Bank Concurrent Audit Checklist
Concurrent Audit Report
Bank: {{client_name}}
Branch: {{branch_name}} (Code: {{branch_code}})
Branch Category: Urban
Period covered: Month/Quarter ended {{period_end}}
Date of report: 29 May 2026
This concurrent audit has been conducted in accordance with the scope notes issued by the Bank and the guidelines of the Reserve Bank of India / Indian Banks' Association on concurrent audit of bank branches.
1. Cash and Cash Management
- Physical verification of cash balance at the close of business — agreed with the cash book and the day-book.
- Cash retention limit observed; excess cash, if any, remitted to currency chest / link branch.
- Cash in ATM physically verified and reconciled with the system; CCTV recordings sample-checked.
- Suspense / sundry receivable accounts examined for old / pending entries.
- Forged / counterfeit notes detected during the period — recorded in Forged Notes Register and Form FMR-1 forwarded to RBI within the prescribed time.
- Soiled / mutilated notes adjusted as per RBI Note Refund Rules.
- Cash transactions above ₹50,000 — PAN obtained and recorded.
- CTR / STR reporting under PMLA — sample of transactions above ₹10 lakh reviewed for proper FIU-IND reporting.
2. Customer Service and KYC
- New accounts opened during the period — KYC documents (proof of identity, proof of address, photograph, recent customer information) on record.
- Risk categorisation (Low / Medium / High) of new customers as per RBI Master Direction on KYC.
- Periodic KYC updation done for existing accounts (every 2/8/10 years based on risk).
- Dormant / inoperative accounts — activation requests handled per procedure; balances above ₹1 lakh moved to DEAF-eligible buckets after 10 years.
- Customer complaints register reviewed; BCSBI Code of Customer Service compliance.
- No-Frill / Basic Savings Bank Deposit Accounts (BSBDA) — opening within reasonable time; minimum balance not insisted upon.
- Compliance with Right to Information Act, 2005 for queries received during the period.
3. Loans and Advances
- Sanctions during the period — within delegated authority of the branch / referred to higher authority where applicable.
- Documentation: loan agreement, security documents, guarantee, hypothecation/mortgage deeds — properly executed and stamped.
- Pre-sanction inspection / unit visit reports on record for advances above threshold.
- Margin requirements complied with as per sanction terms.
- Stock and book-debt statements obtained at the prescribed frequency (typically monthly for working capital).
- Drawing power calculation verified for cash credit / overdraft accounts.
- Insurance of hypothecated/mortgaged assets — policies on record, bank named as loss-payee, premium paid before due date.
- CERSAI registration / modification for security interest filed within 30 days.
- Credit information bureau (CIBIL/Experian/CRIF) reports obtained and reviewed.
- IRAC norms — accounts classified into Standard / SMA-0 / SMA-1 / SMA-2 / NPA on the asset classification date; review of accounts in SMA categories.
- Income recognition reversed on NPA classification.
- Restructured accounts and OTS accounts — terms complied with; classification per RBI Master Circular on Resolution Framework.
- Government-sponsored schemes (PMMY / Stand-up India / Mudra) — eligibility, subsidy claim, end-use verification.
4. Deposits
- Term deposit receipts issued — correctness of rate of interest, tenor, maturity instruction.
- Premature withdrawal — penal interest applied as per Bank policy.
- TDS on interest on time deposits deducted at correct rate (10% u/s 194A; 20% if PAN not provided).
- Form 15G/15H received from eligible customers and uploaded to Income-tax portal.
- DICGC deposit insurance premium computed and remitted on aggregate deposits up to ₹5 lakh per depositor.
- NRE/NRO/FCNR deposits — RBI Master Direction on FEMA compliance.
5. Foreign Exchange Transactions
- AD-I branch limits / authorisations in force; transactions within delegated authority.
- Export / import bills handled — verification of LRS, FIRC, BOE entries.
- A1, A2 forms collected; outward remittance under LRS within USD 250,000 per person per FY.
- FCNR(B) and EEFC accounts maintained per RBI directions.
- NOSTRO/VOSTRO reconciliation — open items pending beyond 3 months reviewed.
- Reporting through FETERS / R-Return as per RBI specifications.
6. House-keeping and Reconciliation
- Inter-branch reconciliation — entries originating and responding accounted for; old outstanding entries reviewed.
- Suspense / Sundry / Sundry Deposits accounts — analysis of long-pending entries.
- GL reconciliation with subsidiary ledgers / system reports.
- Stationery and security forms (DD/PO/MICR cheque leaves) — physical verification and register entries.
- Inoperative locker accounts: rent recovery, notice issuance and forced opening as per Bank policy.
7. Inspection of Premises and Security
- Strong room / vault — dual control, joint custody, key registers maintained.
- CCTV cameras functional, recordings preserved as per Bank retention policy.
- Fire safety equipment (extinguishers, alarms) — current and inspection records.
- Insurance of cash, gold, premises — adequate cover; policy current.
8. RBI Circulars and Compliance
- Implementation status of RBI Master Directions and Notifications issued during the period.
- Compliance certificates submitted to Controlling Office within prescribed timelines.
- Statutory returns (Form A, IX, B) and DSB returns filed on time.
- Cyber-security framework and incident reporting compliance.
9. Summary of Observations
- Critical observations requiring immediate corrective action: ____________
- High-risk observations requiring action within 30 days: ____________
- Medium-risk observations requiring action within 60 days: ____________
- Branch comments / Action taken on previous report's observations: ____________
For {{firm_name}}
Chartered Accountants
Firm Registration No.: {{firm_registration_no}}
_______________________________
{{engagement_partner}}
Partner — Concurrent Auditor
Membership No.: {{icai_membership_no}}
UDIN: ____________________
Place: ____________________
Date: 29 May 2026
