Finding Text
Finding 2022-001 - Significant Deficiency - Internal Control over Financial Reporting. Criteria - The NJ Unclaimed Property rules and regulations require that unclaimed checks older 3 years are considered to be abandoned and must be remitted to the State of New Jersey. Unclaimed property must be turned over to the State Treasurer of New Jersey. We noted that the Project has outstanding checks that are over three years old that have not been voided or re-issued and should be remitted to the State of New Jersey. Condition - During our audit, we identified outstanding checks that have been included in the financial records that are older than 3 years. Cause - The entity did not void or reissue the stale checks before they were considered to be abandoned by the state regulations. Effect - As a result of this condition, the Project was not in compliance with New Jersey Unclaimed Property Rules and Regulations and did not file the appropriate annual reports. Recommendation - Management should complete the appropriate voluntary correction forms with the State of New Jersey and remit any abandoned property. Views of Responsible Officials and Planned Corrective Actions - Management agrees with the finding and will review the outstanding checks older than three years and take appropriate action, may it be void the old outstanding check, reissue the check or file voluntary correction forms with the State of NJ.