AI English Translation, Pages 51-75
His Excellency the President of the Lay Council, Respected
After greetings,
We list below our observations regarding the audit report of the Hospitals Committee accounts for the six months
ending on March 31, 1946.
P. (1) Para. (B 1) Recording amounts on dates later than their receipt
Such matters were occurring continuously during that time period, and there is no need to take any
measures now as accounting matters are proceeding in a formal manner at the present time.
P. (1) Para. (A) Opening balances on October 1, 1945
The auditor refers here to his report dated 15/7/1936 and suggested requesting the report from the
Hospitals Committee to inform the Council of its contents.
P. (2) Para. (B 2) Confirmation of credit and debit account balances
We support the necessity of obtaining confirmations of account balances at the end of each fiscal year, especially
regarding the accounts mentioned in the report to ensure the accuracy of these balances as much as possible, and we suggest
requesting the Hospitals Committee to take the necessary steps to obtain confirmation of the mentioned account balances at
the present time to verify if there are any suspended or unagreed amounts.
P. (3) Estate of the late Raphael Gabbay
There is no need for this balance (-/8900 Dinars) to remain open, and it is most likely to be transferred to the
Total Income and Expenditure account, as the amounts received from this company's account have been spent during the past
years to cover the deficit in hospital expenses.
P. (3) Storehouse Employees
We support what was stated in the report regarding the necessity of finding competent employees to carry out the accounting transactions for the stores
in a proficient manner; otherwise, it is not hoped that those transactions can be carried out successfully.
P. (4) Uncollectible amounts
We suggest requesting the Hospitals Committee to look into the matter of collecting outstanding debts and writing off the
uncollectible amounts.
P. (4) Amounts paid to the Alford Company
The hospital administration is requested to confirm the arrival of the tools for which these amounts were paid.
(( 2 ))
p ( 5 ) Fabrication of some entries (Shua Zubaida account)
This paragraph is presented to the Council for information only as no action can be taken regarding it
at the present time.
p ( 5 ) Shamash Brothers Store account
We see the necessity of trying persistently to obtain a confirmation of the account from the mentioned store in view of
the ambiguity appearing in it.
p ( 5 ) Sir Elly Kadoorie allocations
The paragraph is presented to the Council for deliberation as to whether it is possible to collect these allocations from
the children of the late Sir Elly Kadoorie, otherwise it should be decided to write them off.
p ( 6 ) Ketubot revenues
We support the auditor's note regarding the necessity of issuing a list by the Spiritual Council of Ketubot revenues
from time to time for auditing purposes.
p ( 7 ) Revenues of Rifka Nouriel properties
The accounts of these properties are kept accurately by the trustee and there is no need to audit them, however
the accountant can take the revenues of each property separately for the purpose of recording them on this basis in the accounts
of the hospital like the rest of the properties.
As for the remaining properties belonging to the hospital, I believe they will be within the work of the
newly formed Properties Committee, and we suggest proposing to the Hospitals Committee to take a decision regarding each lease contract so that
the auditors can verify the correctness of the amounts in the register.
p ( 8 ) Paragraphs ( 3 and 4 ) Dispensary endowment and Meir Elias Rima Kadoorie Hospital
The contents of the two mentioned paragraphs are presented to the Council for confirmation.
p ( 9 ) Recovery of some expenses
In view of the arrangement recently agreed upon regarding the method of recording expenses and revenues, we believe that
the hospital's accounting is now proceeding according to the rule now required by the auditor, and in any case we suggest informing
the contents of this paragraph of the report to the Hospitals Committee with a recommendation to completely abandon the old entry method.
p ( 10 ) Hospital violations regarding promotions and appointments
Payment of additional salaries for leave periods not taken by some employees
Payment of amounts without a committee decision
( 3 )
These paragraphs are presented to the Council for information only, as nothing can be done about them now.
P. ( 12 ) Purchase of soap without a list or document
⟦line⟧
We believe it is possible to verify the validity of this purchase since the seller is known.
P. ( 13 ) Entitlement of doctors Melz and Raouf Sabih from analysis fees
⟦line⟧
We suggest referring this case to the Hospitals Committee to take whatever action is possible regarding it.
