Chapter 16
Saskatchewan Government Insurance

Table of Contents

Provincial Auditor Saskatchewan
1996 Fall Report

193

 

Audit objectives

.04 The objectives of our audits were to form the following opinions about SGI and SAF to report the results to the Legislative Assembly:

• an opinion on the rules and procedures used by SGI to safeguard and control its and SAF's assets and ensure SGI's compliance with authorities. We limited our audit to those authorities governing SGI and SAF relating to financial reporting, safeguarding assets, revenue raising, spending, borrowing and investing activities;

• an opinion on SGI's compliance with those authorities; and

• an opinion on the reliability of SGI's and SAF's financial statements.

Our audit conclusions and findings

.05 My Office worked with KPMG, SGI's and SAF's appointed auditor, using the framework recommended by the Task Force on Roles, Responsibilities and Duties of Auditors. KPMG and my Office formed the opinion referred to in Paragraph .06.

.06 In our opinion, SGI's and SAF's financial statements are reliable.

Provincial Auditor Saskatchewan
1996 Fall Report

195

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.07 In KPMG's opinion, SGI had adequate rules and procedures to safeguard and control its assets and SAF's assets. Also, in KPMG's opinion, SGI complied with the authorities governing its activities and activities of SAF.

.08 My Office has not yet formed an opinion on SGI's compliance with the authorities governing its activities and activities of SAF, and on SGI's rules and procedures to safeguard and control its assets and SAF's assets for the reasons described in paragraphs .11 to .13.

.09 For the reasons described in paragraphs .11 to .13, we did not rely on the appointed auditor's reports on SGI's rules and procedures to safeguard and control its assets and SAF's assets and SGI's compliance with the authorities governing its activities and activities of SAF.

.10 The Provincial Auditor Act requires us to do additional audit procedures when we are unable to rely on the reports of an appointed auditor. We have not yet started our additional work on SGI's rules and procedures to comply with authorities and to safeguard and control its assets and SAF's assets. We will report our findings in a future report.

Information on new computer systems required

.11 KPMG did not provide us all the information we needed to form our opinion on the adequacy of SGI's new computer systems implemented in 1994 and 1995. The audit files did not fully describe the new systems. As a result, we lacked information to form an opinion on the adequacy of the new systems.

.12 In March 1996, we asked KPMG to provide us specific information about SGI's new systems. On September 23, 1996, we were provided some of the information we asked for on SGI's new systems. We were also told we should contact SGI to obtain the rest of the information.

.13 As a result, we plan to obtain the information about the new systems from SGI directly. We plan to do this work in the Fall of 1996.

Provincial Auditor Saskatchewan
1996 Fall Report

196

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