1. Meeting with Employees of Kannur SSA 15-01-2013 to 28.01.2013 FINANCE AND TRA

2. Internal Audit by M/s U A Associates, Chartered Accountants, Kozhikode : (2012-13) a. 1 st half commenced from 07.01.2013. b. Independent verification of all Cash and …..Cash Card and inventory will be conducted ……in respect of all Cash Counters. c. Records of all assets and inventory may be …..updated and properly maintained before the …..audit team visits.

3. CASH & CASH CARDS VERIFICATION BY DE: a. Should be daily balanced. b. Sale and Stock Balance should agree with balance in Stock (Regr/Knet/Sancharsoft) c. Cash Collection should be remitted on a daily basis. d. Cash balance retained – reasons should be recorded. (Reasons should be indicated in Kannurnet also for audit/vigilance reference) e. Cash &Stock Register Balance should be authenticated with the signature of I/C f. Verification of Stock of cash and cash cards on the last working day should be conducted by DE and Certificate submitted AO(CA)/(CASH ) g.Abnormally high Cash Balance without reasons recorded /Irregularities in stock of cards - custodian AO/SDE as the case may be will be responsible

4. Physical Verification of Assets. a. Detailed Circulars placed in Knet. b. Verification report to be submitted before 10.4.2013

5. WIP PENDING CAPITALISATION DivisionValue to be capitalized% of capitalization DEPCNN41951667 DEPKSZ1312596 DEPTLY8004093 DETCNG6515887 DETCNN40430778 DETCUU4940289 DETCVU3789698 DETIMCNN401503540 DETIMPAY37336284 DETKNG11486566 DETMJR1620895 DETMTR15348772 DETNLS11673286 DETPAY11276798 DETPDL0100 DETSKM16754174 DETTLY6604996 DETTMB48650973 DETUPL14909365 SSA Estimate241952220 Grand10712995SSA average :67

6. . Bank account of tower/building owners: a.All payments to be through credit to the bank account of the employee/suppliers/contractors. b. 29 cases of bank account details are still awaited in respect of tower/building owners. c. List is available in FTP. (Temp/Kannur/AOC/Nobank.) d. DEs concerned may ensure that bank account details are furnished to AO(Cash) without further delay.

7. Absentee statement: While inputting absence of staff on Kannur Net, it may be ensured that the leave applied for is available at the credit of the individual as on that date, so that salary can be drawn as per data furnished through absentee statement. Any period of absence without leave after inputting data may be reported directly to AO (Bills) latest by 25th to avoid excess drawal cases.

8. ABSENCE 16.11.2012(STRIKE) a. Attendance Marked as a matter of course by certain units. b. Absentee statement for Nov-Dec.12 need review and a separate report of absentee may be furnished by DE concerned before 22.01.2013.

9. Delay in submission of bills: a. Petty Contractors bills b. EPBT repair bills c. Hired vehicle bills Bill for attending Cable fault: 3 or 4 joints are seen for a single number In many cases

10. INCOME TAX : a. Petty Contractors bills. b. T D S certificate for tax deducted from Interest of KSEB Deposit – pending certificate may be collected and submitted c. Employees may submit housing loan exemption certificates and other savings details to AO(bills) before 22.1.213 for exemption from tax

11. Furnishing of Wrong PAN nos by DSA/Petty contractor. a.Income Tax returns filed online get rejected for incorrect PAN Nos. b.Penalty for incorrect filing c.Photo Copy of PAN Card may be attached with all bills wherever PAN no furnished is incorrect. (List placed in Kannurnet:Temp/Kannur/aoca.2/Invalidpan)

12. SERVICE NOS:CDMA/GSM/WIMAX a.Bills generated need certification b.Outstanding Details placed in Knet. c.Proper Categorization at CML/System level d.Other Service Numbers – IUC payments

13. SCRAPPING: a.Sale of Scrap 2011-12 :247 lakhs b.Sale of Scrap 2012-13 : 19 lakhs Scrapping should be expedited for realisation of maximum revenue. Separate committee may be formed in consultation with AGM(P)

14. Collection of email id and mobile nos: 1.email id collected : 4.08%(15526) 2.Mobile no collected :61.24%(233108) Efforts may be taken to collect details of remaining numbers.

15. Liquidation of Arrears: a.Revenue Adalath b.Smadhan scheme c.Write Off.

16. Liquidation of Arrears: LANDLINE SEGMENTPERIOD TARGET (IN 000S) POSITION - Nov-12VARIANCEREMARKS I Upto 31/03/2006Nil II 01/04/2006 to 31/03/2010500682-182Will be achieved III 01/04/2010 to 31/03/20121325088584392Achieved IV 01/04/2012 to 31/12/2010296710351-7384a/c not finalised 1% of abf upto aug-12 BROADBAND I Upto 31/03/201213502733-1383will be achieved II 01/04/2012 to 31/12/2012875225346218achieved (5% of abf upto aug-12)

17. Liquidation of Arrears: Mobile Upto 31/03/2010100125-25will be achieved 01/04/2010 to 31/03/2012250 0achieved 01/04/2012 t0 31/12/2012414267147achieved (1% of abf upto sep-12) CDMA Upto 31/03/20105002043-1543will be achieved 01/04/2010 to 31/03/201212607807-6547 action is taken to achieve the target 01/04/2012 t0 30/09/20122411789-1548 action is taken to achieve the target Wimaxupto 31/03/201290187-97 upto 31/10/201230120-90