /><br />32. (1) The Board shall cause a 

fee-charging regime to be established in the Service for the audit of subvented agencies which 

are contracted out by the AUditor-General.<br /><br />(2) The purpose of the fee charging 

regime is to review and assess audit fees proposed by individuals and institutions appointed by 

the Auditor-General to carry out audits on behalf of the Auditor-General. Excessive audit 

fees<br /><br />33. (1) Where in the opinion of the Auditor-General, proposed audit fees are in 

excess of what the Auditor-General considers reasonable under the fee-charging regime, the 

Auditor-General and the audited organisation shall enter into negotiation with the appointed 

individual or institution for a reduction in the proposed fees.<br /><br />(2) The Service 

shall<br /><br />(a) monitor and maintain records of fees charged by an individual or an 

institution appointed by the Auditor­General to assist in the work of the Service, and<br /><br 

/>(b) provide a table of fees charged for incorporation in the annual report of the AUditor-

General required to be laid before Parliament in accordance with article 187(5) of the 

Constitution.<br /><br />Audit observations and reporting<br /><br />34. (1) A team leader 

shall issue formaIIy audit observations made at an audit location in the Course of an audit 

undertaken by members of the Service.<br /><br />(2) An audit team of the Service shall<br 

/><br />(a) take steps to fully discuss with the audited organisation, findings and 

recommendations arising from an audit undertaken with respect to the audited organisation, and 

(b) obtain written responses from the audited organisation for the observations made before 

leaving the audit location.<br /><br />(3) An audit team shall complete its assignment within a 

time frame given by the AUditor-General for the completion of the audit assignment<br /><br /> 

<br /><br />(4) An audit team shall indicate in its report, the inability of the respective 

client to respond appropriately to observations if the client fails to respond to observations 

made during their stay at the audit loca­tion.<br /><br />(5) An audit team shall not overstay 

the time frame given for an audit assignment under the authority of the Auditor-General without 

the permission of the Auditor-General.<br /><br />(6) Where an audit team overstays the period 

given under the authority of the Auditor-General without permission each member of the team 

shall be subjected to disciplinary action.<br /><br />(7) The Auditor-General shall be informed 

of the observations raised through the established communication channels in the Service, where 

a response to an audit observation is not received within thirty days after the departure of an 

audit team from the audit location.<br /><br />Consequence of not responding to an audit 

observation<br /><br />35. (1) The Auditor-General may in accordance with section 29 of the 

Act, direct that the emoluments and allowances of a person who fails to respond to an audit 

observation be withheld as long as that person fails to respond to the observation.<br /><br 

/>(2) Where a person fails to respond to an audit observation despite a reminder issued by the 

Auditor-General and after the emolu­ments and allowances of the person have been withheld, the 

failure to respond shall be regarded as an offence under section 33 (1) (d) of the Act.<br 

/><br />Record of officers who do not respond to audit observations<br /><br />36. The Board 

shall cause the Service to keep records of officers of audited organisations who fail to 

respond to audit observations as speci­fied in the Act and the Auditor-General shall make a 

report on it to Parliament in the Auditor-General's annual report.<br /><br />Issue of 

management letters<br /><br />37. (1) Branch and sectional heads shall within two weeks after 

comple­tion of audit assignments, issue management letters containing findings, recommendations 

and conclusions of the audit assignment to the management of the audited organisation, copied 

to concerned officials and organisations.<br /><br /> <br /><br />(2) An officer responsible 

for issuing a management letter shall provide reasons to the immediate supervising head of the 

officer's department for each ma.ragement letter, which is not issued within four­teen days 

after completion of audit assignments<br /><br />Record of (l.udit;;;ssigmneAlts<br /><br /> 

<br /><br />38. Each department, branch and section of the Service shall keep a record of an 

audit assignment undertaken by an audit team and the report issued in relation to it.<br /><br 

/>Record of audit observations and management letters<br /><br /> <br /><br />39. Members of 

the Service shall keep copies of audit observations and management letters issued by audit 

teams including other support­ing working papers in a manner determined by the Board and shall 

make the copies available upon demand for inspecrion, monitoring and performance appraisal.<br 

