annual report 2012 – 13 - Australian Government Solicitor

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTSfor the year ended 30 June 2013>18. Client and third party fundsYear ended30 June 2013$'000Year ended30 June 2012$'000AGS receives money in trust for clients usually pending settlement of clients’ transactions. These moneysare not available for legal practice operating purposes and are not recognised in the financial statements.Typically client funds are held for short periods of time for transactional purposes. Exceptionally funds maybe held for a longer period where a settlement is delayed or title to funds is disputed. By arrangement withour client interest may be payable to the client or the client’s nominee or on the instructions of a court. AGSdoes not pay interest to its clients except where an arrangement has been made to do so.Australian Government Solicitor client and third party funds accountsBalance at beginning of the period 5 032 15 552Add receipts 201 683 167 211206 715 182 763>Less expenditure 199 944 177 731Balance at end of the period 6 771 5 03219. Contingent liabilities and assetsAGS is aware of the potential for losses arising from its normal operations as a legal practice and has takenout insurance arrangements designed to ensure that the risk of adverse effect on the profits, assets and cashflow is immaterial to the continuing operations of AGS (Nil at 30 June 12). At 30 June 2013, AGS considers thescale of unquantifiable or remote contingent losses or gains to be immaterial.At 30 June 2013, AGS has not provided a liability for a final dividend for the current year. The amount andtiming of the final dividend payment is subject to discussion with and agreement by shareholders.AGS Annual report 2012–13 81