The system of revenue audit,
which is also in practice in many branches of banks in India, is a type
of additional audit. It is required to be conducted in addition to the
statutory, internal and concurrent audits of a bank's branch.
In the case of revenue audit the auditor's
job is primarily confined to the checking of the income and expenditure
accounts of the branch. His primary objective while conducting a revenue
audit is to ensure that there is no leakage of revenue or incurring of
surperfluous or extra expenses or any loss or revenue has been caused
to the bank because of excess payment of interest, etc. Underpayment or
short payment of interest is also a disservice to bank's customers and
should not be encouraged in the staff, as such the same is also equally
important to be reported.
Scope :-
Checking of interest.
Checking of interest payments on deposits.
Checking of overdue interest on bills purchased account.
Checking of exchange commission.
Safe custody charges and locker rents etc.
Incidental charges and godown keeper's charges.
Income from investment.
Checking of expenses.
Non-recovery from staff in time.
Allowing concessional or higher rate of interest to the staff.