P. ( 13 ) Auditor's notes on accounting principles
⟦line⟧
This paragraph is to be communicated to the Hospitals Committee to adopt the auditor's recommendations.
Please accept our respect
⟦signature⟧
Gurji ⟦...⟧ Mathlon
Sassoon Bashi
Baghdad on 24 / 12 / 1947
Page - 16,000 Dinars Mr. Saleh Abu Al-Qaid - Proposal for inquiry
2 and verification of this case from Mr. Munir Dankour - before giving
the Council's decisions
- 3 The committee is requested to express its opinion and take what is necessary to direct
responsibility for deficiencies in the future
- 4 Salaries - The committee's proposal is approved
- 5 The content of the report shall be communicated to the committee to express its opinion regarding
the late property rents and I see
the auditing of properties with the records of the Property
Committee, especially regarding the four
shops numbered 25/27/29/22
- 6 The overpaid amounts are minor and
we do not see a need to take measures regarding them
especially after more than two years have passed since their occurrence
Chairman
50
(2) I do not believe it is necessary to refer to the committee ⟦regarding that⟧ as the committees do not have jurisdiction
⟦over such⟧ purely financial matters
( 6 )
. The person has no right to demand its return in the event of leaving work for any reason whatsoever, and his right in this regard is permanently forfeited.
⟦line⟧
I have read the content of the above paragraph and agreed to it (Signature)
. The employee agrees not to disclose any secret of his work or any information pertaining to it to any party whatsoever.
⟦line⟧
I have read the content of the above paragraph and agreed to it (Signature)
. The person has no right to claim any compensation of any kind and for whatever reason, upon leaving work.
⟦line⟧
I have read the content of the above paragraph and agreed to it (Signature)
. The employee is bound by all instructions issued by the management, which are considered an integral part of this contract.
We have agreed to the above terms
Employee's Signature
General Manager's Signature
31 / 7 / 1961 Baghdad
Audit of Meir Elias Hospital Accounts
For the year ending on 31 March 1947
Journal Book
1- Cash transactions (Audit of cash books and matching their entries under the relevant account
headings with the Journal).
Audit payments against all invoices and receipts supporting the payment as needed. Note
unusual payments that require a committee decision or approval from the Lay Council.
Audit receipts against all relevant receipts - note the sequence of receipt numbers.
2- Review all other journal entries and verify their accuracy. In the case of expenses recorded as
claims in the accounts receivable, the same notes indicated for payments above apply.
3- Audit journal entries to the ledger only (four months per year).
(Note) Before starting paragraph 2 above, the following should be audited (especially regarding the journal entries marked
below).
Daily Marketing Lists
Review all lists in sequence according to their dates and perform the following during that:
Check the manager's approval, the accountant's signature, the marketer's signature, the sub-storekeeper's, and the
kitchen officer's. Match some lists with the daily requirements regarding unusual items.
Examine all lists (or breakdowns etc...) 15%.
Audit the lists with their relevant journal entries (use the subsistence account entries in the ledger
to verify that no list is repeated).
(See audit of store assets) - Audit part of these lists with the sub-store register (daily
supply) and with the kitchen register (5%).
Al-Maqdish Lists
Audit all lists with their relevant journal entries. (Use the Al-Maqdish account
to find the entries). Note the sequence and verify the accuracy of the total in part of the lists.
Rima Khadoori Hospital Lists }
Dar Al-Shifa Dispensary Lists }
Audit most lists with journal entries (use ledger accounts).
Verify the summation of some lists. Review the lists for any
unusual payments.
Ledger Book
Match the opening balances on 1 April 1946 with the balance sheet of 31 March 1946.
Audit the totals 100%.
Review all accounts to verify their accuracy, and below are notes on some accounts:
(To be continued)
For filing
Audit of Accounts
( 2 )
Reconcile the balance with the budget of March 31, 947.
Audit the bank account with the passbook and reconcile the account as of March 31, 947, and request
a balance certificate.
Accounts Receivable Ledger
Reconcile the opening balances on April 1, 946, with the budget of March 31, 946.
Review all accounts and verify that all receivables as of March 31, 947, are realized
for payment or collection.
