ODISHA PRIMARY EDUCATION PROGRAMME AUTHORITY"SHIKSHA SOUDHA", UNIT-V, BHUBANESWAR-751001

Ph No.0674-2395325(0)FAX-0674-2392721Email- spd(&oPepa.inoPePaedu(@yahoo.coJin

No. . // Dated/4/ /'6

Mahendra Kumar Mallik IASState Project Director

ToAlok JawaharUnder Secretary, Govt. of India,Ministry of Human Resource Development,Department of School Education & Literacy,Shastri Bhavan, New Delhi-110001.

Sub: Submission of Audited Statement of Accounts & Utilisation Certificate for the year2014-15

Sir,

I am to submit herewith the audited statement of accounts and Utilisation Certificate of

SSA, NPEGEL & KGBV for the year 2014-15 for taking necessary action at your end.

Yours faithful

Encl: As above J

State Project irector

Memo No.5'7 F/4 4 / /Copy forwarded to the Commissioner cum Secretary to Govt. S&ME Deptt.,Govt. of Odisha for

kind information.

State Proect Di ctor/

Memo No.57OF

Copy forwarded to O.P.Agrawal ,Sr.Consultant, TSG, Edcil, MHRD New Delhi for information and

necessary action.

State Project Director

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K C. Jena & Co 646, 1st Floor, Saheed Nagar, Bhubaneswar -751007*H C. e na &C Co. Tel.: (0674) 2545292, 2545104, Fax:(0674) 2545292

CHARTERED ACCOUNTANTS Website : www.kcjenaandco.com

INDEPENDENT AUDITORS' REPORT

TOTHE STATE PROJECT DIRECTORODISHA PRIMARY EDUCTION PROGRAMME AUTHORITYUNIT-V, BHUBANESWARBHUBANESWAR-751001, ODISHA

Reg: Report on the Financial Statements for the Year ended on 3 1st March 2015.

We have audited the attachment Balance Sheet relating to the SARVA SIKHYA ABHIYAN (SSA,NPEGEL & KGVB), project implemented by Odisha Primary Education Programme Authority(OPEPA), Sikhya Soudha, Unit-V, Bhubaneswar as at 3 1st March 2015 and the annex Receipt &Payment Account and Income & Expenditure Account for the year ended on that date annexedthere to and a summary of significant accounting policies and other explanatory informationwhich forms an integral part of our report.

Management of OPEPA is responsible for the preparation of these financial statements that givea true and fair view of the financial position, financial performance of the OPEPA is in accordancewith the Accounting Standards applicable. This responsibility includes the design, implementationand maintenance of internal control relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement, whether dueto fraud or error.

Our responsibility is to express an opinion on these financial statements based on our audit. Weconducted our audit in accordance with the Standards on Auditing issued by the Institute ofChartered Accountants of India. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whether thefinancial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment, including the assessment of the risks of material misstatement of the financialstatements, whether due to fraud or error. In making those risk assessments, the auditorconsiders internal control relevant to the Company's preparation and fair presentation of thefinancial statements in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of accounting policies usedand the reasonableness of the accounting estimates made by management, as well as evaluatingthe overall presentation of the financial statements.

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7: cO

K. C. Jena & Co.Continuation Sheet..7A CHARTERED ACCOUNTANTS

We report that:

Further to notes on account , management letter , 28 District financial statements audited bythe other independent statutory auditors incorporated in the account and our report of evendate attached herewith:

(i) We have obtained all the information and explanations which to the best of our knowledgeand belief were necessary for the purpose of our audit.

(ii) In our opinion proper books of accounts have been kept by the Society so far as appearsfrom our examinations to these books. Proper returns adequate for the purpose of our audithave been received from the District Project Offices not visited by us. Report for the DistrictProject Office auditors have been dealt with in preparing our report.

(iii)The Balance Sheet and Income & Expenditure account dealt with by this report are inagreement with the books of accounts.

(iv) In our opinion and to the best of our information and according to the explanations given tous. The said accounts read together with the notes on accounts give a true and fair viewsubject to our observations given separately.

(a) In the case of the Balance Sheet of state of affairs of the Society relating to the Project at

3 1st March 2015 and

(b) In the case of the Income and Expenditure account of SSA Scheme, excess of of Expenditure

over Income (Deficit), in respect of NPEGEL Income over expenditure (Surplus) and KGBV

Excess of Expenditure over Income (Deficit) for the year ended on that date.

