Northern Territory Treasury Corporation Audit Findings and Analysis of the Financial Statements for the Year Ended 30 June 2012 Background The Northern Territory Treasury Corporation is constituted under the Northern Territory Treasury Corporation Act and is the investment and borrowing agent for the Northern Territory Government. The Under Treasurer constitutes the Corporation and is the Accountable Officer. There is an Advisory Board constituted under section 8 of the Act and the Board may, pursuant to section 11 of the Act, delegate any of its powers and functions to a member of the advisory board, an employee of the Corporation or an employee, within the meaning of the Public Sector Employment and Management Act. The Corporation is a Government Business Division and maintains its accounts in accordance with accounting principles applied generally by financial institutions. It is required to submit its financial statements for audit by the Auditor-General each year. Audit Opinion The audit of Northern Territory Treasury Corporation for the year ended 30 June 2012 resulted in an unqualified independent audit opinion, which was issued on 28 September 2012. Key Findings The audit did not identify any material weaknesses in controls. Performance Overview The surplus before income tax of $29.9 million for the year ended 30 June 2012 increased from the prior year result of $23.5 million. The increase of $6.4 million was largely represented by interest income which increased by approximately $36.2 million. The increase in interest income was largely due to an increase in loans made, and to higher cash balances held, during the year. The increased revenues were offset by an increase in interest expense of $29.7 million.
Northern Territory Treasury Corporation Audit Findings and Analysis of the Financial Statements for the Year Ended 30 June 2012 Background The Northern Territory Treasury Corporation is constituted under the Northern Territory Treasury Corporation Act and is the investment and borrowing agent for the Northern Territory Government. The Under Treasurer constitutes the Corporation and is the Accountable Officer. There is an Advisory Board constituted under section 8 of the Act and the Board may, pursuant to section 11 of the Act, delegate any of its powers and functions to a member of the advisory board, an employee of the Corporation or an employee, within the meaning of the Public Sector Employment and Management Act. The Corporation is a Government Business Division and maintains its accounts in accordance with accounting principles applied generally by financial institutions. It is required to submit its financial statements for audit by the Auditor-General each year. Audit Opinion The audit of Northern Territory Treasury Corporation for the year ended 30 June 2012 resulted in an unqualified independent audit opinion, which was issued on 28 September 2012. Key Findings The audit did not identify any material weaknesses in controls. Performance Overview The surplus before income tax of $29.9 million for the year ended 30 June 2012 increased from the prior year result of $23.5 million. The increase of $6.4 million was largely represented by interest income which increased by approximately $36.2 million. The increase in interest income was largely due to an increase in loans made, and to higher cash balances held, during the year. The increased revenues were offset by an increase in interest expense of $29.7 million.