# Ark. Code Ann. § 19-3-506: Custodian of moneys and securities - Internal controls - Annual audit > Arkansas · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-506 ## Section - **Citation:** Ark. Code Ann. § 19-3-506 - **Heading:** Custodian of moneys and securities - Internal controls - Annual audit - **Jurisdiction:** Arkansas - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** AR Code / Title 19 / Chapter 3 / Subchapter 5 / Section 19-3-506 ## Text (a) (1) The Treasurer of State shall: (A) Be custodian of all moneys, securities, and certificates of deposit at any time held in the State Treasury; and (B) Maintain all moneys and securities consistent with generally accepted accounting principles. (2) However, control of the disposition of securities is vested in the respective administrators of the several trust accounts for whom the securities are held. (b) To ensure the financial integrity of the State Treasury, the Treasurer of State shall: (1) Establish and maintain effective internal controls over financial reporting and record keeping, including the monitoring of ongoing activities, and comply with the Arkansas Constitution and applicable laws, rules, contracts, and agreements; (2) Establish and maintain effective internal controls to prevent and detect fraud; (3) With respect to State Treasury funds or other public funds, notify Arkansas Legislative Audit of all known fraud or suspected fraud or all known or suspected illegal acts involving the management or other employees of the Treasurer of State, the State Board of Finance, a bank depository, an investment depository, or a securities broker; (4) Inform Arkansas Legislative Audit and the Chief Fiscal Officer of the State of any known material violations of the Arkansas Constitution or applicable statutes, rules, contracts, or agreements; (5) Prepare records and reports in accordance with guidelines and timelines established by the Chief Fiscal Officer of the State to permit incorporation into the state's financial statements and to permit the audit of the state's financial statements and the records, reports, and financial statements of the Treasurer of State in a timely manner; and (6) Make all financial records and related information available to Arkansas Legislative Audit, including the identification of significant personal or financial relationships between a director, officer, or employee of a bank depository, investment depository, or securities broker and an officer or employee of the Treasurer of State or board. Amended by Act 2017, No. 263,§ 1, eff. 8/1/2017. Amended by Act 2013, No. 1088,§ 2, eff. 8/16/2013. Acts 1997, No. 847, § 1. (a) (1) The Treasurer of State shall: (A) Be custodian of all moneys, securities, and certificates of deposit at any time held in the State Treasury; and (B) Maintain all moneys and securities consistent with generally accepted accounting principles. (2) However, control of the disposition of securities is vested in the respective administrators of the several trust accounts for whom the securities are held. (1) The Treasurer of State shall: (A) Be custodian of all moneys, securities, and certificates of deposit at any time held in the State Treasury; and (B) Maintain all moneys and securities consistent with generally accepted accounting principles. (A) Be custodian of all moneys, securities, and certificates of deposit at any time held in the State Treasury; and (B) Maintain all moneys and securities consistent with generally accepted accounting principles. (2) However, control of the disposition of securities is vested in the respective administrators of the several trust accounts for whom the securities are held. accounting principles. (A) Be custodian of all moneys, securities, and certificates of deposit at any time held in the State Treasury; and (B) Maintain all moneys and securities consistent with generally accepted accounting principles. (2) However, control of the disposition of securities is vested in the respective administrators of the several trust accounts for whom the securities are held. (b) To ensure the financial integrity of the State Treasury, the Treasurer of State shall: (1) Establish and maintain effective internal controls over financial reporting and record keeping, including the monitoring of ongoing activities, and comply with the Arkansas Constitution and applicable laws, rules, contracts, and agreements; (2) Establish and maintain effective internal controls to prevent and detect fraud; (3) With respect to State Treasury funds or other public funds, notify Arkansas Legislative Audit of all known fraud or suspected fraud or all known or suspected illegal acts involving the management or other employees of the Treasurer of State, the State Board of Finance, a bank depository, an investment depository, or a securities broker; (4) Inform Arkansas Legislative Audit and the Chief Fiscal Officer of the State of any known material violations of the Arkansas Constitution or applicable statutes, rules, contracts, or agreements; (5) Prepare records and reports in accordance with guidelines and timelines established by the Chief Fiscal Officer of the State to permit incorporation into the state's financial statements and to permit the audit of the state's financial statements and the records, reports, and financial statements of the Treasurer of State in a timely manner; and (6) Make all financial records and related information available to Arkansas Legislative Audit, including the identification of significant personal or financial relationships between a director, officer, or employee of a bank depository, investment depository, or securities broker and an officer or employee of the Treasurer of State or board. (1) Establish and maintain effective internal controls over financial reporting and record keeping, including the monitoring of ongoing activities, and comply with the Arkansas Constitution and applicable laws, rules, contracts, and agreements; (2) Establish and maintain effective internal controls to prevent and detect fraud; (3) With respect to State Treasury funds or other public funds, notify Arkansas Legislative Audit of all known fraud or suspected fraud or all known or suspected illegal acts involving the management or other employees of the Treasurer of State, the State Board of Finance, a bank depository, an investment depository, or a securities broker; (4) Inform Arkansas Legislative Audit and the Chief Fiscal Officer of the State of any known material violations of the Arkansas Constitution or applicable statutes, rules, contracts, or agreements; (5) Prepare records and reports in accordance with guidelines and timelines established by the Chief Fiscal Officer of the State to permit incorporation into the state's financial statements and to permit the audit of the state's financial statements and the records, reports, and financial statements of the Treasurer of State in a timely manner; and (6) Make all financial records and related information available to Arkansas Legislative Audit, including the identification of significant personal or financial relationships between a director, officer, or employee of a bank depository, investment depository, or securities broker and an officer or employee of the Treasurer of State or board. Amended by Act 2017, No. 263,§ 1, eff. 8/1/2017. Amended by Act 2013, No. 1088,§ 2, eff. 8/16/2013. Acts 1997, No. 847, § 1. ## Nearby sections - [Ark. Code Ann. § 19-3-501 Title](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-501.md) - [Ark. Code Ann. § 19-3-502 Definitions](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-502.md) - [Ark. Code Ann. § 19-3-503 State Treasury accounts](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-503.md) - [Ark. Code Ann. § 19-3-504 Record and report of financial transactions](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-504.md) - [Ark. Code Ann. § 19-3-505 Disposition of moneys received by Treasurer of State](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-505.md) - [Ark. Code Ann. § 19-3-506 Custodian of moneys and securities - Internal controls - Annual audit](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-506.md) - [Ark. Code Ann. § 19-3-507 Bank depositories generally](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-507.md) - [Ark. Code Ann. § 19-3-508 Deposits in ineligible institutions](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-508.md) - [Ark. Code Ann. § 19-3-509 Maximum amount of deposits and investments - Protection of State Treasury funds](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-509.md) - [Ark. Code Ann. § 19-3-510 Types of accounts for deposits](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-510.md) - [Ark. Code Ann. § 19-3-511 Term of deposit - Interest](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-511.md) - [Ark. Code Ann. § 19-3-512 Estimate and investment of funds not needed for immediate cash requirements](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-512.md) - [Ark. Code Ann. § 19-3-513 Interest income on deposits](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-513.md) - [Ark. Code Ann. § 19-3-514 List of deposits](https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-514.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_AR_T19_C3_S5_S19-3-506. Check the current official text before relying on it. Not legal advice.