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Datasonic Group Berhad
(Company No. 809759-X)
46
AUDIT COMMITTEE REPORT
(Continued)
A. SUMMARY OF ACTIVITIES OF THE AUDIT COMMITTEE FOR THE FINANCIAL YEAR ENDED 31
MARCH 2016 (CONT’D)
2.
External Auditors (cont’d)
c.
ii.
Suitability and performance (cont’d)
The Management confirmed that the External Auditors had extended full
cooperation coupled with suitable advice, suggestions or clarifications relating
to the accounting treatment and presentation of the financial and operational
transactions at all times, had maintained active engagement and communication
with the Management during the audit processes and the audit fees proposed
were regarded as competitive and reasonable based on the complexities, sizeable
volume of transactions and time spent on the audit undertakings. The outcome of
the performance assessment supports the Audit Committee’s recommendation to
the Board for the re-appointment of Messrs Crowe Horwath as the External Auditors
of the Company for the ensuing year.
The Board at its meeting in May 2016 approved the Audit Committee’s
recommendation to re-appoint Messrs Crowe Horwath, subject to the shareholders’
approval to be sought at the forthcoming Annual General Meeting.
d.
Reviewed and discussed on the opinion given by the External Auditor from their review
on the Statement on Risk Management and Internal Control for the financial year ended
31 March 2016 issued by the Company in accordance with the Statement on Risk
Management and Internal Control: Guidelines for Directors of Listed Issuers.
e.
In February andMay 2016, the Audit Committee had two privatemeetings with the External
Auditors without the presence of the Executive Directors and the Management. There
were no significant unfavourable points raised by the External Auditors which warranted
the attention of the Management.
3.
Internal Auditors
a.
Reviewed and approved the Audit Planning Memorandum of the Internal Auditors for
the working period from June 2015 to May 2016 in respect of the financial year ended 31
March 2016 with emphasis on the audit scopes of work, audit activities and planned of
work, adequacy of resources and sufficiency of coverage of auditable areas selected
on the practice of risk-based audit approach.
b.
Reviewed and discussed the Internal Audit Reports which consists of the audit findings,
recommendations and the corrective actions agreed and committed upon by the
Management which will ensure that all key risks are addressed on a timely basis and
mitigating controls will be put in place. There were eight (8) Internal Audit Reports issued
by the Department for the financial year ended 31 March 2016 which were aligned to
the approved Audit Planning Memorandum. All Internal Audit reports were also discussed
and resolved with concentration on matters of disputable findings and recommendations
of corrective measures at the Management Committee Meetings.
c.
Reviewed the progress of action plans committed by the Management in response to all
key findings and recommendations highlighted in the previous Internal Audit Reports and
the status of the implementation of the corrective measures which would progressively
be monitored.