Reconcile the balances with the budget of March 31, 947, and match them with the total in the general ledger.
Salary Receivables Ledger
Reconcile the opening balances on April 1, 946, with the budget of March 31, 946.
Review all accounts and look into the following:- (especially in doctors' accounts and other
important accounts).
Monthly salaries in case there are increases (request a decision from the committee and, in necessary cases,
the approval of the Physical Council).
Look into whether amounts were spent for leaves (request a decision from the committee for disbursement, etc...)
Verify doctors' revenues (use the doctors' revenue account in the ledger). Audit a portion of them.
Request confirmations for important accounts as of March 31, 947.
Reconcile the balances with the budget of March 31, 947, and match them with the total in the general ledger.
Audit related to some ledger accounts regarding revenues.
1- Analysis Records - Internal Analyses
Reconcile the monthly total with the total recorded in the general ledger - note the outstanding items
and verify their collection or any allowances that may occur, etc...
Verify the monthly total (two months per year).
Verify the monthly doctors' revenues.
External Analyses
Sum all receipt books belonging to this record.
Audit what was recorded from them in this record (25%).
Verify the totals (four months per year).
Verify the hospital's monthly share (use the ledger). Recorded in cash (100%).
(Consult the auditor (⟦Arouk⟧) regarding the doctors' share).
2- X-ray Record
The same audit as indicated for internal analyses.
(To be continued)
( 3 )
Continuation of Revenue Audit
Operations Register }} Browse these two registers regarding the birth operations of paying patients and verify
Births Register }} as you wish that the necessary fees have been collected.
( Select a portion of them )
3- See page ( 4 )
Property Register
Request a table from the accountant showing the details of revenues and expenditures for each property
separately and match the total with the ledger.
Request the lease contracts.
Note the remarks in the report on the accounts for the year ending March 31, 1946.
Store Assets - General Store Register regarding food, fuel, soap,
porcelain, furniture, etc...
General Store Register regarding medicines
General Store Register regarding surgical instruments
Incoming to the General Store
Mark during the audit of cash payments or journal entries the important purchases belonging to this store
and match the incoming quantities with their respective registers.
Outgoing ⟦from⟧ the General Store
Note what is recorded in these registers as outgoing to the sub-stores and verify its entry as incoming in
the sub-registers (Pharmacy register, daily supply store, and sometimes the kitchen register) Pharmacy
register 100%, daily supply and kitchen about 50%. Verify other outgoing materials
(partial audit as needed). See the director's approval and the recipient's signature.
Audit the totals of important materials to verify the final balance and match that with the final list.
Verify the prices of assets on March 31, 1947 (examine important materials).
Pharmacy Register
There is a register with details of daily expenditure signed by the relevant departments (it is
difficult to reconcile this register with patient records)
Audit the totals of important materials transferred daily to the general register - (two full months).
Register of the ⟦medicine⟧ store for final medical supplies with the inventory list (important materials and their costs)
Browse the daily expenditure and note the director's approval and the recipient's signature, then
sum some materials (5%).
Kitchen Register
Browse this register and audit what you wish of it
Audit the totals of important inventory lists and note their deduction from their respective accounts in the ledger.
( To be continued )
( 4 )
Continuation of Revenue Auditing
3- Verify all other revenues according to the correspondence and related documents
etc. -- for example
Revenues of Zanqat Nurail Endowments | See report of 3/31/1946
Revenues of External Endowments | See the relevant correspondence
Guarantee of Roses and Jasmine | See the contracts related to these guarantees
Guarantee of Fruit and Buckthorn |
Auditing of books from 3/1/47 to 3/31/1947
New records were used as follows:-
1- A special book for fund transactions to be audited separately
It is totaled and transferred to the ledger accounts
2- Patients' accounts receivable journal
The debt column is totaled and matched with other contracts at the end of the month
Audit the journal entry related to this record
3- Patients' accounts receivable cards
Match the 3/31/1947 balance sheet and match it with the total in the ledger
Browse all cards related to this balance sheet and verify that all
accommodation fees incurred by patients have been recorded on 3/31/1947.
. Minutes Book
Read all resolutions and mark everything related to the accounts.
