New Jersey Administrative Code › Title 17 - TREASURY - GENERAL › Chapter 20 - RULES OF THE LOTTERY COMMISSION › Subchapter 12 - COURIER SERVICES › Section 17:20-12.21 - Courier service audit and financial reporting and controls

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A courier
				service shall provide annually to the Division, no later than 120 days
				following the end of such courier service's fiscal year, financial statements
				audited in accordance with generally accepted auditing standards, unless the
				Director in writing waives such requirement. The Director may require, in
				addition, other financial information, in a format the Director prescribes. The
				preparation of annual or other financial statements shall be at the sole
				expense of the courier service.
(b)
				In addition to the courier service's audited financial statements, each courier
				service shall submit an SSAE 18 report annually no later than 120 days
				following the end of such courier service's fiscal year.
(c) Further, each courier service shall
				submit a copy of the management letter prepared by an independent certified
				public accountant that lists any internal control or operational weaknesses
				noted during the financial statement audit and recommendations for improvement.
				The courier service shall prepare a response to the issues outlined in the
				management letter that describes any corrective actions taken or planned to be
				taken and include a copy of this response with its submission to the
				Division.
(d) If a courier service
				or any of its affiliates is publicly held, such courier service or affiliate
				shall make available and provide written notice to the Division of any report,
				including, without limitation, forms S-1, 8-K, 10-Q, 10-K, proxy or information
				statements, and all registration statements required to be filed by such
				courier service or affiliates with the United States Securities and Exchange
				Division or other domestic or foreign securities regulatory agency, at the time
				of filing with such agency.
(e) The
				Division has the authority to conduct, or to have conducted at a courier
				service's expense, an audit or review of any of such courier service's
				financial controls and records.
(f)
				The courier service, including, but not limited to, courier trust accounts,
				courier customer accounts, courier service system, ticket processing records,
				shall be subject to both random and scheduled financial and/or operational
				audits by the Division and/or the Lottery's independent auditing firm, as well
				as any other authorized State or Federal entity. The courier service shall
				cooperate with any such audit. The Director may immediately suspend or revoke a
				courier service's registration for failure to cooperate with any such
				audit.
(g) The courier service
				software system shall be designed to generate reports as specified by the
				Division that shall include at a minimum:
1.
				The report title;
2. The version
				number of the current system software and report definition;
3. The date or time period of activity, or
				description "as of" a point in time;
4. The date and time the report was
				generated;
5. Page numbering,
				indicating the current page and total number of pages;
6. Subtotals and grand totals as required by
				the Division;
7. A description of
				any filters applied to the data presented in the document;
8. Column and row titles, if applicable;
				and
9. The name of the courier
				service.