INTERNAL AUDITING AS AN INSTRUMENT FOR EFFECTIVE MANAGEMENT AND ACCOUNTABILITY OF FINANCIAL RESOURCES IN THE PUBLIC SECTOR

ABSTRACT: This study was carried out  to Internal auditing as an instrument for effective management and accountability of financial resources in the public sector using Udi Local Government in Enugu State. The study adopted a survey research design and with the aid of convenient sampling method, the researcher enrolled 36 participants in the study who are civil servant in Udi local Government Area of Enugu State. A total of 30 responses were received and validated from the enrolled participants. Data was analyzed in simple percentage using frequencies and tables.Hypothesis was tested using Anova statistical tool (SPSS).

Findings from the study revealed that Internal auditing is an instrument for effective management and accountability of financial resources in the public sector however  lack of proper independent exercise by the internal auditor, understaffing in the side of internal audit unit, the internal control system is very weak toward financial and other controls and also non adherence by the auditors on general auditing standard.

The study therefore recommends that internal auditors should exercise the degree of independency on various department within the organisation in performing their duties, the internal control system should be efficient in such away that it will prevent any act of financial crime and detection of fraud and local government council should established a scheme for internal auditors training from time to time because it will enhances there operational capacities and skills in administering the internal control system by way of attending professional seminars, workshop and symposium.