Yinson Annual Report 2021

176 YINSON HOLDINGS BERHAD SECTION 06 : GOVERNANCE REPORT ON AUDIT COMMITTEE b) Financial Reporting t 3FWJFXFE UIF VOBVEJUFE RVBSUFSMZ mOBODJBM SFTVMUT PG UIF (SPVQ QSJPS UP JUT SFMFBTF UP #VSTB 4FDVSJUJFT t 3FWJFXFE UIF BOOVBM BVEJUFE mOBODJBM TUBUFNFOUT PG UIF (SPVQ UPHFUIFS XJUI FYUFSOBM BVEJUPST NBOBHFNFOU MFUUFS BOE management’s response. t 3FWJFXFE UIF BQQMJDBUJPO PG NBKPS BDDPVOUJOH QPMJDJFT BOE QSBDUJDFT UP FOTVSF UIBU UIF (SPVQ T mOBODJBM TUBUFNFOUT had been prepared in compliance with approved accounting standards and that the Company adhered to all legal and regulatory requirements. c) Internal Audit t 3FWJFXFE BOE BQQSPWFE UIF QSPQPTFE SFWJTJPOT UP UIF *OUFSOBM "VEJU $IBSUFS t 3FWJFXFE BOE BQQSPWFE UIF JOUFSOBM BVEJU QMBO t 3FWJFXFE BOE BQQSPWFE UIF (SPVQ *OUFSOBM "VEJU T TUBGmOH SFRVJSFNFOUT BOE CVEHFU UP FOTVSF BEFRVBDZ PG SFTPVSDFT and competencies of the department. t %JTDVTTFE XJUI UIF JOUFSOBM BVEJUPST PO JUT TDPQF PG XPSL GVODUJPOT BEFRVBDZ BOE DPNQFUFODZ PG SFTPVSDFT BOE coordination with external auditors. t $POEVDUFE UXP QSJWBUF TFTTJPOT XJUI JOUFSOBM BVEJUPST JO .BSDI BOE %FDFNCFS SFTQFDUJWFMZ XJUIPVU UIF QSFTFODF of Executive Directors and/ or Management. t 3FWJFXFE UIF SFQPSUT QSFQBSFE CZ UIF JOUFSOBM BVEJUPST PO UIF TUBUF PG JOUFSOBM DPOUSPM PG UIF (SPVQ t .POJUPSFE UIF PVUDPNF PG UIF BVEJUT BOE GPMMPX VQ BVEJUT DPOEVDUFE UP BTDFSUBJO BMM BDUJPO QMBOT XFSF BEFRVBUFMZ implemented to address the key risks. t "TTFTTFE UIF QFSGPSNBODF PG UIF *OUFSOBM "VEJU GVODUJPO *" GVODUJPO BOE SFWJFXFE JUT FGGFDUJWFOFTT JO UIF BVEJU process. d) External Audit t %JTDVTTFE XJUI UIF FYUFSOBM BVEJUPS UIF BOOVBM BVEJU QMBO OBUVSF BOE TDPQF PG BVEJU BT XFMM BT BVEJU QSPDFEVSFT QSJPS UP the commencement of audit. t $POEVDUFE UXP QSJWBUF TFTTJPOT XJUI FYUFSOBM BVEJUPST JO .BSDI BOE %FDFNCFS SFTQFDUJWFMZ XJUIPVU UIF presence of Executive Directors and/ or Management. t 3FWJFXFE UIF FYUFSOBM BVEJUPST BVEJU mOEJOHT GPS ':& t 3FWJFXFE XJUI UIF FYUFSOBM BVEJUPST UIF 4UBUFNFOU PO 3JTL .BOBHFNFOU BOE *OUFSOBM $POUSPM PG UIF (SPVQ GPS JODMVTJPO in the Annual Report. t 3FWJFXFE UIF PWFSBMM QFSGPSNBODF PG UIF FYUFSOBM BVEJUPST JODMVEJOH BTTFTTNFOU PG UIFJS JOEFQFOEFODF UFDIOJDBM competency, resources and reasonableness of their audit fees and non-audit fees. e) Other matters t 1SFQBSFE 3FQPSU PO "VEJU $PNNJUUFF GPS UIF #PBSE XIJDI JODMVEFT UIF DPNQPTJUJPO PG UIF "$ UIF SFGFSFODF UP JUT terms of reference, number of meetings held, a summary of its works and a summary of the works of the IA function for inclusion in the Annual Report. t 7FSJmFE DSJUFSJB GPS BMMPDBUJPO PG TIBSF PQUJPOT UP FMJHJCMF FNQMPZFFT GPS ':& VOEFS &44 t 3FWJFXFE BOE NPOJUPSFE UIF 3FDVSSFOU 3FMBUFE 1BSUZ 5SBOTBDUJPOT t 3FWJFXFE BOE SFDPNNFOEFE UIF EJWJEFOE QBZ PVU INTERNAL AUDIT FUNCTION The Group’s IA function is carried out via a co-sourcing engagement between the Group’s in-house Internal Audit Department (“IAD”) and Ernst & Young Advisory Services (“EY”). The IA function assists the AC in its duties and responsibilities and is free from any relationships or conflicts of interest, thus retaining its objectivity and independence. IAD and EY report directly to the AC on the adequacy and effectiveness of the Group’s internal controls. The AC is aware that an independent and adequately resourced IA function is essential to obtaining assurance on the effectiveness of the system of internal control.