Wah Seong Corporation Berhad Annual Report 2020

43 ANNUAL REPORT 2020 3.3 External Auditors a. The AC at its meeting held on 18 February 2020, reviewed the annual assessment of the performance of PwC in respect of the financial year ended 31 December 2019 based on the following areas:- • Calibre of External Auditors; • Quality processes/performance; • Audit team; • Independence and objectivity; • Audit scope and planning; • Audit fees; and • Audit communications. Being satisfied with their performance, technical competency and audit independence, the AC recommended the re-appointment of PwC as the External Auditors of the Group for the financial year ended 31 December 2020 to the Board for approval accordingly. The Board had since tabled the same to the Company’s shareholders for their approval at the Annual General Meeting (“AGM”) of the Company held on 23 June 2020. b. The AC had two (2) private meetings with the External Auditors on 18 February 2020 and 27 August 2020 respectively, without the presence of the Group Chief Executive Officer, the Executive Directors, Senior Management and Internal Auditors. There were no areas of concern raised by PwC that need to be escalated to the Board. c. On 27 August 2020, the AC reviewed the Audit Plan prepared by the External Auditors for the financial year ended 31 December 2020 outlining the detailed terms and responsibilities of PwC and PwC’s affirmation of their independence as External Auditors, areas of audit emphasis based on significant risks, scope of audit, audit reporting timeline, reliance and working with the Internal Auditors, Information Technology systems for Audit Support, Audit Innovation Tools, development in laws and regulations, new auditing and accounting standards and PwC’s action plans on how to go about working efficiently and effectively and team work with the Management of the Group. d. On 27 August 2020 and 24 November 2020, the AC reviewed and deliberated on the audit and non-audit fees incurred for services provided by the External Auditors throughout their terms of engagement for the financial year under review. e. On 24 November 2020, the AC reviewed the WSC Group Interim Audit Report presented by PwC for the financial year ended 31 December 2020 which covered the scope of audit involving the tests of controls over Management’s processes surrounding revenue and receivables, purchases and payables, treasury, payroll and inventory cycles and test of details performed on certain subsidiaries within the Group and PwC’s confirmation of their audit independence. f. The AC had obtained confirmation from the External Auditors confirming their independence and that they were not aware of any non-audit services that had compromised their independence as External Auditors of the Group throughout their terms of engagement for the financial year under review. 3.4 Recurrent Related Party Transactions a. On 18 February 2020, 20 May 2020, 27 August 2020 and 24 November 2020 respectively, the AC reviewed all related party transactions and recurrent related party transactions to ensure that they were within the mandate obtained from the shareholders of the Company. AUDIT COMMITTEE