Subject: Forwarded: financial inspection of the HQ

From: [email-masked]
Date: 30 Oct 1993 17:06:26 -0500 (CDT)

Memo: 	On Implementing the Council Resolution 
	on Financial Inspection of IFCSS HQ

Status: Urgent

Date:  October 28, 1993

To:    IFCSS HQ
Cc:    IFCSS Supervisory Committee, council-l net 

From:  IFCSS Council
       Signed by:  	Dong Liqun, Chair;
			Ding Yungui, Co-Chair
			Zhou Hongguang, Coordinator of the Inspection Team

Subj:  RE: Accounting Inspection of Council Finance Committee 

While the HQ is pleased with the enthusiasm and sense of responsibility
of the Council Finance Committee, it is pitiful that this Committee is not 
equally pleased with the response of the HQ to the Committee's request. 

1. Delay of Documents and Date of Site Examination
1.1	The documents mentioned in the HQ's list has yet to be completed 
by this week. We feel we would have appreciated more if the HQ had 	
responded to our request more promptly so that we could have progressed 
faster.
1.2	The Inspection Team will be in Washington, DC on November 5-7, 1993.

2. Financial Report
2.1	The Inspection Team has received the Financial Reports only for 
the following: 
	1)  Quarterly Report for the Fiscal Year 92-93; 
     	2)  Annual Report for IFCSS Foundation, Inc. and IFCSS, Inc
  	Fiscal Year 92-93 
    
However, regarding the following, the HQ has claimed that the 
Financial Reports have been furnished to the Inspection Team, which   
is not consistent with the fact:  

	4)	IFCSS Newsletter; 
     	5)	the IFCSS 5th Congress; 
     	6)	CSPA Center; 
     	7)	CSS-Protection Account; 
     	8)	NED Grant; 
     	9)	Insurance Return; 
     	10)	June 4th Foundation. 

The so-called Financial Reports the Inspection Team has received are 
merely Summary Sheet. A Financial Report, in the professional practice 
of accounting, must consist of three parts: Operation Statement, Balance 
Sheet and Cash Flow Statement. We would like to ask the HQ to carefully check 
the records before claiming that the Financial Reports for

	1)   CSS-Protection Account; 
     	2)   NED Account; 
     	3)   Insurance Return Account; 
     	4)   June 4th Foundation Account. 

have been sent to the Inspection Team.

2.2	Because the Inspection is scheduled to arrive at the HQ in 
Washington, DC, the time is of essence. The Council requires the HQ 
provide the Financial Reports for 
     	1)   CSS-Protection Account; 
     	2)   NED Account; 
     	3)   Insurance Return Account; 
     	4)   June 4th Foundation Account.
and mail out by express mail by Saturday, October 30, 1993.

3. Checks and Tax Forms
3.1	We appreciate the cooperation the HQ has demonstrated regarding 
this matter. The coordinator of the project, Mr. Zhou Hongguang, has been 
in closed contact with the IFCSS treasurer, Ms Jiang Zuihong, regarding 
several technical issues including the copy of registered checks. Due to 
the fact that some technical considerations and sensitivities are involved, 
we believe more communications between the Council Finance Committee and 
the HQ will be helpful and crucial to the inspection and IFCSS' operation. 

3.2	The registered checks the Inspection Team requests are ONLY those 
for two accounts of IFCSS Foundation, Inc and IFCSS, Inc.. This point was 
failed to be clarified in the communication with the HQ. We are sorry for 
the confusion about that. This also eliminates the concerns over the 
confidentiality of 6.4 Foundation account.

3.3	The Council requires the HQ to make a copy of all checks cleared for 
the operation of the IFCSS Foundation, Inc and IFCSS, Inc. accounts, NOT 
including the checks related to the 6.4 Foundation Account and mail out 
by express mail by Saturday, October 30,1993 only to Zhou Hongguang.

3.4	The Tax Form
The inspection Team can wait for the copy of Form 990 (92-93). However, 
the Council requires copies for the previous years, as the Team previously 
mentioned "each year" rather than only this year, be mailed out by 
Saturday, October 30, 1993.

4. Responsibility
4.1	It is VERY inappropriate and irresponsible for the HQ to bring 
the issue to the public before ever having any communications with the 
inspection team coordinator Mr. Zhou Hongguang, or other members. We hope 
the HQ can have more direct communications with the inspection team,and 
restrain yourself from using indirect channels. Again, the appointed 
coordinator is Mr. Zhou Hongguang, who can be reached through phone, 
fax, or email.  

5. Volunteerism
5.1	It has been not an easy task for the Council members in 
the inspection team to receive the needed documents and to examine them. 
They have been spending many hours of their precious volunteer time and 
working hard on it. The timetable of their work and the details of their 
progress will be provided to the Council in a report later.   

Again, your cooperation will be highly appreciated for the sake of the 
credibility and the future of IFCSS. 

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