/><br />Accountability report to Parliament<br /><br /> <br /><br />40. Subject to article 187

(4) of the Constitution audited organisations, offices and institutions provided for by article 

187(2) of the Constitu­tion, shall produce accountability reports for examination by the Audi­

tor~G·eneral in the following format:<br /><br /> <br /><br />(a) introductory comments by 

management and governing body;<br /><br /> <br /><br />(b) mission and organisation structure 

information, induding (i) the vision and mission statements,<br /><br />(ii) functions and 

activities,<br /><br /> <br /><br />(iii) organisational structure, and (iv) operating 

environment;<br /><br />(c) financial information, including<br /><br />(i) financial 

highlights and condition, and<br /><br /> <br /><br />(ii) sources of financing, which includes 

revenues, appropriation, other receipts and loans;<br /><br />(d) performance information that 

indicates results and achievements against expectations and cost incurred, stating reasons for 

good or bad performance, constraints encountered and actions taken to address the 

constraints;<br /><br />(e) govemance information, indicating key features of systems and 

controls, compliance with legal requirements, variance analysis between budgeted amount and 

expenditure incurred; and<br /><br />(f) forward looking information, to indicate the current 

status of and possible future effect of currently known demands, risks, events, conditions, 

trend and possible actions which may be required to deal with the situation.<br /><br 

/>Contents of the Auditor-General's annual report<br /><br />41. Subject to article 187(5) of 

the Constitution and sections l3, 14 (2) and 20(2) of the Act, the annual report of the 

Auditor-General on the audit of public accounts of the country and of public offices specified 

in article 187(2) of the Constitution shall include observations and comments on the 

accountability report of the audited entities.<br /><br />Audit Report Implementation 

COmmittees<br /><br />42. The Board shall establish a system in the Service for monitoring the 

existence and performance of Audit Report Implementation Com­mittees as provided under section 

30 of the Act and report the outcome to the President and Parliament in the annual report of 

the Board required under section 25 of the Act.<br /><br />Monitoring audit recommendations<br 

/><br />43. (1) The Board shall ensure that procedures are established in the Service for 

monitoring the implementation of findings and recommen­dations made in previous reports of the 

Auditor-General until the find­ings and recommendations have, in the opinion of the AUditor-

General, been satisfactorily acted upon.<br /><br />(2) The Auditor -General shall take 

appropriate action including surcharging losses disclosed in the reports against an official 

associated with the delay, where in the opinion of the Auditor-General, the imple­mentation of 

the recommendations of the Auditor-General are unduly delayed, resulting in the recurrence of 

losses and other irregularities in an audited account.<br /><br />(3) The Board shall cause a 

system to be established in the Service for the prompt reporting to the Auditor-General of 

cases which inspect­ing teams consider as warranting the Auditor-General's action to disal­low 

expenditure incurred or to raise a surcharge for irregularities noted under article l87(7)(b) 

of the Constitution from audits carried out.<br /><br /> <br /><br />Finances of the Service<br 

/><br /> Administrative expenses of the Service<br /><br />44. (1) The administrative expenses 

of the Service shall be costs and expenses other than development expenses required by the 

Auditor­General to perform the functions conferred on the AUditor-General under the 

Constitution and the Act.<br /><br />(2) The administrative expenses of the Service shall be a 

charge on the Consolidated Fund in accordance with Article 187 (14) of the Constitution.<br 

/><br />(3) The Ministry of Finance and the Controller and Accountant­General shall release the 

administrative expenses directly to the Service on the dates on which the expenses fall due.<br 

/><br />Annual estimates of the Service<br /><br />45. (1) The Board is responsible for the 

review and approval of the annual estimates of the Service and shall for this purpose establish 

the format, procedures and a time frame for the preparation, consideration and approval of the 

estimates.<br /><br />(2) The Board shall submit to the President, at least two months before 

the end of each financial year, the estimates of the Service approved by the Board for the 

following year indicating<br /><br />(a) the administrative expenses of the Service charged on 

the Consolidated Fund under article 187 (14) of the Constitution and which are subject to 

article 179 (2) (b) of the Constitution; and<br /><br />(b) the development expenses of the 

