An "extensive independent" audit of the Football Association of Ireland (FAI) will get underway in the coming days.
Sport Ireland says a team of senior auditors, including a forensic accountant, from KOSI Corporation will conduct the audit.
In a statement, Sport Ireland said: "The audit will independently assess the expenditure of all Sport Ireland grant funding in accordance with the FAI’s approved submissions.
"It will also examine in detail the FAI’s wider financial administration & internal control environment, including an assessment of the FAI’s fitness to handle public funds."
Last month, Sport Ireland announced it was suspending and withholding future funding to the FAI.
It came after the football association admitted it broke State funding rules.
The admission followed speculation over a €100,000 loan former CEO John Delaney gave the organisation out of his own pocket in April 2017.
The FAI receives around €2.7 million annually from Sport Ireland to cover a number of programmes.
Sport Ireland said it will consider reinstating funding once all reports commissioned by the FAI have been completed and recommendations adopted.
FAI officials have previously pledged to take all appropriate steps to "restore trust and confidence and rebuild the relationship with Sport Ireland as soon as possible".
Both organisations have already agreed to establish a Governance Review Group to work on reform proposals for the FAI.