Concluding Note
This is all that appeared to me from auditing the records etc... and the auditor may see a necessity
to add to them or subtract from them according to my discretion, and there may be transactions that I have not
encountered the likes of previously.
It is advisable to read the two reports on the accounts for the year ending 9/30/1945 and the six months
ending 3/31/1946.
⟦line⟧
Item 2 25/8/48
57
14
File
⟦illegible⟧
⟦illegible⟧
14/11/1947
Mr. Shlomo Somekh, Respectfully
After greetings
The Council decided in its session held on 13/11/1947 to elect you to perform
the audit of the accounts of the Lay Council and the Hebra Qaddisha Society for the 46/1947 fiscal year
ending at the end of March 1947.
Please proceed with this mission at your earliest convenience and submit your report on the audit results to the Council.
Vice President
Copy to:-
Accountant of the Lay Council
Hebra Qaddisha Society
Number 2 4/20/948
5/10/948
⟦illegible⟧
4/ /1948
To the honorable Mr. Shlomo Somekh, respected
After greetings,
The Physical Council decided in its session held on 4/1/1948 to elect you
to audit the accounts of the Physical Council for the fiscal year 1947/48 ending at the end of
March 1948.
Please commence this task of yours at the earliest possible opportunity and submit your report on the result of the audit
to the Council. Best regards.
Vice President
Copy to - the Accountant - for information
For filing
⟦illegible⟧
⟦illegible⟧
Auditing
⟦illegible⟧
Auditing of Hospital Accounts
17 / 10 / 947
The Honorable Mr. Asher Hay, Respectfully
After greetings,
The Lay Council has nominated your selection to audit the accounts of the Israeli Hospitals Committee
for the fiscal year ending on 31 / 3 / 1947.
I request you to kindly proceed with auditing the aforementioned accounts and submit your report regarding them to us
as soon as possible. With best regards.
The President
Copy to His Excellency the Chairman of the Hospitals Committee, Respectfully
⟦illegible⟧
A
Notes on the report of the auditor of the Physical Council
1 - a - The only thing that can be done now is to compare the amounts spent during the months of
April and May with the rest of the months to ensure that the monthly payment is without accumulation
because ⟦at a ratio⟧ reasonable
(b) Inquiry - and this matter is in the accounts of the councils periodically and searching the lists and taking
a decision to notify the council administration of the necessity of notifying the council whenever a deduction of this
kind occurs month by month
2 - a - Not neglecting this aspect and taking care to obtain receipts for every amount exceeding
one dinar
2 - b and c - Considering the possibility of recovering the overpaid amounts, which total
7 dinars
7 - a - Taking an undertaking to deduct the 25 dinars and being satisfied with it remaining in his custody
b - The amount 4/500 and 4 dinars as we will mention above
in the house of deliberation in the endowment and ensuring its correctness
8 - There is no harm in recording the total of the endowments in one transaction, and as for organizing lists for the endowments
we support what was stated in the auditor's note
10 - We see it appropriate to state the status of this asset in relation to the financial position for the year
following the year that was audited
12 - Conducting an accounting settlement for the contractors' accounts if the construction was completed in the
set year, and if the construction was not completed, it is advisable to mention that
in summary in the auditor's report
13 - We support the auditor's note on the necessity of keeping records for properties and furniture
14 - We agree to organize the books in the proposed form after examining it technically
15 - This matter has been settled
And apart from what was mentioned above, it is noted that a general balance sheet showing assets
and liabilities clearly was not organized, as the auditor was satisfied with extracting balances only
And this must be organized from now on since the items and data have come to represent the growing amounts
for the year and profits, so if there was a ⟦carried over⟧ amount for a second year, it would be mentioned according to the course
of that in the report
And the amount is to be withdrawn or secured with money actually, actually
And it arrives by itself
(2)
(a)
Secretarial inquiries of the community regarding the nature of the following accounts
(To) | Loan of Rachel Shahmoon School | 225 |
(From) | Nuriel ~ ~ | 2568 | 400
From | Waqf of Shashua | 225 | 900
To | National School Allocations | 475 |
To | Suspended funds of Al-Mulla Association | 158 | 091
To | Dispensaries Allocations | 200 |
From | Chemical Building Reconstruction Account | 2497 | 620
Where was the rental income of Khan al-Shorja recorded?
