Control of Accounts

Guidelines on the control of management accounts -

• an imprest cash system may be adopted for minor purchases;
• official receipts may be issued upon collection of management fees or other payments;
• an interest-bearing bank account shall be opened in the name of the corporation for uses related to management of the building;
• cheque or withdrawal slip may be signed jointly by the treasurer and at least one other member authorized for that purpose;
• all bank statements, cheque books and passbooks may be properly kept by the treasurer;
• all income and expenditure items may be recorded promptly and cleared every month;
• all receipts may be categorized, filed in order and shall be kept for not less than 6 years;
• a copy of summary of income and expenditure of the corporation should be displayed in a prominent place in the building at least once every 3 months for at least 7 consecutive days; and
• a management committee shall prepare, within 15 months after the date of the registration of the OC and thereafter every 12 months, financial statements, and audited by an accountant retained by the OC by a resolution passed at a general meeting if either the total income or expenditure, or both, of the OC as shown in the income and expenditure account, exceeds or is likely to exceed $500,000, and display a copy of the financial statements and a copy of the accountant's report in a prominent place in the building as soon as reasonably practicable for at least 7 days, and be laid before the OC at the annual general meeting of the OC.