Call for an Independent Audit Report of Factual Findings on Costs declared under Beiersdorf -Learn & Stay Protected Project

INTRODUCTION

Plan International strives to advance children’s rights and equality for girls all over the world. As an independent development and humanitarian organization, we work alongside children, young people, our supporters and partners to tackle the root causes of the challenges facing girls and all vulnerable children. We support children’s rights from birth until they reach adulthood and enable children to prepare for and respond to crises and adversity. We drive changes in practice and policy at local, national, and global levels using our reach, experience, and knowledge. For over 80 years, we have been building powerful partnerships for children, and we are active in over 75 countries.

Funds Background

1. Plan International Nigeria is implementing the Learn and Stay Protected project funded by Beiersdorf, with a total budget of € 718,521.27, in the Yola North, Yola South, Girei and Lamurde Local Government Areas (LGAs) in Adamawa state. The project is implemented in eight (8) communities across the LGAs as follows:

• Yola North LGA: Jambutu and Rumde/Limawa
• Yola South LGA: Wuro Hausa and Yolde Pate
• Girei LGA: Vunoklang and Badarisa
• Lamurde LGA: Mamsirmi and Tingno.

The audit will cover the period from February 1, 2024, to January 31, 2025. The auditor will review such statements of application of funds by the following Terms of References.

Audit Objectives and Scope

• The objective and scope of the agreed-upon procedures are to evaluate whether the amounts shown on the accompanying financial statements are by the terms and conditions specified in the Funding and Agreement Document, approved internal procedures, and are supported with adequate documentation required by Plan International policies.

  Responsibilities

National Office:

• Plan International Germany is responsible for setting out the agreed-upon procedures to be carried out by the Auditor and these have been provided in the model report attached to these ToRs. The Auditor is not responsible for their suitability or pertinence.

Country Office and Partners:

• Must prepare the Statement of application of funds for the project using the format provided in Annex 1 of the model report in compliance with the FAD requirements.
• Must send the Statement of application of funds and the underlying financial report extract from the accounting system timeously to the auditors.
• Responsible and liable for the accuracy and completeness of the Statement of application of funds and the financial report extracted from the system and all the supporting documents provided to the auditors to perform the agreed upon procedures.
• Accepts that the Auditor cannot carry out the Procedures unless it is given full access to the Beneficiary’s staff and accounting as well as any other relevant records and documentation.
• Must provide the Auditor with a signed written representation letter supporting these statements. The written representation letter must state the period covered by the statements and must be dated.

Auditors:

• Must be independent from the country office and partners, it must not have been involved in preparing the financial statements under audit and provision of advice on the transactions under review.
• Must carry out the engagement in compliance with these terms and conditions.
• Must adhere to the compulsory report format.
• Must perform the engagement with an appropriate level of professional skepticism.
• Must ensure the report is based on sufficient and appropriate audit evidence collected.
• Must ensure competent staff with appropriate levels of experience in performing audits in the NGO sector are assigned to carry out the engagement.
• Must ensure there is effective two-way communication between the audit team and the auditee and agree to follow the audit process laid down in the Audit Process section and Appendix 2.

Applicable Standards

• The Auditor must comply with these Terms of Reference and with:
• The International Standard on Related Services (‘ISRS’) 4400 (Revised) Engagements to perform Agreed-upon Procedures regarding Financial Information as issued by the International Auditing and Assurance Standards Board (IAASB).
• Relevant international standards on auditing.
• International Standard on Quality Control (ISQC) 1, Quality Control for Firms that Perform Audits and Reviews of Financial Statements, and Other Assurance and Related Services Engagements
• The Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants (IESBA). Although ISRS 4400 (Revised) states that independence is not a requirement for engagements to carry out agreed-upon procedures, Plan International Germany requires that the Auditor also comply with the Code’s independence requirements.

Audit Process.

The audit process map is provided as an appendix to these ToRs. The deadlines reflected in the audit process above show the contractual obligations of all the parties involved. Deviations can occur when certain unforeseen events happen such as emergencies, force majeure etc. Challenges in the audit process should be communicated timeously to avoid delays.

Induction session.

An induction session will be provided to audit contractors, covering the donor requirements, risk areas, and agreeing on the audit methodology and audit procedures.

Inception Meeting

The Auditor should arrange for an opening meeting with the Country Office to discuss and explain the planning, fieldwork, and reporting. The Auditor will explain the nature, objectives, and scope of the audit. The Country Office should inform Plan International Germany about this meeting which must be attended by responsible Compliance Specialists or a proxy.

