IBRA financial audit gets disclaimer opinion<\/p>\n
JAKARTA (JP): Independent auditor Hans Tuanakota Mustofa\/
\nDeloitte Touche Tomatsu (HTM\/DTT) has given a disclaimer opinion
\non the 1998 to 1999 financial audit of the Indonesian Bank
\nRestructuring Agency (IBRA).<\/p>\n
IBRA deputy chairman Sumantri Slamet said on Friday that the
\ndisclaimer was given due to uncertainty about the validity of
\nfinancial data coming from IBRA, closed down banks and other IBRA
\n\"working partners\".<\/p>\n
Sumantri said in a news conference that IBRA would take
\ncorrective action as a follow-up to the audit result.<\/p>\n
He said that the corrective action plan was expected to be
\ncompleted by July and implemented in August.<\/p>\n
IBRA has made the results of the audit public, available on
\nits website, www.BPPN.go.id.<\/p>\n
A disclaimer means that the auditor declines to give its
\nopinion on a financial audit. An auditor usually gives an
\nunqualified opinion or qualified opinion.<\/p>\n
Coordinating Minister for the Economy, Finance and Industry
\nKwik Kian Gie said earlier this week that he would be surprised
\nif the auditor did not give a disclaimer opinion considering the
\nincompleteness of data within IBRA as former bank owners or
\ndebtors had destroyed the data.<\/p>\n
Centre for Strategic and International Studies (CSIS)
\neconomist Pande Raja Silalahi said that the disclaimer opinion
\ncould further harm the reputation of IBRA if the agency failed to
\neffectively explain the reason.<\/p>\n
\"If you have a red (a failure) rapport, you must explain it,
\nwhether it's because you've been sick or you have been with a
\nbunch of bad boys,\" he said.<\/p>\n
But Sumantri was confident that the disclaimer opinion would
\nnot affect the agency's reputation.<\/p>\n
He said the public should understand that the complexity of
\nissues faced by IBRA during the audit period in which many things
\nwere dependent on external institutions.<\/p>\n
Sumantri recalled that when the government closed down banks
\nin 1998 and 1999, IBRA-assigned auditors found difficulties
\nentering the banks to get \"a picture of the banks.\"<\/p>\n
\"This kind of problem caused the auditor (Hans
\nTuanakota\/Deloitte Touche) to have doubts about the data,\" he
\nsaid.<\/p>\n
There have been reports that former bank owners tried to
\nprevent IBRA auditors from immediately auditing the banks' assets
\nafter the closure in a bid to take some of the assets away before
\nthe government took over.<\/p>\n
\"I don't think the disclaimer will harm IBRA's reputation,\"
\nSumantri said.<\/p>\n
Indeed, IBRA will be in serious trouble if this happens. The
\nagency manages some Rp 600 trillion worth of assets transferred
\nfrom the banking sector. The agency must restructure and dispose
\nof the assets to raise cash to help finance the state budget.<\/p>\n
A unit of the finance ministry which was established in early
\n1998, IBRA has been under fire for its slow progress in the
\nrestructuring of the assets and their disposal.<\/p>\n
The agency is targeted to raise Rp 18.9 trillion this year,
\nbut has so far only raised about Rp 2.8 trillion.<\/p>\n
Asked if the disclaimer would lead to the uncovering of a
\ncrime within the agency or the banking industry, Sumantri said
\nthat to prove it an investigative audit would need to be
\nconducted.<\/p>\n
\"And so far there has been no demand for an investigative
\naudit,\" he said.<\/p>\n
Elsewhere, Sumantri said that on March 22, the finance
\nminister had enacted a new accounting policy, dedicated to IBRA.<\/p>\n
He said consultations regarding the policy had earlier been
\nconducted with the Indonesian Accountants Association (IAI).<\/p>\n
\"The new audit process is the first experience for both IBRA
\nas auditee and HTM\/DTT as the auditor,\" he said.<\/p>\n
\"Based on the new accounting policy, IBRA will embark on
\nchanges or conversion of previous systems and postings into the
\nnew format of accounting policy,\" he added.(rei)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/ibra-financial-audit-gets-disclaimer-opinion-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}