Hello Yu-Wei
I assume that when the fund was audited in December 2023 for 30 June 2023 that the mistaken payment of the lump sum to a bank account in the fund’s name was not detected, but that this matter has recently been detected.
It is also assumed that there is sufficient evidence of instructions given in the 2023 financial year for the lump sum to be paid.
One approach in this situation is take the view that as a result of human error the lump sum was paid into the wrong bank account. The wrong bank account happened to be a bank account of the fund. Accordingly, the fund has held the lump sum payment on trust for the fund member (a separate trust relationship to the underlying self-managed superannuation fund).  Based on this approach, the bank interest earned on the lump sum payment is also the interest income of the fund member – and not the fund’s.
Would be happy to hear the views of other fund auditors.
Best regards
The Auditors Institute