December 17, 1996
Letter
to John Maison from Stan Myrda CPA:
[KWE Note: Another request for receipts and documents]
To:
Mr. John Maison
Korean War Veterans Association
2000 North Illinois
Swansea, Illinois 62221
From:
Stan Myrda CPA
Re: Credit Cards
Dear John:
To help us sort out the charges and payments relating to credit
cards, please identify the owner of each of these accounts. KWVA
is paying charges to some of these cards and reimbursing you for
others. KWVA has a vendor account set up for each of these credit
cards. The vendor account shows outstanding balances, with NO SUPPORTING
DOCUMENTATION, including reimbursements to you.
The names and numbers are as follows. Only the first four (4)
digits are listed for security purpose. [Korean War Educator Note:
To further insure security, the KWE has not published even the
first four digits of these accounts.]
J.C. Penny Company
VISA-Magna Bank
First Consumer Bank, Portland, OR
Sterling Bank and Trust
Card Service Center
Magna Bank
Omax Office Supplies
WE NEED COPIES OF THE CREDIT CARD STATEMENT FOR ALL CREDIT CARDS
THAT ARE IN THE "KOREAN WAR VETERANS ASSOCIATION" NAME.
We have continued to ask for these statements and the supporting
documentation for the charges, including reimbursements to you
personally for charges made to your credit cards. The information
we need is the credit card receipts which identifies, (1) WHAT
was purchased; (2) WHEN it was purchased, (3) WHY it was purchased,
and (4) HOW much did it cost. These are the requirement under the
Internal Revenue Code for expenses and reimbursed expenses.
These credit card companies have been set up in your accounts
payable vendor file. You have provided us with a number of accounts
payable vendor statements which list charges to these vendor, many
still outstanding. HOWEVER, NO invoice or other supporting documentation
to support these charges and their subsequent payments have been
provided.
We have requested an explanation of check #3054 dated January
20, 1996 in the amount of $7,440 payable to Huntleigh/McGee. I
believe this is a investment brokerage firm. If KWVA has investment
in this firm, you have not advised us of this. This is the THIRD
REQUEST made for the supporting documentation for the items listed
on the attached schedule with a "N" in front of the
vendor’s name.
John, today we received your computer print-out of November activity.
According to our understanding, your office was to provide us the
following information each month.
- Bank statement together with all cancelled [sic] checks
and deposit slips.
- Check stubs relating to all hand written checks, cash disbursement
journal on all computer prepared checks, TOGETHER WITH ALL
SUPPORTING DOCUMENTATION in order for us to satisfy ourselves
as to classification
and proper treatment of all expenses.
- Copy of bank documents relating to Certificates of Deposits,
purchase, transfers, redemptions, and consolidations.
We received 5 deposit slips with the computer print out and NO
OTHER SUPPORTING DOCUMENTATION. You are within a half a block of
my office when you go to the office, and pass my office when you
go to the bank.
The purpose of the agreeded [sic] procedure was to speed up and
simplify our year end work and thereby in the final analysis to
reduce your cost and the time your [sic] spending on bookkeeping.
Is there a reason why the information is not being provided?
John, there are a number of transactions that can not be reconciled
until this information is provided. We hope to complete this before
we get into tax season. I would appreciate your help in getting
this task done.
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