The Auditor-General Act 1997 establishes the mandate for the Auditor-General to undertake financial statement audits of all Australian Government entities including those of government agencies, statutory authorities and government business enterprises.

Our interim audits of agencies encompass a review of governance arrangements related to agencies’ financial reporting responsibilities, and an examination of relevant internal controls, including information technology system controls. The ANAO’s examination of these areas is designed to assess the reliance that can be placed on agencies’ internal controls to produce complete and accurate information for financial reporting purposes.

This report presents the results of the interim phase of the 2007-08 financial statement audits of all portfolio departments and other major General Government Sector (GGS) agencies that collectively represent some 95 per cent of total GGS revenues and expenses. The results of the final audits of these departments and agencies will be included in a second report to be tabled in the Parliament in December 2008 following completion of the financial statement audits of all entities for 2007-08.