Bank Audit Special: 30 Instances which may necessitate issue of MOC:

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Bank Audit Special: 30 Instances which may necessitate issue of MOC:

Some of the key instances which may necessities issue of MOC may be as under:

  1. Wrong EMI calculations.
  2. Moratorium interest not added to principal for EMI calculation like edu loan.
  3. Incorrect feeding of Loan term, RoI, date of 1St EMI,
  4. Loan wrongly shown as std on 01.03.2020. like date of npa is before 01.03.2020.
  5. Interest on Interest/compound/penal not reversed for 6m.
  6. Income leakage like processing, penal, inspection
  7. Non provision of expenses
  8. Wrong calculations of intt subventions
  9. Wrong entitlement of intt subvention
  10. Interest subventions not given for 3+3 moratorium period.
  11. Excess DP allowed for 90 days. Goods Rates far excess in stock statements.
  12. Renewal expired and due for .180 days
  13. If account is npa on 01.03.2020, intt on intt will be debited back. Covid provision 5%+5% also to be reversed. Fresh npa provison reqd.
  14. FITL not paid till 31.03.2021
  15. CC intt ‘deferred’ not served in full on 01.09.2020
  16. Sub std is actually D1 /D2/D3/loss this year.
  17. Unrealized Income reversals
  18. Short term loans not converted to KCC. Thus lost intt subventions claims.
  19. Creditors not considered for paid stock and DP
  20. DP allowed on very old debtors
  21. Totalling errors in stock statements
  22. Last year MOC entries pending on 31.03.2021
  23. Tds non/wrong/short deductions
  24. Wrong depreciations
  25. Capital assets charged to PL
  26. WC reduced margins Due to covid not restored on 31.03.2021. Leading to excess DP.
  27. High crop loan sanction compare to thier RTC,
  28. Non agri loan product code given as agri loan product code
  29. Reschedulement of loan without proper sanction .
  30. Non Compliance with the Revenue Circular for recognising revenue like visit charges, Notice Charges, Standing Instructions Charges, etc

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