United States Trustee Program |
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| Banking 1. Commingled funds 2. Unauthorized depository 3. Missing bank statements 4. Missing canceled checks 5. Case funds not invested appropriately 6. Inability to perform an accounting “proof of cash” 7. Improper or unauthorized bank account transfers or unexplained transactions on bank statements 8. Incomplete or missing bank reconciliations Receipts 1. Incoming checks not restrictively endorsed upon receipt 2. Receipts log not maintained 3. Receipts not deposited, or deposited untimely 4. Sales/liquidations without notice or court order 5. No supporting documentation Recordkeeping 1. Non-existent reports 2. Asset or disposition of asset omitted from the Form 1 3. Financial transaction omitted from the Form 2 4. Inaccurate information on the Form 2 ADP System 1. Passwords not utilized or changed 2. ADP system not adequately protected 3. No routine back up procedures |
Disbursements 1. Disbursement without court authorization 2. No supporting documentation 3. Checks not pre-numbered 4. Blank checks not adequately controlled 5. Unauthorized disbursements by cashier’s check or wire transfer 6. Blank checks pre-signed by trustee 7. Checks altered or contain unusual endorsement 8. Checks written to cash Asset Administration 1. Assets not tracked on Form 1 2. Assets not timely investigated to determine value to the estate 3. Case assets not promptly inventoried, secured, or collected 4. Untimely asset liquidations 5. Assets overlooked, lost stolen, or not adequately accounted for 6. Trustee does not adequately supervise auctioneer, liquidator, collection agent, attorney, or other person hired to collect or liquidate assets 7. Assets sold to insiders or related parties 8. No system to monitor case progress on a quarterly basis Other Internal Controls 1. Trustee does not adequately supervise employees 2. Case files are disorganized 3. Case files are missing |