(v) Audit was carried out as per the TOR as laid down in the SSA Manual of Financial

Management & Procurement.(vi)Procurement Certificate: This is to certify that we have gone through the procurement

procedure in vogue in the state based on the audit of the records for the year 2014-15 for

the SIS, OPEPA and inputs from the District Auditors reports. We are satisfied as to the

procurement procedures prescribed in the Manual of financial management & procurement

under SSA is generally having been followed.

For K.C.JENA & CoDate: 15.01.2016 U I N1. Chartered AccountantsPlace: Bhubaneswar ( FRN : 319212E

ED

CA.K.C.3ENA, FCAPartner

M. No- 054561

K. C. Jena & Co.CHARTERED ACCOUNTANTS Continuation Sheet...

Observations as per our audit Report:

1. Difference in Head of Accounts:* In case of Sundergarh DPO, there is difference of Advances both opening

and closing balance shown in Trial balance of SSA Scheme in comparisionwith the advance shown in audited Receipt & Payment Account for the

year 2013-14. However the closing figure (audited of the year2013-14) has been taken as opening figure of the year 2014-15.Hence the maintenance of advance ledger in Tally needs to bereconciled.Particulars Opening Balance Closing Balance

As per Trial 1,68,28,80,066.71/- 1,57,36,60,206.99/-Balance

As per Receipt & 50,66,14,960.11/- 43,76,24,980.89/-Payment A/c

Difference 1,17,62,65,106.60/- 1,13,60,35,226.10/-

* In case of Deogarh DPO, the capital account balance of SSA Scheme as per

Balance Sheet is Rs.31,68,05,577.21 /- where as the ledger maintained in

tally, the balance is Rs.4,94,22,483.21/-. Similarly, the balance of CapitalAccount of KGBV Scheme as per Balance Sheet is Rs(-) 23,90,359/- where

as in the ledger, the balance is nil. Hence the differences be reconciled and

necessary entries may be passed in the Tally of the concerned DPO.

* In case of Balasore DPO, the opening Capital balance of SSA and NPEGEL

Scheme as per Balance Sheet as on 31.03.2015 is Rs.38,71,97,543.99 as

against the ledger balance maintained in tally is Rs.5,47,24,312.94.

Similarly opening Capital Balance of KGBV Scheme as per Balance Sheet as

on 31.03.2015 is Rs.(-) 94,26,055.12 as against the ledger balance of tallyis Rs.1,67,197/-. However the closing figure (audited of the year 2013-14)

has been taken as opening figure of the year 2014-15. Hence the

difference be reconciled and necessary entries may be passed in the Tallyof the concerned DPO.

* In case of Koraput DPO, there is difference of Loans and Advances as perbalance shown in Balance Sheet as on 31.03.2014 of SSA Scheme in

comparison with the Opening Advance in Trial Balance (maintained

through Tally) as on 01.04.2014 . However the statement of accounts and

the Balance Sheet have been prepared on the basis of figures of the

Balance Sheet of the previous Year 2013-14. Hence the difference be

BH SWAR

AGG

K. C. Jena & Co.CHARTERED ACCOUNTANTS Continuation Sheet

reconciled and necessary entries may be passed in the Tally of the

concerned DPO.* In case of Mayurbhanj DPO, the opening Capital balance of SSA and

NPEGEL Scheme as per Balance Sheet as on 31.03.2015 isRs.46,33,39,633.26/- as against the ledger balance of Rs.12,80,11,374.04.

Similarly opening Capital Balance of KGBV Scheme as per Balance Sheet ason 31.03.2015 is Rs.(-) 14,26,67,881.50/- as against the ledger balance of

Rs.40,80,805/-. However the closing figure (audited of the year 2013-14)

has been taken as opening figure of the year 2014-15. Hence the

difference be reconciled and necessary entries may be passed in the Tallyof the concerned DPO.

2. Credit balance of advance shown at the end of the financial year in respect ofSundergarh DPO amounting to Rs.7,26,67,751.25/- under different headsrequire adjustment.

