Page:United States Statutes at Large Volume 59 Part 1.djvu/618

 PUBLIC LAWS-CH. 557-DEC. 6, 1945 42 stat. 20. 31U.S .0. ; Supp. IV.i 16 et se. Definition of term. Audit of financial tansactons. Report of each au- dit. Scope; items to be included. Unauthorized fnan- clal transactions. agency other than a corporation, the Director shall include in connec- tion with the budget program of such corporation in the Budget a recommendation to that effect. If the Congress approves such recom- mendation in connection with the budget program for any fiscal year, such corporation, with respect to subsequent fiscal years, shall be regarded as an establishment other than a corporation for the pur- poses of the Budget and Accounting Act, 1921, and other provisions of law relating to appropriations, expenditures, receipts, accounts, and other fiscal matters, and shall not be subject to the provisions of this Act other than this section. The corporate entity shall not be affected by this section. TITLE II-MIXED-OWNERSHIP GOVERNMENT CORPORATIONS SEC. 201. As used in this Act the term "mixed-ownership Govern- ment corporations" means (1) the Central Bank for Cooperatives and the Regional Banks for Cooperatives, (2) Federal Land Banks, (3) Federal Home Loan Banks, and (4) Federal Deposit Insurance Corporation. SEC. 202. The financial transactions of mixed-ownership Govern- ment corporations for any period during which Government capital has been invested therein shall be audited by the General Accounting Office in accordance with the principles and procedures applicable to commercial corporate transactions and under such rules and regula- tions as may be prescribed by the Comptroller General of the United States. The audit shall be conducted at the place or places where the accounts of the respective corporations are normally kept. The rep- resentatives of the General Accounting Office shall have access to all books, accounts, financial records, reports, files, and all other papers, things, or property belonging to or in use by the respective corpo- rations and necessary to facilitate the audit, and they shall be afforded full facilities for verifying transactions with the balances or securities held by depositaries, fiscal agents, and custodians. The audit shall begin with the first fiscal year commencing after the enactment of this Act. SEC. 203. A report of each such audit for each fiscal year ending on June 30 shall be made by the Comptroller General to the Congress not later than January 15, following the close of the fiscal year for which such audit is made. The report shall set forth the scope of the audit and shall include a statement (showing intercorporate relations) of assets and liabilities, capital and surplus or deficit; a statement of surplus or deficit analysis; a statement of income and expense; a statement of sources and application of funds- and such comments and information as may be deemed necessary to keep Congress informed of the operations and financial condition of, and the use of Govern- ment capital by, each such corporation, together with such recom- mendations with respect thereto as the Comptroller General may deem advisable, including a report of any impairment of capital or lack of sufficient capital noted in the audit and recommendations for the return of such Government capital or the payment of such divi- dends as, in his judgment, should be accomplished. The report shall also show specifically any program, expenditure, or other financial transaction or undertaking observed in the course of the audit, which, in the opinion of the Comptroller General, has been carried on or made without authority of law. A copy of each report shall be fur- nished to the President, to the Secretary of the Treasury, and to the corporation concerned at the time submitted to the Congress. [59 STAT. 600

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