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TERMS OF REFERENCE (TOR) FOR ENGAGING AN AUDITOR/AUDITING FIRM – HEREINAFTER CALLED “THE AUDITOR” FOR THE FINANCIAL AUDIT OF PROJECTS FINANCED BY SYMPHASIS FOUNDATION AND WWF GERMANY.

: WWF Thailand

: Nonprofits / องค์กรไม่แสวงหาผลกำไร

: 670

: 6 March 2025

24 March 2025

BINDING TERMS OF REFERENCE (TOR) FOR ENGAGING AN AUDITOR/AUDITING FIRM – HEREINAFTER CALLED “THE AUDITOR” FOR THE FINANCIAL AUDIT OF PROJECTS FINANCED BY SYMPHASIS FOUNDATION AND WWF GERMANY.

 

1. Background 

Symphasis (“Primary Donor”) is a charitable umbrella foundation based in Zurich. It supports social, ecological, and cultural projects. Symphasis funds for the implementation of the project “Eyes on the Forest: 21^st Century approaches to deforestation monitoring” (the Project) are granted to WWF Germany (“WWF Donor”) under the terms set out in the Förderbeitrag dated 30 May 2023. The WWF Donor is the legal entity receiving Symphasis funds. Based on the subgrant agreement 15628/SNE (“Project Agreement”), the WWF Donor forwards Symphasis funds and WWF Donor funds (“Project Funds”) to WWF Thailand (“Implementing Partner”). The implementation of the Project is subject to the provisions in the Project Agreement.

The project funds from the Primary Donor and WWF Donor are to be comprehensively audited by independent and professional external auditors to ascertain that project funds were utilized as intended. 

 

2. Objectives of the Audit 

The overall objective of the audit is to provide independent and objective assurance that Project Funds were used for the purposes intended and in accordance with the Project objectives and the Project Agreement. 

The specific objective of the audit is to audit the Implementing Partner‘s Project documents and express an opinion as to whether all Project funds were legitimately spent on approved Project activities and in accordance with the Project Agreement.

 

3. Scope of work 

The subject of this engagement is the midterm Financial Statement in connection with the Project Agreement for the period covering 01 July 2023 to 31 December 2024. In addition, large procurements from outside of this period will be included in the scope of the audit.

The audit shall be carried out in accordance with International Standards on Auditing and will include such tests and procedures, the Auditor considers necessary to provide an independent, objective and professional audit opinion under the given circumstances.

Furthermore, relevant standards of the local accounting profession as well as local legislation on accounting and reporting of both, the country in which the financial review is carried out and in which the Project had been implemented need to be taken into consideration by the Auditor. 

On a sample basis, the audit should cover the entire Project and the specified period stated in the Project Agreement for the interim audit. The sample selection would be based on an assessment of the risks applicable to the Project. 

The Auditor must plan the audit to obtain reasonable assurance that the financial report is free of material misstatement due to errors or fraud.  Without limiting the audit procedures, special emphasis shall be paid to the following areas among others; 

• The budget in the financial report covering the period under review corresponds with the budget of the Project Agreement (authenticity and authorization of the budget) and that expenditures incurred were foreseen in the budget or authorized budget modifications; 
• All funds have been used in accordance with the terms and conditions of the Project Agreement, with due attention to economy and efficiency, and only for the purposes for which the financing was provided; 

• Goods and services financed have been procured in accordance with the the current WWF Network Standards, and all expenditures have been properly accounted for (supported by genuine accounting records and third party documents such as vouchers, receipts, invoices, and attendance lists etc.). Appropriate supporting documents, records and books of account relating to all Project activities have been kept.
• Verify internal control systems and procedures for financial management to ensure adherence to current WWF Network Standards.
• Clear linkages should exist between books of account and the financial report presented to the WWF Donor; 
• Examine whether fund transfers and payments are supported by appropriate documents, in particular by examining the complete documentation of transactions from Euros into local or any other currency, if any; 
• The Project accounts have been prepared in accordance with consistently applied International Accounting Standards and give a true and fair view of the financial status of the Project and of resources and expenditures for the Project period; 
• Examine employment agreements, time tracking, staff payrolls, vouchers and (if any) attendance lists for events such as workshops or training sessions; 
• Examine whether the financial report shows only expenses eligible under the Project Agreement; expenses not eligible are e.g. implied costs; in case of doubt the Auditor consults the WWF Donor about the extent of expenses qualifying under the Project Agreement. Project expenditures, to be eligible, must be essential to the Project’s implementation and would not have occurred if the Project had not been carried out (value added); 
• Examine whether the Implementing Partner mediates parts of its funding to other implementing partners or subcontractors in accordance with the Project Agreement, current WWF Network Standards (including due diligence, procedures for managing subgrants, and financial procedures) and with knowledge and consent of the WWF Donor; 
• Verify comprehensive assessment of the adequacy and effectiveness of the accounting and overall internal control systems to monitor expenditures and other financial transactions and ensure safe custody of Project financed assets and that they are being used for the intended purposes;
• The Auditor should ascertain that fixed assets exist, are properly evaluated and that property rights and potentially related Implementing Partner’s rights are established in accordance with the Project Agreement; 
• Ineligible expenditures identified during the audit will be identified and reported on and should be taken into account in the Auditor’s opinion. 

