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Stephen O’Hagan Telephone: 		Website: 
Senior Audit Manager 0845 146 1010 	www.audit-scotland.gov.uk 
7th floor Direct dial: 
Plaza Tower 0131 625 1939 
East Kilbride Fax: 
G74 1LW 0845 146 1009 

Audit Scotland



Ms Jane Hope 			27 March 2009 
Chief Executive 
Cairngorms National Park Authority 
The Square 
Grantown on Spey 
PH26 3HG 

Dear Jane 

Cairngorms National Park Authority 
Review of internal control systems 2008/09 

This letter records on an exception basis, financial control weaknesses we identified during the course of 
our pre year-end audit testing, detailed in an action plan format. 

High level control testing was carried out for the following key systems: 

• Debtors 
• Creditors 
• Cash and bank 
• Main accounting 
• Payroll. 

The review is undertaken to assess the assurance we can take from these systems and informs our 
financial statements strategy. 

The action plan summaries the one area identified during our review where Cairngorms National Park 
Authority may be exposed to risk. Although the action plan identifies this risk area, it is the responsibility of 
management to decide the extent of the internal control system appropriate to Cairngorms National Park 
Authority. We would stress, however, that an effective control system is an essential part of the efficient 
management of any organisation. Also, it should be noted that risk areas highlighted in the action plan are 
only those that have come to our attention during our normal audit work in accordance with our Code of 
Audit Practice and therefore are not necessarily all of the risk areas that may exist. 

Please do not hesitate to contact me if you have any queries on this matter. 

Yours sincerely 


Stephen O’ Hagan 
Senior Audit Manager 

Enc 

cc David Cameron, Head of Corporate Services Group 
Stuart Sands, Deloitte’s LLP 
Fiona MacFarlane, Audit Scotland 



PAGE 2

Cairngorms National Park Authority 
Review of Internal Control Systems 2008/09 

Action plan to address identified internal control weaknesses 

No.   /  Audit Finding and Control Risk 
Management Response & Agreed Action 
Responsible Officer 
Date 


Creditors 

1 Creditor Reconciliations 

Currently CNPA complete monthly 
reconciliations to the creditors control 
account. This process is not at 
present documented. 

The Finance Manager took up post in 
March 2008 and following the final 
accounts process has started to
implement further processes and 
procedures within the Finance Section. 
He is aware that there is no physical 
documentation to prove that the 
monthly reconciliations to the creditors 
control account has been completed 
and at the time of our visit was looking 
to set up procedures to ensure that 
monthly reconciliations to the creditors 
control account are documented. 

Risk: Expenditure disclosed in the 
financial ledger does not reconcile with 
payments made through the creditors 
system. 
 

Agreed that monthly 
reconciliations to the 
creditors control 
account are recorded, 
kept on file and 
reviewed by the 
Finance Manager. 

Finance Manager 

From 
March 
2009