Planning

The Auditor should plan the audit so that it will be performed in an effective and efficient manner. Adequate planning involves that appropriate attention is devoted to important areas of the audit, that potential problems are identified and resolved on a timely basis and that the audit is properly organised and managed to be performed in an effective and efficient manner.

Fieldwork/Desk Review

The field work or desk review shall commence on the agreed timelines as per the audit planning report. The auditors must conduct weekly update meetings with the audit management team to discuss the progress of the audit and any other issues so that issues can be resolved as the audit progresses instead of waiting for the end of the field work to highlight pending issues or missing supporting documentation.

Debriefing Memo.

The Auditor will prepare a Debriefing Memo for discussion at the closing meeting. The Memo should outline the main audit findings from the fieldwork and recommendations. A copy of the Memo should be sent to the Compliance Specialists for Plan Germany as soon as possible.

Exit Meeting

At the end of the fieldwork or desk review, the auditors should organize an exit meeting with the Country Office to discuss the findings and recommendations. The session is an opportunity to get an immediate response from management to improve the audit report quality and shorten the tail-end of the audit process. Errors of fact will be cleared up in this meeting. The Country Office has one week from the date of the exit meeting to submit an outstanding document to the auditors. Compliance Specialist or proxy for Plan International Germany must attend this meeting.

Fraud and Irregularities

• If Auditor may find that a fraud or irregularity has occurred or is likely to have occurred such findings should be reported directly to Plan International Germany in a confidential complementary letter independent of the audit report. Plan Germany will decide on follow-up measures including where appropriate the launching of an investigation by the Counter Fraud Unit

Deliverables

• The auditors shall deliver the following during and at the end of the audit engagement
• A debrief memo presented at the exit meeting
• Report of factual findings and the related annexes
• Requirements for the Audit Firm.

Qualifications and Experience.

• The Audit Firm will employ staff with appropriate professional qualifications and suitable experience with IFAC standards and with experience in verifying financial information of entities comparable in size and complexity to the Country Office. In addition, the verification team as a whole should have:
• Experience with programmes and projects funded by national and/or international donors and institutions. The team leader and, where applicable, the fieldwork team, i.e., either the audit manager (category 2) or the senior auditor (category 3) should have experience with audits of privately funded projects.
• Experience with audits/verifications in INGOs/ similar organizations and contexts; specifically, in the North-Central and North-Eastern geographic zones of Nigeria
• Sufficient knowledge of relevant laws, regulations and rules in Nigeria; including but not limited to taxation, social security and labour regulations, accounting, and reporting.
• Fluency in English, Hausa and
• The auditor must have a good knowledge of, and carry out the audit in accordance to:
• International acceptable accounting principles and financial reporting standards.
• International Standard on Related Services (‘ISRS’) 4400 Engagements to perform Agreed-upon Procedures regarding Financial Information as promulgated by the IFAC
• The IFAC Code of Ethics for Professional Accountants, developed and issued by IFAC’s International Ethics Standards Board for Accountants (IESBA), establishes fundamental ethical principles for Auditors about integrity, objectivity, independence, professional competence and due care, confidentiality, professional behaviour and technical standards. Although ISRS 4400 provides that independence is not a requirement for agreed-upon procedures engagements, the Contracting Authority requires that the Auditor is independent from the Beneficiary(ies) and complies with the independence requirements of the IFAC Code of Ethics for Professional Accountants.

8.2 Team Composition

• The team of auditors required for this engagement will be composed of a category 1 auditor who has the ultimate responsibility for the expenditure verification and a team which is composed of an appropriate mix of category 2 – 4 auditors.

Categories of staff/experts

Category 1 – (Audit Partner)

• A Category 1 expert (audit partner) should be a partner or another person in a position like that of a partner and be a highly qualified expert with relevant professional qualifications who assumes or has assumed senior and managerial responsibilities in public audit practice.
• He/she should be a member of a national or international accounting or auditing body or institution. He/she must have at least 12 years of professional experience as a professional auditor or accountant in public audit practice. Experience with audit related services in beneficiary countries will particularly be considered for the evaluation at the level of specific contracts.
• The audit partner will be the person who will be responsible for the specific contract and its performance as well as for the report that is issued on behalf of the firm. He/she has the appropriate authority from a professional, legal, or regulatory body and is authorized to certify accounts by the laws of the country in which the audit firm is registered.

