Internal auditing - a management function

Abstract

The internal auditor first gained recognition as a checker of financial information and arithmetical accuracy, and as a verifier of cash and other assets and acted as a general supplement to the external audit function. One of his major functions was to Investigate fraud, defalcation and cases where the organisation had lost money through gross negligence, etc. It soon became obvious that much time and effort could be saved if the internal auditor, as part of his normal function, could insist on proper and economic controls being instituted in the line functions.