STATE COMPLETES AUDIT OF PROBATE COURT’S SMALL ESTATES

The Department of Accounting and General Services’ Audit Division Reviews Cases Yearly

News Release from DAGS, June 7, 2026

HONOLULU — The Audit Division of the Department of Accounting and General Services (DAGS) released its Fiscal Year 2025 audit of the Estate and Probate Branch of the Small Estate Section of the First Circuit Court. It found no audit deficiencies and confirms the court is in compliance with Hawaiʻi statutes and Judiciary financial administration requirements. 

Hawaii Revised Statutes (HRS) §560:3-1214 mandates DAGS to audit cases annually. Those cases include modest estates valued at $100,000 or less, where the decedent did not appoint a personal representative. 

In these instances, the clerk of the court officially acts as the personal representative of small estates. That is mandated under HRS §560:3-1205. In this role, the clerk may collect estate assets, pay debts and administrative expenses and distribute remaining assets to heirs and beneficiaries as required by law. 

This fiscal year, the clerk of the court acted as the personal representative of 19 cases with a total value of $42,787.20. 

DAGS Audit Division examined the accounts and transactions in four key areas: 

• Whether cash balances were accurately recorded and reported; 
• Whether non-cash assets existed, were properly valued and appropriately accounted for; 
• Whether financial transactions were supported by required documentation and complied with established accounting procedures; and 
• Whether small estate case files were properly initiated, maintained and documented in accordance with state law and Judiciary requirements.

According to the audit report, auditors found no problems.  

“The annual audit process provides an important layer of accountability and public assurance,” said DAGS Director and Comptroller Keith Regan, also the Acting Lieutenant Governor. “These results demonstrate the effectiveness of the controls and procedures in place and reflect the ongoing commitment of Judiciary personnel to responsible stewardship of estate assets.” 

The Audit Division also reported that recommendations from the previous fiscal year’s audit had been successfully implemented. Those recommendations were related to the timely recording of non-cash distributions and the assessment of administrative fees. 

The annual audit is part of the Audit Division’s responsibility to review the accounts and transactions of court clerks serving as personal representatives of small estates and to report the results to the judges of the respective courts. These reviews help ensure transparency, accountability and sound financial management in the administration of estate assets entrusted to the courts. 

DAGS does not publicly post the reports of the audit findings. It gives the report to the court. 

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