Major financial management problems kept the Government Accountability Office from providing an audit opinion on the federal government’s financial statements for fiscals 2013 and 2012.
“The federal government is not able to demonstrate the reliability of significant portions” of its consolidated financial statements for those years, the GAO says in a Feb. 27 report, citing material weaknesses in internal controls.
The Defense Department’s continued failure to produce auditable financial statements is one of the main reasons that GAO can’t offer an audit opinion, the report says. Another is the government’s inability to accurately reconcile activity between federal agencies.
Improper payments, and the inability of federal agencies to know their full extent, also represent a material weakness, the report says.
Keep reading this article at: http://www.fiercegovernment.com/story/unauditable-dod-interagency-activity-are-key-financial-issues/2014-03-04