Service which are subject to article 179 (2) (a) of the Constitution and approval by 

Parliament.<br /><br />(3) The Board at the time of submission of estimates to the Presi­dent 

may forward a copy of the estimates to the Speaker of Parliament.<br /><br />(4) The President 

shall within the time frame stipulated by article 179 (1) of the Constitution cause the 

estimates of<br /><br />(a) the administrative expenses of the Service, being expenditure 

charged on the Consolidated Fund to be forwarded directly to Parliament and laid in accordance 

with article 179 (2) (b) of the Constitution for the information of members of Parliament, 

and<br /><br />(b) the development expenses to be laid before Parliament without any revision 

or amendment but with any recommendation that the President may make on the estimates for 

consideration and approval by Parliament under article 179 (2) (a) of the Constitution.<br 

/><br />(5) The development expenditure of the Service when approved by Parliament shall not be 

reduced by any person or authority and the Minister shall release it to the Service in 

installments determined by the Board.<br /><br />(6) The Board shall, as soon as it comes to 

its notice that there has been a material variation of the approved budget that may be used for 

the budgetary release to the Service, submit a report to Parliament showing the serious and 

adverse effects of the variation on the planned programmes of the Service as well as cases 

where the Auditor-General will be limited or incapacitated by lack of resources to perform a 

function specified in the Constitution and the Act.<br /><br />Supplementary expenditure of the 

Service<br /><br />46. Where it is found in respect of a financial year that the expenses of 

the Service are insufficient or that there is a need for a purpose for which provision has not 

been made in the estimated expenses of the Service, the Board shall, in the case of<br /><br 

/>(a) recurrent expenditure other than expenditure charged on the Consolidated Fund, approve 

the supplementary funds required and submit the approved expenditure to the President to be 

laid before Parliament, and<br /><br />(b) development expenditure, provide justification for 

the supplementary funds required and submit the estimated development expenditure together with 

the justification to the President to be laid before Parliament for approval.<br /><br />Bank 

account of the Service<br /><br />47. (1) The Board shall cause a bank account to be opened and 

operated by the Service in the name of the Auditor-General within the Consolidated Fund at the 

Bank of Ghana.<br /><br />(2) The approved annual estimates of the Service shall be released to 

the Service through the Auditor-General's account at the Bank of Ghana on a request made by 

the Board to the Ministry of Finance and Economic Planning<br /><br />(3) The Board shall cause 

requests for transfer of funds into the bank account of the Service to be made on the basis of 

quarterly work plans of the Service.<br /><br />(4) The Board shall cause to be lodged at the 

Ministry of Finance, the Controller and Accountant General and the Bank of Ghana at least one 

month in advance, a quarterly schedule of projected drawings from the Consolidated Fund for 

auditing costs.<br /><br />(5) The Board reserves the right to review and vary the quarterly 

schedule as demanded by any changing or unforeseen situation but the changes shall remain 

within the annual estimates as approved or amended in accordance with these Regulations.<br 

/><br />(6) Transfers into the bank account of the Service shall be made on quarterly requests 

made by or under the authority of the Board to the Minister of Finance and Economic 

Planning.<br /><br />(7) A balance held by the Auditor-General in the bank account of the 

Service shall be included in the balances of the Consolidated Fund to determine the position of 

the Fund but be regarded as a blocked account in favour of the Service.<br /><br />(8) The 

Board shall ensure that unspent or unencumbered balance in the bank account from previous 

requests held by the Auditor-General is taken into consideration in finalising subsequent 

requests in determin­ing a request for the release of funds.<br /><br />Limitations on the 

Service<br /><br />48. (1) Where a variation by an executive agency of an approval given by the 

Board on the human, financial and logistical requirements of the Service limits the scope and 

timing of audit the effect of the variation shall be disclosed and published in the annual 

report of the<br /><br />(a) Auditor-General on the public accounts and other public offices; 

and<br /><br />(b) Board on the activities of the Service.<br /><br />(2) A request by the 

Board for the release of the financial and logistical resources of the Service which have been 

determined and approved in accordance with the Constitution, the Act and Financial 