Baghdad, March 10, 1948
To the Honorable President of the Lay Council.
Baghdad
Subject: Report on the audit of the Lay Council's accounts
for the fiscal year 1946 / 1947.
With reference to your letter No. 57 dated 11/14/1947,
I have audited the accounts of the Lay Council for the period from 4/1/1946 to 3/31/1947,
and I record below the results of the audit for your information.
Expenditures Section
1 - Salaries - Community Administration - Spiritual - Slaughterhouse - Hospices.
I audited the monthly salary items for the institutions mentioned above paid
during the year 1946 / 1947 against the approved staff lists and confirmed that all changes
or appointments were supported by decisions of the Lay Council. I also confirmed
the presence of signatures of the beneficiaries acknowledging receipt, except for what I noted as follows:
a - I did not find lists of salary items for the employees and workers of the slaughterhouse for the months of April
and May 1946.
b - Monthly lists have been organized for all salaries of the slaughterhouse employees and workers since
June 1946, and they included deductions from some employees and workers
amounting to between -/500 Dinars and -/400 Dinars per month. It appeared that these were added
to the salary of the head of the slaughterhouse, Rabbi Daoud Subhi, and paid to him. Upon inquiring
about this rule, I was told that these deductions are made by order of the head of the
slaughterhouse and paid to him for his payment of wages to reserve employees who are used
when some original employees are absent from work. Among these deductions were
the salaries of Shaul Shomail and Nassim Al-Shamma' for several months of the year, amounting to -/1.250 Dinars
monthly for the first and -/9.750 Dinars monthly for the second.
2 - General Expenses
a - Community Administration. Monthly schedules are organized for the general expenses actually spent.
⟦947⟧
After being signed by His Eminence the Head of the Community, the approval of the Lay Council is obtained
for them; however, these lists were not supported by receipts from the recipients for the
greatest part of the contents of the mentioned lists, which necessitated auditing the existing receipts
only and listing below the amounts spent which exceeded five Dinars for review:
Amount | Disbursement Entity | Date
5 Dinars 695 Fils | Karachi Coal | List for the month of December 946
12 Dinars 975 " | " " | " January 947
7 Dinars 240 " | " " | " February 947
There are also some expenses such as tips, aid to the poor, and a lump sum
of 14/- Dinars monthly for the meat keeper, and although these expenses are not supported by receipts,
they are carried out under the supervision of His Eminence the Head of the Community, and it is impossible to obtain receipts
for them, as they are in the nature of tips and consist of small amounts.
B - The Spiritual and Slaughterhouse Administrations. Likewise, lists are organized for these specific
expenses spent by the Spiritual and Slaughterhouse administrations independently, and the approval of the
Lay Council is obtained for them, but these lists were not supported by any receipt whatsoever.
2- The Lay Council approved by its decision No. 51 dated 11/28/946 the spending of 44/- Dinars
for the travel of the community delegation to Najaf on 11/12/946, but this expenditure was
not supported except by a receipt from the car driver for an amount of 8/- Dinars for his car fare round
trip, while for the rest of the amount, no list was organized regarding the method and nature of the spending.
Excess services entry -
A - List of administrative expenses for the month of May 946
Included within the mentioned list was the spending of an amount of 2.400/- Dinars for electricity fees,
while the receipt obtained from the company was for an amount of 2.400/- Dinars, for the period
from 4/22/946 until 5/22/946.
B - List of administrative expenses for the month of August 946
Included within the mentioned list was the spending of an amount of 8.150/- Dinars for newspaper subscriptions
and associations, but the total of the items of these amounts reaches 7.850/- Dinars.
2- Salary list of the Spiritual Council for the month of June 946
The total of the salary items including the high cost of living reaches 299.570/- Dinars, i.e.,
240.570/- salaries and 59/- Dinars high cost of living allowance, but they were entered into the expenditure
In the amount of 299/570 Dinars, i.e., 220/570 Dinars for salaries and 79/- Dinars for cost of living allowance.
The check drawn by the accountant to his order for the payment of institutional salaries was based on
the total salaries and allowances of the Spiritual Council in the amount of 299/570 Dinars. While the correct amount was
289/570 Dinars.
