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Latest Findings

Nawaloka Hospitals PLC (2023)
- Failing to maintain proper accounting records and not providing the required information to the auditor for the financial year ended 31 March 2022 (Reference: Section 6 (1) of the Sri Lanka Accounting and Auditing Standards Act No. 15 of 1995).

Local Loans and Development Fund (2023)
- Not applying the requirements of Sri Lanka Accounting Standard SLFRS 9, when preparing and presenting the financial statements for the year ended 31 December 2021, when SLFRS 9 is effective (References: Paragraph 7.1.1. of SLFRS 9).

Sri Lanka Cement Corporation (SLCC) (2022)
- Not reflecting the investment in equity shares at its fair value (Paragraph 5.2.1 of SLFRS 9).
- Not recognizing certain lands in the financial statements of which SLCC has the control, right and potential to produce economic benefits from the lands (Paragraph 15 of LKAS1).

State Engineering Corporation of Sri Lanka (2022)
   - Incorrectly recognizing a deferred tax asset relating to tax losses without assessing the availability of the future taxable profits.
   - Not amalgamating the revenue from all the projects in the financial statements.
   - Not recognizing an adequate allowance for impairment (LKAS 39)
   - Not making a reliable estimate of the long overdue payable for VAT, GST and NSL by not reconciling the differences between the payable balance recognized in the financial statements and the payable balance confirmed by the Inland Revenue Department.

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