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You might want feedback on whether the client feels the audit addressed the right 
issues & hit the mark in doing so, but I'd be very wary of intimating that the audit 
set out to uncover any fraud in the areas reviewed, unless that was the specific 
emphasis of the project. Setting out to discover fraud takes a totally different 
mindset & approach to "normal" audits &, unless it's specifically aimed at, I suggest 
should not be an add-on or even hinted at. I wouldn't want to plant such a thought in 
the client's mind. 
 
Sure, the use of ACL/IDEA etc.during normal testing may indicate some area to follow 
up on. If so, I suggest that would require a separate exercise requiring careful 
planning etc. Let's not raise unrealistic expectations. Normal audit procedures are 
not generally aimed at uncovering fraud, so let's not give the impression they are. 
Remember, watchdogs, not bloodhounds.Generally we'd be looking at the adequacy of 
controls to assess management's governance role or at operational effectiveness. If we 
find shortcomings that enable fraud to exist or continue undiscovered, we'd comment. 
But I don't think we should be sending a general message that we're out to find fraud 
as a primary objective.

David Cornberg

Supervisor, The City Auditor's Office, # 8005 

The City of Calgary

mail to <  <mailto:[EMAIL PROTECTED]> [EMAIL PROTECTED]> 

phone: (403) 268-5674         fax: (403) 268-5411

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