Special administration of Wellington Aboriginal Corporation Health Service will continue until May 22, with the appointment of a new chief financial officer to improve financial performance.

The administration came at the request of WACHS directors after identifying serious financial discrepancies within the corporation and seeking action from the registrar of Aboriginal Corporations in September 2021.

In a recent statement acting registrar Gerrit Wanganeen said despite the discrepancies the financial position of WACHS remained positive.

"The special administrators have addressed financial controls and made changes to improve financial performance," he said.

"This work has included recruiting a new CEO and CFO, as well as reviewing and restructuring the executive management group—anticipated to deliver estimated savings of $1.5 million per annum to the corporation.

"There is no risk of it being unable to meet its debts."

Ongoing recommendations include the increased frequency of grant, depreciation and leave accrual calculations from yearly to quarterly reporting.

The representation of business and client interests was also identified as a key area of focus for the corporations success, as WACHS provides health services throughout a large percentage of New South Wales including Moree, Dubbo, The Blue Mountains and Western Sydney.

"Right now to become a member and a director of WACHS you must reside in either Wellington, Dubbo or their surrounding areas," Mr Wanganeen said.

"This restricts participation in corporation affairs from those other areas."

A draft audit shows WACHS maintained a working capital surplus of more than $6 million and net profits of $1.6 million as of December 31.

Returns from the current financial period are expected to decrease.

WACHS said more time was required to work with stakeholders to ensure the corporation is better placed to serve its clients, with administrators currently in the process of restoring favourable operational order.

A new structure for the executive management team has been announced.

Recruitment is underway to fill new roles and independent specialist director positions.