Improving Management Controls at the Federal Financing Bank
GGD-80-42: Published: Feb 28, 1980. Publicly Released: Feb 28, 1980.
- Full Report:
Several weaknesses in the Federal Financing Bank's internal controls need attention. The Bank's outstanding loans are growing in number and dollar value. Similarly, the time and attention necessary to properly administer the increasing number of loan transactions is straining support systems. To maintain an efficient operation, improvements are needed in internal control procedures.
The Bank's present internal controls provide reasonable assurance of reliable financial statements, but several improvements need to be made. Specifically, the Bank needs to: (1) document the accounting system; (2) update and better maintain the records and files in order to enhance Bank operations; (3) revise the accounting staff rotation policy to improve efficiency; and (4) computerize most operations which necessitates the decision of whether to use existing Treasury equipment or to have a system compatible with Treasury systems.