Financial Audit: Federal Deposit Insurance Corporation Funds' 2002 and 2001 Financial Statements

Created in 1933 to insure bank deposits and promote sound banking practices, the Federal Deposit Insurance Corporation (FDIC) plays an important role in maintaining public confidence in the nation's financial system. In 1989, legislation to reform the federal deposit insurance system created three funds to be administered by FDIC: the Bank Insurance Fund and the Savings Association Insurance Fund, which protect bank and savings deposits, and the FSLIC Resolution Fund, created to close out the business of the former Federal Savings and Loan Insurance Corporation. GAO is responsible for obtaining reasonable assurance about whether FDIC's financial statements for the funds are presented fairly, whether it maintains effective internal controls, and whether FDIC has complied with selected laws and regulations.