Finding Text
Finding #2024-004: Inadequate internal controls over Federal Awards Finding #2025-002: Inadequate internal controls for ACG Corporate Type of Finding: Material Weakness in Internal Controls over Financial Reporting Condition: The Company does not have effective internal control policies and procedures or sufficiently trained or experienced personnel in order to ensure the consolidated statements are accurate and complete and prepared in accordance with generally accepted accounting principles, Government Auditing Standards and the Uniform Guidance. Criteria: Effective internal controls over financial reporting, proper segregation of duties and trained and experienced personnel are essential to ensure the financial statements are prepared accurately and completely. Questioned Costs: Unknown Effect: The monthly consolidated financial statements are misleading and incomplete and not prepared in accordance with Generally Accepted Accounting Principles. Cause: The Company does not have an adequate internal control system in place to properly monitor and review the financial reporting process. Repeat Finding: Yes Recommendation: We recommend ACG implement new policies and internal control procedures to ensure the consolidated financial statements are free from material errors or misstatements and presented accurately and completely and in accordance with GAAP, Management’s Comment: Management is in agreement with finding. Auditor’s Comment: Prospera has begun implementing new policies and procedures. Effective January 1, 2026, Prospera has control over ACG and plans to continue to improve the internal control procedures.