Management Assistance Report: U.S. Embassy Mexico City Cashier Operations

OIG recommends that U.S. Embassy Mexico City conduct reconciliations and unannounced verification of funds on a monthly basis, as required by 4 FAH-3 H-397 1.2(a) and (b).

OIG recommends that U.S. Embassy Mexico City’s Financial Management Center review internal controls for the fiscal irregularities identified and improve oversight procedures by conducting additional reviews of cashier operations. U.S. Embassy Mexico City needs to independently verify that its Financial Management Center performs its required monthly reviews and closeouts of cashier accounts, pursuant to 4 FAH-3 H-393.3-3.

OIG recommends that U.S. Embassy Mexico City require all principal and alternate cashiers to complete the Department of State Global Financial Services Center’s basic cashier training course, as required by 4 FAH-3 H-393.1-1.

OIG recommends U.S. Embassy Mexico City take immediate action to cease co-mingling of cashier accounts and the sharing of passwords and safe combinations. U.S. Embassy Mexico City needs to implement enhanced internal controls of financial transactions and improved security procedures to prevent these issues from recurring.

OIG recommends U.S. Embassy Mexico hire an external forensic auditor to conduct an audit of the MXA and MXB accounts to account for the $49,364.38 in missing funds.