Administration Act 2003, (Act 654) that have been unduly withheld or delayed without 

justifiable cause, shall be regarded as an obstruction in the performance of the functions of 

the Auditor-General as provided under section 33 (1) (e) of the Act.<br /><br />(3) Prolonged 

existence or late discovery of irregularities, losses and other deficiencies in the management 

of public resources arising from a failure or delay in the release of resources on their due 

date to the Service shall be reported by the Auditor-General to Parliament on a quar­terly 

basis.<br /><br />Accounts and audit<br /><br />49. (1) Books of account shall be kept by the 

Service in a form approved by the Board and in accordance with accounting principles relevant 

to the public sector.<br /><br />(2) The accounts of the Service shall be prepared by the 

Auditor­General and submitted to the Board within three months after the end of each financial 

year.<br /><br />(3) The Board shall on receipt of the accounts of the Service, submit the 

accounts to the auditor appointed by Parliament to audit the accounts on terms and conditions 

determined by Parliament.<br /><br />(4) The Board shall<br /><br />(a) ensure that findings 

and recommendations in the report of the external auditor of the Service are promptly acted on, 

and<br /><br />(b) provide Parliament with action reports and implementation timetables within 

six months after the issue of the report.<br /><br />(5) The Board may establish an Audit 

Committee under section 7 of the Act and may assign to the Committee the discharge of the 

following duties:<br /><br />(a) review of internal and external audit reports and recommending 

corrective and remedial action to the Board; (b) monitoring of compliance with the decisions of 

the Board on internal and external audit reports;<br /><br />(c) review of the effectiveness of 

the internal audit section of the Service; and<br /><br />(d) consideration of matters referred 

to it by the Board or management of the Service for advice.<br /><br />Corporate Performance 

Report by the Board<br /><br />50. (1) The Board shall not later than eight months after the 

end of the financial year, prepare and submit to the President and Parliament, a Corporate 

Performance Report on the Service.<br /><br /> <br /><br />(2) The percentage of total audit 

costs approved by the Board as against releases made in relation to the size of the annual 

budget of the Consolidated Fund and other public sector funds required to be audited by the 

Service, shall be disclosed in the Corporate Performance and Activity Report on the Service 

required under section 25 of the Act, in order to determine the reasonableness of the total 

resources requested by the Board for the audit of the public accounts against actual releases 

made by the Ministry responsible for Finance.<br /><br />(3) Copies of the Corporate 

Performance Report submitted to the<br /><br />President and Parliament, may be distributed by 

the Board to (a) the Director of Public Records,<br /><br />(b) the public University libraries 

in the country,<br /><br /> <br /><br />(c) the libraries of the Ghana Institute of Management 

and Public Administration and the Management Development, and Productivity Institute and other 

public libraries;<br /><br />(d )the website of the Service,<br /><br />(e) members of the 

Board, and<br /><br />(f) any other institution approved by the Board.<br /><br 

/>Miscellaneous<br /><br />Tipping off<br /><br /> <br /><br />51. (1) The Board shall 

establish or cause to be established in the Service, a system to encourage the general public 

to submit information on suspected cases of mismanagement, fraud, abuse, wastage, and other 

irregularities in public offices and institutions for follow-up by the Service.<br /><br /> <br 

/><br />(2) The Board shall set up a confidential reward scheme for indi­vidual members of the 

public who provide information leading to the successful recovery of funds arising from an 

audit undertaken into the reported cases.<br /><br />Interpretation<br /><br /> <br /><br />52. 

Unless the context otherwise requires, in these Regulations "Act" means the Audit Service Act, 

2000 (Act 584);<br /><br /> <br /><br />"Board" means the Audit Service Board established under 

section 3 of the Act;<br /><br />"Constitution" means the 1992 Constitution of the Republic of 

Ghana;<br /><br />"District Assemblies" includes Metropolitan and Municipal Assemblies;<br 

/><br />"members of the Service" means the members of the Audit Service as stated in section 2 

of the Act;<br /><br />"Minister" means the Minister responsible for Finance; and "Service" 

means the Audit Service established under the Audit Service Act, 2000 (Act 584).<br /><br /> 

<br /><br />JOHN A. Y. KLINOGO<br /><br />Chairperson, Audit Service Board</p>