Reconstruction is an evidence test
Reconstructing a transaction means using records to establish what happened. Section 107 requires sufficient records to reconstruct individual transactions relating to the designated service.
The necessary details depend on the service. A payment entry can leave the parties, instructions or linked documents unclear.
Source: Federal Register of Legislation: 107, 118 and 119.
- Instruction
Locate the original instruction and identify the parties.
- Action and changes
Link the work performed, changes and payment information.
- Completed result
Explain what occurred and why it differs from the original instruction, if applicable.
- Retrieval check
Ask another person to locate the records and identify any missing links.
Follow a transaction through its records
Suggested reconstruction exercise. Preserve actual history and mark later explanations as retrospective.
Follow the process from top to bottom.
Link the records together
A practical design uses a consistent reference across instructions, documents and system entries. Link any change to the original instruction.
Show how several payments or actions relate to the transaction. Identify which entity provided the service.
Invented example: a revised instruction
In a fictional matter, a customer changes an instruction before a payment. The file contains the first instruction and payment entry, but not the change.
The reviewer cannot explain the difference from those records alone. Staff locate the missing instruction and preserve its original date and source.
A later explanation must be labelled as a later explanation. Do not present it as a record made at the time.
Run a retrieval exercise
Ask an authorised person to retrieve the evidence and explain the transaction. Identify gaps in the parties, amounts, timing or instructions.
This is a practical exercise, not a statutory test format. Use it after a system migration where relevant.
Section 107 has its own scope and retention period. Apply the relevant exemptions and other duties before disposal.
Record the retrieval result
Record what the retrieval exercise established and what remains missing.
If a system change removed a link, correct the link and repeat the affected retrieval. A matching file count does not prove usable evidence.