SCC Holdings Berhad Annual Report 2018

SCC Holdings Berhad | Annual Report 2018 .19 INTERNAL AUDIT FUNCTION The Company engaged Messrs. CGRM Infocomm Sdn Bhd (“CGRM”) as outsources Internal Auditors to carry put the internal audit function of the Company and its subsidiaries (“Group”) for the financial year ended 31 December 2018. The internal auditor reports directly to the AC on a half-yearly basis by presenting its Internal Audit Reports during the AC meetings, whereby relevant issues identified in the Internal Audit Reports will be discussed with the Management in the meeting. Rectification work, if necessary will be performed and follow-up will be carried out by internal auditor for the purpose of reporting at the subsequent AC meeting. On 23 February 2018, CGRM tabled a report for AC’s review covering the Corporate Governance. On 23 November 2018, CGRM tabled a report for AC’s review in respect of the Animal Health Product Division (“AHPD”) (Sales Processing Management, Logistic Management, Collections Management); and follow-up on Internal Audit Report Issued in November 2017 for SSCC Food Manufacturing Sdn Bhd on Machineries Management. The reports outlined the audit objective, scope of work, timeline, summary of tests and results, summary of effective controls, summary list of finding, detail findings together with the Internal Auditors’ recommendations and the Management’s responses. The cost incurred for the outsourced independent internal audit services in respect of the financial year ended 31 December 2018 was RM30,750.00 (FYE 2017 – RM29,500.00). AUDIT COMMITTEE REPORT (cont’d)