BACKGROUND OF THE STUDY
An audit is the independent examination of an expression of the opinion of the financial statement of enterprises by an auditor. In pursuance of this objective, he may disclose defalcation and irregularities, which are capable of impairing the truth and fairness of the financial statement. In recent year there has been considerable debate over the extent of the statutory auditor’s responsibility for the dictation of fraud. This has been stimulated by the continued uncertainty over the extent of the auditor liability to third parties for negligent audit work. It is obvious that failure to detect a major fraud may lead to a loss for the client or some third party to whom a duty of care is owned. The important question is low for do the auditor responsibility. The auditing profession had always held tight to the opinion that the primary responsibility for both prevention detection of fraud and other irregularities rest with management. The auditor duty does not require him especially to search for fraud unless required by stature or the specific term of his engagement. In accordance with normal practice audit, will be planned primary to enable us to express our professional opinion, and auditor merely obliged to plan his work end design his procedures so that he has a reasonable chances of detecting those, illegalness which might impaired the truth and fairness of the financial statement.
A Brief History of Union Bank of Nigeria Plc
Union bank is one of the foremost commercial bank today with every strong capital ban. The bank which was formally known as dominion colonial overseas (DCO) started banking business in Nigeria in 1917 the bank today world has no many branches scattered all over the world. The bank also branched into their business such as union assurance company ltd. Union home savings and loan ltd, union on March into union stock broke etc.
STATEMENT OF THE PROBLEM
It is a test to this research work to investigate on the positive effects and influences the auditors most emphatically the external auditors have financial organization like banks. Auditing has the basic means to control the financial system organization sill prevent fraudulent financial statements, financial and report to the public and certainly there has been persistent gradient practices in the bank which at the end gets the banks distressed. However it would be questioned how this situation could persist while auditing process has been in existence in carrying out his research work some problems has attracted special attention. They are as follows; What have been the reasons for consistent fraudulent practices in the bank? What are the identified reasons why most financial report has not been and the other financial institution and Allied Mater decree (CAMD) 1990? To what extent should the external auditors play in bank to enhance the growth of the bank for bank to keep standard as required by CAMD
OBJECTIVES OF THE STUDY
The aim of the study is to critically look or examined the banking business in Nigeria and identifying the role the external auditors play in fraud detection. It is well know that one of the problem facing banks in Nigeria is mismanagement of fraud or inappropriate accounting for receipts and payment. Based on the problem identified above the objectives of the research work include. To highlight the need for appropriate review and report upon the account and balance sheet for banks by external auditors To educate on the necessity of banks to keep in mind the essence to comply with the provision of the bank and other financial institute decree 1971. To reach the banks to ensure compliance with the company and Allied Matters decree (CAMD) 1990 as amended. To educate auditors land credence to the account of the bank and to ensure compliance with SAS to and IAS 30.