For K.C.JENA & CoDate: 15.01.2016 Chartered AccountantsPlace: Bhubaneswar A BH WARJ, ~ FRN : 319212E

6ACA.K.C.JENA, FCA

PartnerM. No- 054561

ODISHA PRIMARY EDUCTION PROGRAMME AUTHORITY

UNIT-V, BHUBANESWARBHUBANESWAR-751001, ODISHA

Significant Accounting Policies and Notes forming part of

Accounts forming part of Balance Sheet as on 31 /03/2015

1. Legal status of the Organisation: Odisha Primary Education

Programme Authority is a Society registered under Societies

Registration Act 1860.

2. Basis of Preparation of Financial Statements

The accompanying financial statements have been prepared under the historical cost

convention on accrual basis in accordance with generally accepted accounting principles in

India.3. Revenue Recognition:

a) Grant in Aid Received from GOI and GOO is recognised on accrual basis irrespective

of quantum of utilisation

b) Interest on bank deposits / Accounts and Misc. Receipts are recognised on cash basis.

4. Utilisation of Grant in aidThe Society recognised the expenditure on the basis of utilisation certificate received

from the different executing agencies at the District level , BRCC and SMC level .Further ,it may noted that the executing agencies submitted the utilisation Certificate irrespective

of years of Advance Received .

5. Depreciation on Fixed AssetsNo depreciation has been charged by the Society during the year 2014-15.

6. Loans and Advance( Asset)

a. It is observed that utilization certificate for the advances given to BRC, CRC and

SMC are not collected within due time which is violating the Para 75.1 of SSA

manual.

b. It is also observed that, there are unusual delays in adjustment of advances.

c. Advance given both in the name of person as well as institution is pending for

year together for adjustment.

d. Further Advances are given to staffs and institutions without adjusting their

previous outstanding balance. As per Para 74.2 of "Financial Management and

Procurement Manual "it is be ensured that no personal advance should remain

unadjusted for more than one moth otherwise penal action including charging of

interest should be taken. However no interest has been charged and accounted in

such cases since advances are required for reasonable period as nature of activity

demands so.

P,~ & 0of0

':2k

e. Total amount of advance outstanding as on 31.03.2015 under SSA

Rs.11,65,08,45710.52/-, under NEPGEL Rs.6,83,02,4 49 .7 0 and under KGBV

Rs.28,90,47,07 4 .2 0/-.

7. Expenditure shows negative:

The expenditure in respect of "Teachers' Grant" amounting to Rs.9,56,308/- and

"ECCE" amounting to Rs.30,904/- shows negative due to the reason that in the

earlier years , the amount which has been shown as expenditure at the SMC level

has been refunded during this year.

8. Physical Verification of Assets:

As per FMP , manual the assets generated out of funds to be physically verified ones in a

year , No Physical Verification of fixed assets has been conducted during the year 2014-

15.9. Misc Receipt:

It generally includes refund of advances and reveres adjustment of past provisions made

during the earlier years.

1O.Suspense Account:As reported by the District Statutory Auditor, an amounting to Rs.64,54,802 /- shown in

Balance sheet relates to Jagatsingpur District.

11.Loans and Advances (Assets), Receivable for Grant in Aid, Sundry Creditors, Bank

Balances are subject to direct confirmation.

For K.C.JENA & Co State Projec Dir

Chartered Accountants

FRN : 319212E

CA.K.C.JENA FCAPartnerM. No- 054561

N

Date: 15.01.2016Place: Bhubaneswar

646, 1st Floor, Saheed Nagar, Bhubaneswar -751007CHARTERED ACCO UN TANTS Tel.:(0 6 74 )2545292,2545104,Fax:(0674)2545292

Website : www.kcjenaandco.com

Procurement Certificate

State: Odisha

This is to Certify that we have gone through the procurement procedure in vogue in the Statebased on the audit of the records for the year 2014-15 of the SIS, OPEPA & Inputs from theDistrict Audit Reports. We are satisfied as to the procurement procedure prescribed in theManual on Financial Management & Procedure under SSA is generally having being followed.

Details Deviations Amount involved (for declaring mis procurement / any

other recommended action)

Nil Nil

Dt--10 For K.C.JENA & CoDate: 15.01.2016 Chartered AccountantsPlace: Bhubaneswar S aSWAR FRN : 319212E

LACC'

CA.K.C.JENA, FCAPartner

M. No- 054561