INTERNAL AUDIT PRACTICES OF TAMALE METROPOLITAN ASSEMBLY OF GHANA

ABSTRACT Internal auditing plays a significant role in the management of most modern organizations. In the public sector of Ghana, internal auditing is meant to drive greater efficiency and help in the delivery of public services. Metropolitan, Municipal and District Assemblies (MMDAs) have Internal Audit Units (IAU) as independent appraisal functions to examine and evaluate their financial and operational activities. Despite the potential roles of IAUs in MMDAs, the 2013 Auditor General report of Ghana found irregularities in the accounts of the Tamale Metropolitan Assembly (TaMA) in the Northern Region of Ghana. Thus this study examined internal audit practices of TaMA whether they are effective in helping to ensure proper management and accountability of public financial resources. The agency theory served as the framework for understanding the problem. Using a purposive sampling technique, seven key staff formed the sample of the study. Interviews were done to gather data for the study. All interview transcripts were transcribed and analysed according to the study objectives. The results show that the IAU in TaMA carries out its functions as stipulated by the Internal Audit Agency. However delays in the assignment of audits to internal auditors in TaMA as well as inadequate and untimely supervision of their work by the Head of the IAU in TaMA are challenges. It is recommended that the Head of the IAU in TaMA ensure that internal auditors have the duties assigned to them when necessary, and ensure they have all resources they need to be effective in their work. The Head of the IAU must always follow up on the staff to ensure they are carrying out their duties properly.