SAI is established under a constitution. SAI's head is appointed by the Head of State. Procedure for terminating the appointment of the head SAI is:
Appointed head of SAI do not have any fixed tenure, but it has a prescribed age limit ie. upto the age of 60 yrs. The various conditions of service of the head of SAI are:
SAI do not have financial independence. The Ministry of Finance has the final say on the allocation of budgetary resources. The SAI presents the Budget to the Minister of Finance who has the power to make changes. There is mechanism to secure accountability of the SAI. The Ministry of Finance sends in auditors to audit the accounts of the SAI on an annual basis.
SAI's jurisdiction extends to the following and there are no limitations to its jurisdiction:
SAI has the powers of requisitioning all records of the auditee departments/organizations to discharge its mandate. The Bahamas Constitution Item 136 (3) ".... shall at all times be entitled to have access to all books, records, returns and reports relating to such accounts". SAI has the powers to enforce or initiate enforcement action to secure access to needed records, which are not produced. The Financial Administration and Audit Act, 1973 Section 33.
SAI has powers to seal documents and other related items where it is considered necessary for its audit and inspection. SAI has powers to seek testimonials of the persons concerned. The Financial Administration and Audit Act, 1973 Section 33 (f). It has powers to seek co-operation of persons other than the agencies subject to audit and inspection for presenting materials or provide testimonials necessary for its audit and inspection. The Financial Administration and Audit Act, 1973 Section 33(f) states "... and if any person summoned is not an officer, he shall be entitled to payment for his attendance as if he was a witness attending a legal proceeding in obedience to a summons issued by the Supreme Court.
SAI has powers to access the computer systems of the auditees and the power to download and use electronic data either in site or off site. It has powers to review the development of computer systems by auditees and enforce any controls.
SAI prescribes Financial, Compliance, Performance audit as its scope of Audit. SAI conducts Special audits. A special audit is conducted when there is report of misappropriation of funds and other non compliance. SAI has to follow specific standards, practices and guidelines in conducting audit and reporting. SAI can consult and/or collaborate with other countries/SAIs and international organisations on matters relating to audit. SAI can engage consultants, however, it must receive permission from the appropriate authority. SAI can report on acts that infringe upon State economic interest like mass embezzlement of State assets, serious losses and wastes.
SAI requires that all fraud or embezzlement must be reported mandatorly by the auditees. SAI has the powers to oversee the ultimate disposal of such cases. It is included in the Financial Administration and Audit Act, 1973. Findings and recommendation are brought to the attention of the Financial Secretary and the Department Head. It does not present an interim report before rendering an annual report on the examination of the closing of accounts of Federal, Provincial and Local governments. SAI has no powers to share its audit reports with the public and media. In case of Financial Statement audits, SAI have no powers to amend accounts. SAI has an advisory role.
SAI is constituted as an audit office with monocratic status i.e. with an Auditor General or equivalent as head. SAI is not empowered to engage external auditors/agencies/consultants as required.
SAI can expend resources budgeted independently. SAI has full independence in forming its workplan. The Ministry of Public Service is responsible for the employment of staff. The SAI could interview applicants, however, the actual decision is made by the appropriate personnel in the Ministry of Public Service. SAI is subjected to an independent audit. SAI is required to submit a report on its activities.