 

4. Auditor independence 

The Auditor must be completely impartial and independent from all aspects of management or financial interest or any other interest that may potentially affect or be seen to affect the Auditor’s opinion prior and during the execution of the audit assignment. 

 

5. Auditor’s qualification 

The Auditor should have experience in grant audits and should be a member of the International Federation of Accountants (IFAC). Whether an IFAC member or not, the Auditor commits himself to undertake this engagement in accordance with applicable International Standards of Auditing (ISA) and ethics. National Auditing Standards that comply with ISAs in all material respects will also be accepted. The team of proposed auditors should equally be qualified and experienced in the audit of donor funded projects (CVs should be part of the proposal). 

 

6. Auditors Report 

The audit report shall contain assurance that the audit has been performed in accordance with International Standards and by a qualified auditor. The audit report shall contain the responsible Auditor’s signature (not just the audit firm) and title and shall be written in English. The report is to be submitted to the Implementing Partner and the WWF Donor. The Auditor must stamp the financial report of the Project, certified by the Implementing Partner and attach it to the audit report. Furthermore, a complete voucher list of all expenditures for the Project has to be attached to the audit report, indicating all vouchers that were audited and found eligible under the Project Agreement by highlighting them in the voucher list. Moreover, a copy of all rejected receipts/vouchers has to be attached. All objections should be separately documented in the audit report.  The Auditor shall report to the Implementing Partner and the WWF Donor.

The audit report should clearly indicate the Auditor’s opinion. This would include at least the following: 

• an introductory paragraph containing identification of the financial information audited including the period covered and the location of the audit; statement of the responsibility of the Implementing Partner’s management and the responsibility of the Auditor; 
• the accounting standards that have been applied and indicate the effect of any deviations from those standards if any; 
• the international audit standards that were applied;
• the work the Auditor performed including a description of the sample selection method applied; 
• the confirmation whether the financial transactions reflected in the financial report are in accordance with International Financial Reporting Standards; 
• verification that the Implementing Partner’s administrative fees do not exceed the maximum allowable under the terms of the Project Agreement;
• All ineligible expenditures will be disclosed and explained in an annex to the audit report, including a copy of the rejected receipts. 
• Give comments and observations on the accounting records, procedures, systems and controls that were examined during the course of the audit; 
• Report on the degree of compliance with the Project Agreement and give comments, if any, on internal and external matters affecting such compliance; 
• Communicate matters that have come to their attention during the audit which might have a significant impact on the implementation and sustainability of the Project,
• Include reactions/comments from the Implementing Partner on the weaknesses noted by the Auditor; 
• Bring to the attention of the Implementing Partner any other matters that the Auditor consider pertinent; 
• Before finalizing the audit report the Auditor must discuss their findings with the Implementing Partner and the WWF Donor. The Auditor will present or incorporate these responses in the audit report. 

 

7. General 

The draft report shall be provided to the Implementing Partner and WWF Donor by 1 May 2025. The final report is to be submitted no later than 15 May 2025.

The audit shall be carried out in the Implementing Partner’s country office where the Project’s accounting documents are kept. 

The Auditor should be given access to all legal documents, correspondence, and any other information associated with the Project and deemed necessary by the Auditor. 

The Auditor should become familiar with the Project, and with the relevant policies and guidelines of the Primary Donor and WWF Donor (including those relating to disbursements, procurement and financial management and reporting). This information can be inquired from the Implementing Partner, or, if necessary can be provided by the WWF Donor. The Primary Donor and the WWF Donor reserve the right to require additional explanations to the audit report. Furthermore the Primary Donor and the WWF Donor reserve the right to review the amount of the Auditor’s files and the repudiation of expenditures claimed as eligible under the Project Agreement by the Auditor.

 

WWF Support

Interested consultants are invited to submit their Quotation within 24 March 2025 to 

tanasiny@wwf.or.th , jketrattanaborvorn@wwf.or.th and Cc. procurement@wwf.or.th

The subject line of the email

must be marked with title “Eyes on the Forest Financial Audit”

 

Contact : tanasiny@wwf.or.th , jketrattanaborvorn@wwf.or.th and Cc. procurement@wwf.or.th 

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ที่ปรึกษา / Consultant