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        <FormAndLineReferenceDesc>Schedule F, Part I, Line 2</FormAndLineReferenceDesc>
        <ExplanationTxt>Monitoring funds: SC signs MOUs with all implementing partners &amp; conducts financial management and monitoring of partners to ensure that funds are received and disbursed as intended in the funding agreement. This is intended to 1) ensure an audit trail for the movement of funds from SC to partner 2) ensure an audit trail for the expenditure of funds by partners 3) triangulate financial monitoring with program monitoring to ensure expenditure of funds for intended purposes. Monitoring intensifies at specific points of program implementation identified as high risk, including participant registration, distribution of teaching and learning materials, and distribution of cash grants. Partners are required to maintain robust financial records and submit monthly and quarterly financial reports to SC; this process is designed to ensure adherence to donor requirements as well as ensuring the continual development of partner financial practices in order to meet international standards. SC's Financial Management Team provides regular support to partners on maintenance of accurate expenditure records, and conducts formal financial reviews each quarter, including (i) assessment of the use of funds, to provide value for money considering both financial and programmatic aspects; and (ii) counter-fraud and financial controls, involving an evidence-based examination of possible misuse or misconduct. A written report is prepared and distributed as appropriate following the conclusion of each review. The reports contain partner responses and corrective actions to be taken with regards to specific findings and recommendations, including a timetable for anticipated completion and a justification for any recommendations not addressed. SC is responsible for ensuring that any issues identified are prioritized for additional training and support. SC partners receive donor funds into project-specific bank accounts. Due diligence is completed on all partners prior to disbursement of funds.</ExplanationTxt>
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