Regulatory Divisions of A Casino's Auditing Bodies

The basis for the conduct of regulatory policies for internal auditing of casino establishments believe to have started in 1959 when a gaming regulatory body took control of the gaming business in Nevada. This regulating body was the Nevada Gaming Control Board that was created and established in an effort to provide a clear procedural means of regulating the processes of counting the collections and receipt reconciliations in order to maintain the integrity of the gaming industry in casinos. The disciplinary act is handled by the Nevada Gaming Commission.

Since then, the trend of accounting and auditing process in all casinos was established with a gained wide acceptance and later became integrated to all casinos operations. Although there are different regulatory bodies that take over the implementation of the auditing process in every casino, there are three identified internal audit divisions found to be the common denominators with the implementation of auditing policy conducted in casinos.

These three divisions are the investigation, enforcement and audit. These are the basic structures implemented in casino auditing procedures. The enforcement and audit divisions are typically considered to have the greatest influence on the casino's auditing process. The audit division is responsible for reviewing taxes to be accurately calculated and remitted by the casino. This auditing division ensures the compliance of the regulatory guidelines by the casinos such as the allotment of enough cash reserves that will be used to pay a casino player's winnings.

The enforcement division on the other hand is responsible for the licensing of casino establishments ensuring that they have fully complied with the standards set by the regulatory body. They have the power to provide modifications with the existing regulations and primarily responsible for the issuance of sanctions or disciplinary actions to the casinos proven to execute regulatory violations. This department is responsible for deploying in-site regulatory officials to a casino designated to effectively monitor the compliance of the casino establishments to the standard regulatory requirements.

The goals of an auditing body of a casino is to provide an external auditing body in the presence of a regulatory auditor that will carry out an independent auditing procedure to a casino and make a review of the financial policies observed by a casino. An independent auditing process that was undertaken will give the assurance to the casino management, tribal council, audit committee and the casino's board of directors that the financial reports of a casino reflects the actual result of the financial activities of a casino.

The regular auditing procedure carried out to a casino establishment is a form of protecting the casino's customers which ensures that there is enough cash to pay any player's winnings. It also protects the financial integrity of the casino establishment by providing effective auditing process and provides an efficient remedy to help the casino meet the policies and standards set by a regulatory body.