- Background of the Study
Accountability in its simplest form means the duty to answer for the responsibility that has conferred on someone. It indicates the existences of at least two parties, one who allocate responsibility (i.e higher authority) and the other its (i.e. lower authority). With the understanding to reports upon the manner or system in which it has been discharged or taken off.
More formally, accountability is an external control device by which public office holders and institutions are made to give documentary explanation for their action and decision. Accountability is regarded as synonym for stewardship. The document factor in accountability is control, there must be an existence of control measures before accountability can be present and it is safe to say that where there is no control there will be no accountability.
Public accountability is of various forms: political accountability, legal accountability, management accountability, financial accountability, fiscal accountability etc.
While auditing on the other hand is a process carried out by suitable qualified auditor. The account of business entities including limited liability companies, professional firm are examine in such detail as it enable the auditors to form an opinion as to their true and fairness. The opinion is their curtail in an audit report addressed to those parties who appointed the auditors.
Agbawe (2005), defined an audit as an examination and inquiry into statement of accounts the underlying record document, assets and liabilities by an independent person with a view to express an opinion as to the accuracy and the correctness of the financial statements. The role of an auditing in promoting accountability i.e. collection and disbursement of public fund requires special consideration and disciplined in a developing country like Nigeria be public fund is ought to be touched with most scrupulous consciousness of honor.
- Statement of the Problem
In every research work is undertaken with the motive to solve a specific problem or to increase knowledge in a chosen area of study. The problem is usually in the form of a knowledge gap which the researcher wishes to fill by generating the needed information.
To this end, this research work aims to examine the following problems as they affect the efficient application of auditing in the management of public fund. The major problems this research aims to look into are:
- The prevention or prevalence of fraudulent practices in virtually all ministries and department in resulting in the loss of public funds.
- Focus also with the place on why well-qualified certified chartered accountant are not staying in public sectors.
- General apathy on the part that ministries and departments in reporting to audit queries.
- To examine the impact of ministries and local government incurring huge expenditure in excess of their budgetary allocation without asking for supplementary appropriation.
- Financial irregularities emanating from ignorance of non-competence with financial and stores regulations on the part of officer concerned.
- Objectives of the Study
Yomere and Agbonifo (1999), the objectives of the research investigation refers to what the study seek to achieved, they are the purposes of the study in terms of knowledge gap it intend to fills. Objectives of the study will include amongst other things:
- To ascertain how the prevalence fraudulent practices virtually amongst all the departments has resulted to the loss of public funds.
- To determine to what extent the general apathy on the part of Ministries and departments in responding to audit queries has helped the efficient management of public funds.
- To examine the roles of well qualified accountants in a proper management of funds in local governments.
- To ascertain the extend to which financial irregularities amounting from ignorance of regulation on the part of officers concerned has imparted on proper accountability of public funds.
- Research Questions
Based on the foregoing research objectives which aims at providing answers to the following research questions:
- Why there is a need for an audit in the council?
- Is there any indirect beneficial interest?
- And also does the audit department have access to every account in the council?
- Does the council have an internal audit department?
- Significance of the Study
This research work remains very relevant and important because it is designed to elicit various ways of handing public monies. The responsibilities of officers controlling public funds also the base for which funds are collected. The researcher will also identify machineries used to enhance proper accountabilities and which organ of government is more independence an auditors will promote accountability, wisdom and management of fund in the public sector.
While to the public sector as a whole, it hoped that this research investigation will offered them the opportunity to adequate understand the workability technical characteristics as well as the consequences of the instrument of auditing and make necessary modification to its stewardship rule.
Again, the study will also prove important for those who are interested in having an in-depth knowledge of the subject matter. Most importantly, it could take off points in advancing the frontier in subjects matter.
- Scope of the Study
In other to get true and well-focused analysis, the scope of the research work is limited to government funded agencies with a strict focus on Isoko South Local Government Council.
In addition, this study is not undertaken to revealed fraud or weakness in council rather it is carried out to see whether auditing could be an aid to effective and efficient utilization of the fund available to the council for its operation.
- Plan of Study
This research work for the sake of convenience is divided into five chapters. Chapter one entails the general introduction in the project topic “auditing as a veritable to for efficient accountability of public funds”.
Chapter two talk about the review of relevant literature. Chapter three is on research methodology, chapter four deal with data presentation and chapter five have to do with the summary, findings, conclusion and recommendation.
- Limitation of Study
The researcher in course of this work encounters the following factors which serious stoud as obstacle to this research work.
- Time: The researcher is trying to meet up with the time of completion of the project had to work harder, pressure, most time I even had to miss lecture so as to up with appointment relating to data gathering.
2. The government policies which restricts civil servant