Terms of Reference (TOR) for Audit

For the Audit of HI-BGD Executed Project in Bangladesh (2021)

A. Background

Handicap International (HI) is an international aid organization specializing in the field of disability. A non-governmental, non-religious, non-political, and non-profit making, it works alongside persons with disabilities and other vulnerable groups, whatever the context, assisting them and supporting them in their efforts to become self-reliant. Since its creation, the organization has set up programs in approximately 60 countries and intervened in many emergencies. It operates as a federation made up of a network of eight associations (Belgium, Canada, France, Germany, Luxembourg, Switzerland, United Kingdom, USA) which provide human and financial resources, manage projects and raise awareness of Handicap International’s actions and campaigns.

Handicap International (HI) is a registered (no: 1575) International Non-Governmental Organization with NGO Affairs Bureau in Bangladesh. The mission of HI is to provide services to persons with disabilities. The main office is based in Dhaka, and presently there are 3 site offices in Sitakundo, Teknaf, and Kurigram.

The ongoing project of HI-BGD:

  • Support to Development of People with Disabilities and Women's Integrated Sexual
  • The FD7-8th phase "Humanitarian Assistance to crisis-affected FDMN’S and Host Community adapted to COVID-19 Pandemic in Cox's Bazar, Bangladesh”
  • FD7-ECHO “Humanitarian Assistance for FDMN's and Host Community population in Cox's Bazar- affected by forcible displacement and COVID-19 Pandemic"

B. Audit Services Required

The external auditor is required to conduct audits of HI-BGD ongoing and implemented Project stated in paragraph D. on behalf of Handicap International, Bangladesh as per Bangladesh NGO Affairs Bureau (NGOAB) regulation.

C. Scope of Work

The audit is to be conducted by Bangladesh Standards of Auditing (BSA) with emphasis on Bangladesh Regulatory requirements (e.g NGOAB, NBR e.tc). Which includes but is not limited to:

  • Opinion on the true & fairness of the overall financial operations
  • Verification of the audited period expenditures represented in the financial statements.
  • Verification of funds received and expenditures by the presented Financial Statements.
  • Verification of VAT & Tax Schedule is prepared following the requirements of NGOAB and NBR
  • Verification of accuracy of Assets and Liabilities presented in the balance sheet 
  • Checking all vouchers and supporting documents thereof as deemed necessary by the auditor.
  • Check the implementation of procurement procedures and recommend necessary improvements
  • Check if cash and Bank Statement transactions are properly booked and aligned with the financial statements.
  • Physical verification of Assets and stock management of HI BGD
  • Any other review/ verification that deemed necessary during Audit

The scope of audit services shall cover the overall management of the project's implementation, monitoring, and supervision. The audit work should include the review of work plans, progress reports, project resources, project budgets, project expenditures, project delivery, recruitment, operational and financial closing of the project (if applicable), and disposal or transfer of assets. To this effect, the scope of the audit shall cover the following areas as they are performed at the level of these projects.

D. Project to be audited

Duration of Project
Approval number and date by NGO AB
Project Title
Budget for period
01 April 2021 to 30 September 2021
Ref. Letter no- 03.07.0000.662.68.43.19-237, Date: 20/05/2021
Humanitarian Assistance to crisis-affected FDMN’S and Host Community adapted to COVID-19 Pandemic in Cox's Bazar, Bangladesh (FD7-8th phase)
BDT. 203,071,597/-

Audit schedule for FD audit

Sl.
Name of the project
The audit period
The proposed date for the start
Draft report submission date
Report finalization by HI Bangladesh
Final Report
01
Humanitarian Assistance to crisis-affected FDMN’S and Host Community adapted to COVID-19 Pandemic in Cox's Bazar, Bangladesh (FD7-8th phase)
01 April 2021 to 30 September 2021
14 October 2021
25 October 2021
27 October 2021
31 October 2021

The scope of audit services shall cover the overall management of the project’s implementation, monitoring and supervision. The audit work should include the review of work plans, progress reports, project resources, project budgets, project expenditure, project delivery, recruitment, operational and financial closing of projects (if applicable) and disposal or transfer of assets.  To this effect, the scope of the audit shall cover the following areas as they are performed at the level of these projects.

E. The Audit Report and Management Letter

Audit Report

The audit report should clearly include the following:

Financial Part

  • General description of the audited organization and project, objectives of the project, period covered by the audit.
  • Objectives and extent of the audit.
  • Declaration of full disclosure delivered by the project management or the organization audited.

Financial statement of the projects, including

  • Balance sheet
  • Income and expenditure statement
  • Opinion of the auditor on the financial statements, indicating if they are in all respects a true and correct representation of the expenditures incurred and the revenue obtained and conforms to the conditions prescribed by BSA.
  • List of furniture and equipment acquired by the project during the accounting period.
  • Any other annexure may be considered by the auditor.

Management Letter / Report

A separate report on management findings mentioning facts, consequences, suggestions, and HI management response of the findings.

Reporting of the Audit

The Auditor shall submit 1 (one) copy of the draft version of their audit report to HI-BGD and after finalization of the draft report by HI, shall submit 6 (six) copies of the final audit reports to the HI-BGD office within the date mentioned above.

SUBMISSION OF APPLICATION

Expression of interest should be forwarded to logistics@bangladesh.hi.org not later than 29 Sep/ 2021 (11:59 AM, Bangladesh time) with Ref: PSR BGD-2021-DHAK-0208.

The application should comprise of:

  1. A detailed technical proposal, delivery lead time and a budget
  2. An updated copy of their CV including references and their contact details as well as two samples of recently completed evaluation reports
  3. Statement that Consultant will adhere to HI’s terms and conditions
  4. Trade License (in case of company)
  5. VAT Certificate (in case of company)
  6. E-TIN Certificate (for both, either company or individual)
  7. Bank Solvency Certificate (for both, either company or individual) - Optional
  8. Insurance Certificate (for both, either company or individual) - Optional
  9. Bank details: name of the account, Bank name, branch, swift code etc.
  10. Proposal must be submitted in BDT;