that should of said BANK Account not Back

If your GL for the Bank is inflated than journal entry would need to be done to correct that.  In the bank reconciliation it almost sounds like yes there were double entries a debit and a credit and only one side was cleared.  For the bank to be inflated there had to have been some entries that were not corrected properly.  Can you go back to the original entries and follow the trails of the debits and credits to see where the error may have been?

yes there were entries that were not corrected properly and we know that most of the errors were that she adjusted the original postings in the banking module after they had all ready been reconciled.   I have traced back but there are no double entries in the G/L.  I am asking from a technical stand point as to why it does create a double entry.  Sage support suggest that the auditors create the adjusting entry to correct the bank account as they would know best which coa's to involve to rectify it.

It does a double entry in the bank rec module because it is reversing the old entry and then when the new entry (even if the original entry was what was changed), will create a line.  So  in the bank rec you would have a debit and a credit to cancel.  It's like opening an accounts payable posting.  As soon as you hit the correction button it reverses that entry and then whatever you change it to it puts in the new entry in ALL GL's that it touches.  

sorry that should be why it does not create a double entry.

the double entry probably was there but whomever reconciled it before probably only cleared one side.

the issue I am having is that when I run the G/L to try and  track the double entries there are not any recorded in the G/L.   It doesn't seem to record them if the adjustments were done in the banking module.

It is making this nearly impossible to track and figure out how to rectify.

But you do know how much your outstanding in your bank reconciliation should be now correct?  If you do then everything else you can reconcile so you have the correct totals now?

yes we know that the bank account on the books is inflated by the total of the outstanding transactions  on the bank reconciliation.   I understand that this is a common issue in  Sage but my treasurer does not understand why it does not post as a double entry to the G/L.   We have backed up to the year end and ran the last detailed bank rec report so we have a record of the outstanding transactions for the auditor to look at prior to my  resetting the bank reconciliation with Sage support..  She would like it corrected in house so that we don't have to pay the auditors to do so

Sage has always been that way.  If you correct an original entry it takes it back to that JV and changes it.  The only way to get the double entry showing the original and a new one is to ALWAYS create a new entry and leave the old entry intact and alone. Then it will show the ins and outs of everything you posted in the GL.  I never change the original, I always create a new entry.  Definitely a better trail. 

Sage has always been that way.  If you correct an original entry it takes it back to that JV and changes it.  The only way to get the double entry showing the original and a new one is to ALWAYS create a new entry and leave the old entry intact and alone. Then it will show the ins and outs of everything you posted in the GL.  I never change the original, I always create a new entry.  Definitely a better trail.