ABSTRACT
The research report was on the effect of internal control system and Financial Performance in Dahabshiil money transfer Company in Kampala -Uganda. Its objectives were to examine to what extent that the control environment of JCS prevents fraud and comply with the Financial Performance of the company; to evaluate the importance of financial information and communication of JCS for the performance of the company; and to assess the relationship between the risk Assessments of !CS and the performance of the company. The study used the analytical cross sectional design. Both analytical and descriptive design approaches were used in the collection and analysis of data. To determine the outline of change in relation to time, a cross sectional design was used. Cross sectional studies are useful to collect factual information from data on many variables. It was also revealed that Dahabshiil money Transfer Company emphasized internal control system. Thus Dahabshiil Money Transfer Company Does not the internal control system include specific audits of accounting. Following the findings and conclusions of the study mentioned the following recommendations were made: The Dahabshiil money Transfer Company give emphasis to internal control system, nevertheless still fraud can be there even if internal control system existed in the company, because week !CS cannot prevent any. So the researcher recommended DMTC should strength its Control system. It was also recommended that DMTC should use procedures for preparing financial statements applied in every consolidated entity in their preparation of accounting entries, without these procedures the company can face problems inside internal control system, because of the lack of proper communications inside DMTC the !CS can't work efficiently. The fixed asset ofDMTC the fixed valued Asset are safe but the cash is not, so the researcher recommended DMTC should develop security towards its cash, to stop potential risks or potential misuse of the cash Finally, the researcher recommended that DMTC should define and notify the risk management responsibilities to the people concerned in the company, and because of that, the company's internal control system can interrogate freely to those have responsibilities.
