Stakeholders perception on the effectiveness of Audit Committees on Financial compliance practices (Irregularities) of District Assemblies in Ghana

Abstract

This study examines the stakeholders’ perception on audit committee functionality and effectiveness (ACE) and how it influences financial compliance practices (regularities) of District Assemblies in Ghana. Greater Accra region was chosen as the study location where data was collected for the study. A descriptive research approach was used to analyse the data.

The outcome of the study affirmed audit committee functionality and effectiveness in district assemblies in greater Accra. In addition, the study indicated that, audit committee effectiveness and functionality does not lead to financial compliance practices in the district assemblies in Ghana, citing institutional structures and weaknesses in the governance structure due to high level of political induce atmosphere in the assemblies.

It is recommended that for District Assemblies to improve on its financial irregularities syndromes as shown year in year out in the auditor general reports, policy makers need to do more other that just establishing and relying on the Audit committees’ functionality and effectiveness. Findings from this study contribute to the existing knowledge of stakeholders’ perceptions on audit committee and financial compliance practices in district assemblies in Ghana.