01 Nov 2016

Audit Prep Tips to Fill Your Cornucopia

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Want a bounty of audit prep tips? Look no further than this article! Check out some common issues found by auditors, most common types of cases requested by auditors, and tips to use the Auditor tool in CaseLink², CaseLink Web, and CaseLink Office below!

Common Issues

Here are the top 10 issues found by auditors/field examiners:

  1. Scheduled assets on Form 1 do not match petitions/schedules.
  2. Bank accounts not timely or properly reconciled or reviewed.
  3. Form 2 not prepared, maintained or submitted, and miscellaneous Form 2 errors such as improper cut-off, inaccurate amounts or UTC codes, and missing or incorrect TIN’s.
  4. Asset status not accurately reflected and tracked on Form 1.
  5. Delay in case administration.
  6. Missing or inadequate case progress review.
  7. Unscheduled assets not recorded or properly identified on Form 1.
  8. Form 1 errors.
  9. Assets not timely investigated, pursued, liquidated, or collected.
  10. Abandonments not properly tracked on Form 1.

Types of Cases Most Commonly Requested

Be prepared…the most common cases requested by auditors/field examiners are:

  1. Large asset cases
  2. Cases with accounts receivables
  3. Cases with real estate transactions
  4. Cases with preference actions/fraudulent transfers
  5. Cases with multiple professionals hired
  6. Tax or wage cases
  7. Aged cases
  8. Operating cases
  9. Cases with adversary actions
  10. No asset cases with significant assets listed

Secure Sensitive Materials

The following items should be kept locked and secured by the trustee at all times:

Use the Auditor Tool to Correct Data Errors

With the volume of cases you typically have to manage, it’s easy to make an error as you key in updates. BMS provides several tools and reports that can help you double-check your work before an audit. Check out our step-by-step how to’s:


CaseLink²  / CaseLink Web Tips

In CaseLink²  and CaseLink Web, you have several tools to help you when it’s audit time:

  1. The Auditor Tool
  2. The UST Tool
  3. Built-in ICQ Document
  4. Additional Reports

We’ll discuss below how to use each of these tools to ensure you pass your audit with flying colors.

Auditor Tool

The Auditor tool in CaseLink²  and CaseLink Web allows you to look for issues within each case that might be audited.

To run the Auditor tool in CaseLink²  or CaseLink Web, go to Tools > Auditor. This will open the Wizard which will take you through the steps of setting up a new audit of your case data.

Step 1 of 3, as shown below, is to select the cases you’d like to search within as well as the types of cases.


In Step 2, choose the details for the Auditor to review in its queries. You can also choose “Select All” to view all of the issues.


In Step 3, the list of issues will display based on the cases, case types, and case details you selected. By default you will see the Case View with the issues identified, and you can expand each case to see all of the issues related to that case. To view all of the issues together, click on the Query view tab.

Case View


Query View


To view the issue, expand the section and click on the hyperlink. This will take you directly to the case and the item that needs to be corrected. The Auditor will be minimized into slider form. Simply call back the slider and click on the next issue to move on.

Click “Back to Results” on the Slider (shown below) to go back to the main Auditor screen.


You can also save your audit results so you can leave the auditor and come back later to continue your work. Or if you prefer to save the search setup but get new results the next time you use the auditor, you can save the favorite search. You can also export the results to Excel.

UST Tool

The ‘UST Tool’ in CaseLink²  and CaseLink Web mimics the reports that most Trustees receive in response to their TIR. BMS has designed the tool to alert you to UST concerns on demand. CaseLink² and CaseLink Web users can run the UST Tool before their audit to clean up any other data issues. The UST Tool can be found in the Global Menu under Tools > Auditor > UST Tool.


Internal Control Questionnaire

During an audit, you’ll be asked to supply documentation for the internal controls you have set in place for your Chapter 7 practice. Did you know you can run an Internal Control Questionnaire form directly from within CaseLink²  and CaseLink Web? To access the ICQ form, navigate to Tools > Auditor > ICQ in the Global menu. Simply fill out the form (shown below) and click “Save and Print” or “Save as Draft” when you are finished. Anytime you have a change in staffing or process, updating the ICQ will ensure you are always in compliance.





Other Suggested CaseLink² and CaseLink Web Reports

  • Case Memos Report: Verify all notes are current and reflect current status of case
  • Outstanding Checks Report: Run timely stop pay and reissue checks to claimants
  • Payments to Professionals: Ensure orders to pay are in the case documents module and match payment amounts
  • A/R status report: Check that Accounts Receivables are collected in a timely manner
  • Bank Reconciliation Reports: Document monthly reconciliation procedures (Summary/Detail Reports)
  • Receipts Log Reports: Review and reconcile receipts log

CaseLink Office Tips

In CaseLink Office, you have several tools to help you when it’s audit time:

  1. The Auditor
  2. Reports

We’ll discuss below how you use each of these tools to ensure you pass your audit with flying colors.

The Auditor

The Auditor feature in CaseLink Office tests for over 40 possible issues, and has proven to be a tremendous asset in assisting trustees with audit preparation.

To access the Auditor tool, go to Case Administration > Auditor from the Global Menu at the top, which invokes the Auditor screen as shown below.


At the top right corner of the Auditor screen, you can see a summary of the total issues run. Next to the summary are 3 category links: the Evaluated Categories are tests considered for audit selection; the Hidden Categories are tests removed from audit selection; and the Restricted Categories are issues that the user does not have security rights to resolve. Click on each link to get a closer look at the issues contained.

To run a new audit based on select test issues, select the “Create New” button at the bottom of the Auditor screen.  This will invoke the below screen, which will allow you to select various issues for the Auditor to test.


You can exclude test items by deselecting each item within the grid, or to select specific cases, click “Select Cases” at the top right, which will invoke the Case Selection window, shown below.


From this screen, simply click within the checkbox on each case in the grid, then click “Close.” After you have selected cases from this window and gone back to the Create New screen, the “Select Cases” button will be green to indicate that you have taken that action, as shown below.



The ‘Print’ button in the Auditor screen (shown in the first screenshot above) provides an option to produce reports based on the Audit information.

Final Tips

BMS and your Account Manager can also assist you in preparing for your audit.  It’s a good rule of thumb to notify your Account Manager the moment you receive notice that you are going to be audited.  They can go over any questions you may have while providing tips and reports that you can run.

All of these recommendations can help you to achieve a successful and stress-free audit! If you have questions regarding any of these processes in CaseLink, contact our professionals in the BMS Support Center via email or call 800-634-7734, ext. 6. They can walk you through the process step-by-step.