4 - Allocations of the Lay Council for private schools.
I have confirmed that the Lay Council's allocations for private schools for the year 42/43
have been fully paid in monthly installments; however, only a few receipts were obtained, and
the delivery of the check to the school principal's guardians was deemed sufficient.
5 - Expenses actually spent during the year 42/43 in relation to the approved allocations
in the budget.
The expenses actually spent during the year 942 / 943 amounted to 22448/295 Dinars,
corresponding to 21472/- Dinars in the approved budget, i.e., an excess of 1066/295 Dinars,
as detailed in the attached Appendix (A). The excess in the community administration expenses is attributed
to the lack of an appropriation for building cells containing ⟦the tomb⟧ amounting to approximately 200/- Dinars,
and the purchase of a car for 535/- Dinars, and after deducting the value of the old car sold
for 210/- Dinars, the amount spent for that construction becomes 325/- Dinars, as well as the spending of
125 Dinars as bonuses to teachers, and there was no appropriation in the budget spent for that construction.
As for the excess occurring in the administrative expenses of the Spiritual Council and the slaughterhouses, it was within the general
expenses only.
Revenue Department
6 - Qabiliya Revenues.
I have confirmed that the Qabiliya commitment amount of 2040/- Dinars has been
recorded in the relevant registers correctly.
7 - Ketubot Revenue Yield.
The registrar of marriage contracts submits weekly lists to the Lay Council containing the marriage
contracts, giving them serial numbers with a statement of the Ketubot amount and the collected fee.
After deducting his collection share of 10 1/2 % of the total fees collected,
the surplus yield is divided equally between the hospital and the Lay Council.
I have audited these lists in detail regarding the fees collected and the deducted collection
share, and the audit resulted in the following findings.
A - The fees collected according to the list dated 4/9/946 reached an amount of
545/- Dinars, and after deducting the prison's entitlement in collection amounting to <del>20/000</del> Dinars, it became
The net yield is 525/000 Dinars, and the share of the Lay Council was half, amounting to
262/500 Dinars, however, 15/- Dinars were deducted from this amount and recorded in half
the fee amounting to 70/- Dinars on the occasion of the marriage of the head of the community's daughter, and I did not obtain a decision
for this deduction, and I also see the deduction of this amount without dividing the yield between the hospital
and the Lay Council.
B - From the list dated 6/22/46, 4/- Dinars were deducted from the Lay Council's share as a tip to
the additional magazine without deducting this amount from the yield before its division, and likewise, from
the Lay Council's share in the list dated 4/2/947, 400/- Dinars were deducted without the hospital's participation
in half of this amount.
C - No fees were collected on the Ketubot amounts mentioned below, except that there are
explanations on the back of copies of those lists stating they are exempt from the fee according to a Beth Din certificate.
Scribe Serial Number | Scribe Amount | List Date
538 | 1500/- Dinars | June 946
5 | " 700/- | October 946
125 | " 1000/- | November 946
D - No fees were collected on Ketubot whose amount is 75/- Dinars and below,
and I have not seen a decision for this exemption because it is very old, and exemptions of
this kind during the mentioned year 46/47 ⟦ranged⟧ between 50/- Dinars
and 75/- Dinars.
8 - Certificate Gratuities
The certificate gratuities collected during the fiscal year 46/47 reached 887/500 Dinars,
by collecting 250 fils from every applicant for the first time requesting a certificate for his marriage contract,
and the accountant issues a receipt for that, however, these amounts were not recorded in the journal
except after finishing the receipt book which contains 50 receipts, and then
the amount is recorded in one transaction of 12/500/- Dinars in the accounts as revenue and paid to
the bank from the certificate gratuities. The accountant has a special register in which he records the names of applicants
sequentially for this purpose, and I have browsed this register and it appeared that it contained several
certificates provided without collecting the mentioned fee of 250 fils and it was not recorded
In this register, due to the exemption, the current accountant must mark next to the payer's name
the receipt number given or "exempt from fee" - or for the status of the case. Therefore, I suggest that a list be organized
at the end of each month at least, including the details of these exemptions, and certified by the head of
the community or his authorized representative. This is to facilitate review and auditing.
