Finding Text
Criteria: The U.S. SBA loan guide specifics the required forms and documents that are to be kept for review of all loan
files administered by the Corporations. Additionally, all required forms and documents must be kept for review
for at least six years. Condition: At September 30, 2023, one loan file examined was missing three required documents Cause: The three required forms were not completed by the borrower and retained by the Corporation in the loan file. Effect or Potential Effect: The Corporations' were not in compliance with U.S. SBA documentation requirement. Questioned Cost: None. Context: Of the 9 loan files tested, only 1 file was missing documents; in total that one file was missing 3 documents. Repeat Finding: This finding is not a repeat finding. Recommendation: We recommend that management ensures all loan files contain all documents required by the U.S. SBA. Management Response: The deficient loan file was a particularly complicated file but management agrees that all SBA required
documents should be in kept in the loan files and will work on ensuring all documents are maintained in loan files
going forward.