The implementation of internal control in mosque institutions: a case study

Purpose This paper aims to examine the extent of internal control practices among the mosques in one of the states in Malaysia. Design/methodology/approach Data were collected by distributing a questionnaire to 100 mosques in one of the states in Malaysia. The questionnaire was structured into seven sections consisting of internal control procedures for the mosques. The mosques were required to indicate whether they had implemented the listed internal control procedures by checking the corresponding boxes in the questionnaire. Findings The main weakness in terms of internal control practices among the mosques is the lack of documentation for financial sources. Additionally, the findings indicate that some of the internal control procedures are being neglected by the administrators of the mosques, i.e. a lack of adherence to procedures for depositing cash collections that exceed RM3,000 on the same day. Research limitations/implications These findings highlight the need for religious institutions to strengthen their roles by consistently monitoring the financial management of the mosques and ensuring that financial reports are submitted. Practical implications This study suggests that the financial management of a mosque requires a new technological innovation that can assist administrators in maintaining and organizing their documents systematically. This will ultimately improve the internal control of the mosques. Originality/value This study fills the research gap on the compliance of internal control practices among mosque institutions based on the Guidelines for Coordination of Financial Management of Mosques throughout Malaysia.