Category 2 – (Audit Manager)

• Audit managers should be qualified experts with a relevant university degree or professional qualification. They should have at least 6 years of experience as a professional auditor or accountant in public audit practice including relevant managerial experience of leading audit teams.
• He/she should be a member of a national or international accounting or auditing body or institution.

Category 3 – (Senior Auditor)

• Senior auditors should be qualified experts with a relevant university degree or professional qualification and at least 3 years of professional experience as a professional auditor or accountant in public audit practice.

Category 4 – (Assistant Auditor)

• Assistant auditors should have a relevant university degree or professional qualification and at least 1-year professional experience as a professional auditor or accountant in public audit practice.

Curricula Vitae (CVs)

• The Audit Firm will provide the Country Office with the CVs of the staff/experts involved in the expenditure verification. The CVs will include appropriate details for the evaluation of the offer on the relevant specific experience for this expenditure verification and the qualifying work carried out in the past.

8.3 Selection Criteria

• Please read this section carefully and be sure that all requested information is included in your submission. Evaluators will neither make assumptions nor draw inferences regarding missing or incomplete information. The submission of incomplete information could result in the rejection of submissions.

Quotations should be comprehensive and highlight how the bidding company intends to meet our requirements as stated above, in addition to clearly stating service costs and/or rates of commission,

Values of Plan International Nigeria

We strive for lasting impact – We strive to achieve a significant and lasting impact on the lives of children and young people and to secure equality for girls. We challenge ourselves to be bold, courageous, focused, and innovative.

We work well together – We succeed by working effectively with others, inside and outside the organization, including our sponsors and donors. We actively support our colleagues, helping them to achieve their goals. We come together to create and implement solutions in our teams, across Plan International, with children, girls, young people, communities, and our partners.

We are inclusive and empowering – We respect all people, appreciate differences, and challenge inequality in our programs and our workplace. We support children, girls, and young people to increase their confidence and change their own lives. We empower our staff to give their best and develop their potential.

We are open and accountable – We create a climate of trust inside and outside the organization by being open, honest, and transparent. We hold ourselves and others to account for the decisions we make and for our impact on others while doing what we say we will do.

Ethics and Child Protection

Plan International Nigeria places a high premium on CHILD PROTECTION issues in all its working relationships with its partners and associates and mandates all its working partners and associates to adhere to its CHILD PROTECTION Policy.

As such, the activity must ensure appropriate, safe, non-discriminatory participation; a process of free and un-coerced consent and withdrawal; and confidentiality and anonymity of participants. Consultants are required to provide a statement within their proposal on how they will ensure ethics and child protection in the development process. This must also include consideration of any risks related to the activity and how these will be mitigated.

Disclosure of Information/Child Protection

It is understood and agreed that the Consultant(s) shall, during and after the effective period of the contract, treat as confidential and not divulge, unless authorized in writing by Plan, any information obtained in the course of the performance of the Contract. Informationwill be made available for the consultants on a need-to-know basis. Any necessary field visits must be budgeted for in your proposal. Plan staff under the coordination of the National Program Manager will support the consultant in facilitating all necessary engagements required by the Consultant. The selected consultant will commit to respecting Plan International’s Child Protection Policy to prevent any harm to participating children and youth.

Anti-Corruption

The Consultant and partners declare and guarantee that no offer, gift payment, consideration, or benefit of any kind, which constitutes an illegal or corrupt practice, has been or will be made to anyone by the Consultant either directly or indirectly, as an inducement or reward for the award or execution of this agreement.

The Firm declares and guarantees that neither they nor Partners or associates, temporary nor permanent, would be involved in the implementation of this agreement:

1. Have been convicted during three (3) years before the submission of their proposals for this project, by a court of law in Nigeria or any other jurisdiction for an offence involving bribery or corruption.
2. Are under sanction, for an offence involving bribery or corruption, imposed by a government, a governmental organization, or a development organization providing development assistance.

Anti-Terrorism

The Firm or Partners declare and guarantee that the funds provided by Plan International Nigeria for the service shall not be knowingly used to benefit terrorist groups as defined in the criminal code of Nigeria or individual members of those groups or for terrorist activities either directly or indirectly.

Whistle Blower Policy

Plan International Nigeria has a Code of Conduct including a Whistle Blower Policy (attached) and encourages its entire staff and associates to “whistle blow” (raise legitimate concerns about violation of the Code of Conduct without fear of recrimination in the course of their engagement with Plan International Nigeria).

Further details including the relevant annexes can be assessed via this link- Independent Auditor (Beiersdorf II)