9 - Religious Court Donations
The donations of the Religious Court during the last three months of the year 946/947 reached
92/250 Dinars, and they were audited according to the lists submitted for that purpose, and I confirmed the correctness of their entry in the accounts
in the proper manner.
10 - Summary of the Lay Council Accounts for the Fiscal Year 946/947
I attach Appendix (B) which includes a summary of the Lay Council accounts for the year 946/947.
The result of the account showed a deficit of 872/244 Dinars, and after deducting the surplus
amounting to 168/114 Dinars from the previous year, the net deficit carried forward to the year
947/948 fiscal year became 704/130 Dinars.
11 - General Ledger Balance as of 3/31/947
I attach herewith Appendix (C) which includes the General Ledger balance after confirming the correctness of
its application with the entries of the aforementioned register.
12 - Accounts Receivable Ledger Balance - as of 3/31/947
I attach Appendix (D) which includes the balance of the Accounts Receivable ledger after confirming the matching of its entries.
There is nothing requiring comment except that the amounts paid to the contractors Messrs. Karmi Swaih
and Shua' Zalouf, suspended in this account, reached 9000/- Dinars as of 3/31/947.
A settlement of their entries was made in the amount of 4000/- Dinars as a final expenditure against the balance of the Cooperation Fund,
so the suspended amount became 5000/- Dinars. However, I did not find any statements from
the aforementioned gentlemen as to whether they have completed the works for which they are entitled to
the amounts recorded against them.
13 - Property and Furniture Registers
No subsidiary register was kept for the endowed properties to know their number and types in order to track
their rents, and no furniture register was organized except for subsidiary lists containing the furniture contents of each
room of the community administration rooms. I have guided the accountant on how to organize this register
and its method.
14 - Bookkeeping
It was mentioned in the audit report of the Lay Council for the year 946/47 a proposal regarding changing
the accounting method from the primitive way to the intermediate one, and I have discussed with the current accountant
Mr. Shuaa regarding the matter of keeping accounts in the proposed method, and I found in him the ability and competence
to perform <del>that</del> this matter, which leads me to ⟦that I⟧ also suggest stopping the 'Blanjo' method
especially since the accountant has a strong desire for that so that he has time to perform his
other administrative duties.
- 15 Lay Council allocations for private schools.
The Lay Council follows the established fiscal year for accounts, while the private schools
follow the academic year in their accounting matters. On the occasion of my auditing the accounts of
the schools, I would like to state in this regard that the schools face some difficulty regarding
the allocations assigned to them when settling their annual accounts on September 30 of
each year. If the Council's allocations were paid to the schools in monthly installments
exactly in proportion to the annual allocations, then the schools would only have to take
half of the Council's allocations for two consecutive years according to these allocations ⟦but they⟧
were not exactly in proportion to the annual allocations in some months and for some schools.
So I decided to instruct the Lay Council accountant to pay attention to the matter of paying
half of the assigned allocations to each of the schools at the end of every six months
of the year, in order to prevent any increase or decrease in the allocations
when the schools settle their annual accounts.
- 16
Before concluding this report of mine, I would like to thank His Eminence the Head of the Community,
the Secretary, and the Accountant for the assistance I received from them during the audit period.
⟦signature⟧
The Auditor
Appendix (L) Continuation of Paragraph 5
Expenses spent during the year 42/43 and the corresponding budget allocations
Entity | Approved for year 42/43 | Actually spent during year 42/43 | Overrun | Savings | Remarks
Al-Yusr Kut School | 750 | 750 | | |
" Frank In-kind | 500 | 500 | | |
" National for Girls | 700 | 700 | | |
" Rachel Shahmoon | 1100 | 1100 | | |
" National | 450 | 450 | | |
" Masouda Salman | 1050 | 1050 | | |
" Menashi Saleh | 4850 | 4850 | | |
Schools Committee | 600 | 600 | | |
The Midrash | 1225 | 1225 | | |
The Hospital | 2000 | 2000 | | |
Al-Ayouq Dispensary | 200 | 100 | | 100 |
Tawfiqi Torah Society | 170 | 170 | | |
" Charitable Sewing | 150 | 150 | | |
Kindergarten | 60 | 60 | | |
Cemetery Guarding | 90 | 90 | | |
Women's Aid Society | 150 | 150 | | |
Marriage Supplies | 4000 | 4000 | | |
Renovation of Khani Al-Tasawn | 1476 | 1486 | 10 | |
Administration and Staff Salaries | 2290 | 838 | 2128 | 728828 |
General Expenses - as is - | 2992 | 422 | 2216 | 422 | 222
The Spiritual Council | 1412 | 622 | 1494 | 622 | 81
Cemetery Administration | 1202 | 508 | 1172 | | 29 | 492
The Hospices | 2252 | 994 | 2259 | 994 | 6
Washing of the Dead | 125 | 125 | | |
Tools | 22272 | 295 | 22428 | 887 | 1195 | 492 | 129
| | 22272 | | 492 | 129 |
1066/295 1066/295
Appendix (B) Continued Paragraph (10)
Summary of the Physical Council accounts for the year 946 / 947
Expenses | Revenues
Fils | Dinar | |
295 | 22428 | | Expenses actually incurred during the year 946 / 947
| | | Detailed in Appendix (A)
| | 26040 | Al-Qabiliya Commitment
| | 5228 | Yield of office revenues
| | 187 | Certificate fees
| | 96 | Religious Court donations
| | 50 | Rent of the injured persons' place
295 | 22428 | 31701 | Total
| | 31701 |
242 | 1726 | | Deficit for the year 946 / 947
182 | 161 | | Surpluses from the previous year 45 / 46
160 | 1565 | | Net deficit carried forward to the year 47 / 48
Appendix (C) continuation of paragraph (11)
General Ledger Balance at the end of the year 46/947
Statement | Debit - Dinar | Debit - Fils | Credit - Dinar | Credit - Fils
Schools Committee Loan | 225 | - | |
" " Rachel Shamoon School | | | 225 | -
" " Nuriel School | 2568 | 400 | |
Electricity Insurances | | | 22 | 495
Dispensary Account | 2629 | 415 | |
Ottoman Sheikh No. 2 | | | 2629 | 415
Total Liabilities | 25249 | 257 | 200 | -
Notes Receivable | | | 26400 | -
Net Deficit | | | 1565 | 160
| 30672 | 072 | 30672 | 072
Appendix (B) Continuation of Paragraph (12)
Balance of Liabilities at the end of the year 946 / 947
Statement | Credit | Debit
| Fils | Dinar | Fils | Dinar
Suspense from hospitality allocations | - | 100 | |
" Acceptable | | | - | 29210
Messrs. Cohen Sofer and Shua Zelouf (Repairs undertaking) | - | 5000 | |
Slaughterhouse water fees for the year 46 / 47 | | | 600 | 22
- Ditto - for the year 47 / 48 | | | - | 60
Shamshua Endowment | | | 948 | 225
Repairs of the National School | - | 475 | |
Repair account of Khan Al-Taawun | | | 620 | 2497
His Eminence the Head of the Community for the permanent advance | - | 100 | |
Used clothing | 221 | 271 | |
Suspense for the Cemeteries Association | 091 | 158 | |
Suspense for dispensary allocations | - | 200 | |
Ottoman Bank No. (1) | 479 | 1282 | |
| 901 | 7687 | 158 | 32117
Reverse of total liabilities | 457 | 25349 | - | 200
| 158 | 33317 | 158 | 33317
Ottoman Bank Account No. 1 | |
| Fils | Dinar
Payments | 564 | 16420
Receipts | 636 | 13216
Balance as per Passbook | 928 | 3213
Uncashed checks | 459 | 1930
| 479 | 1282
Baghdad on 5/22/48
⟦Department Copy⟧
142
5/10/1948
The honorable Mr. Shlomo Somekh, respected
After greetings and respect
Enclosed you will find a check to your order on the Ottoman Bank No. 688001 dated 5/15/1948
In the amount of fifteen Dinars for your auditing fees of the accounts of the Community Administration for the financial year 1946/47.
Please acknowledge receipt, and stay well
Vice President
Attachments
A check
For filing
⟦Auditing of accounts⟧