66
Maxis Berhad
Annual Report 2014
Audit Committee
Report
Risk Management and Internal Control
• Reviewed with Management, the quarterly status reports on Enterprise Risk Management including risk profile and key risks of
the Group;
• Reviewed the progress of the risk management function in its ongoing identification and monitoring of key risks and the controls
implemented by the respective departments in managing these risks;
• Evaluated the overall adequacy and effectiveness of the system of internal controls including information technology and network
controls, the Group’s financial, auditing and accounting organisations and personnel and the Group’s policies and compliance
procedures with respect to business practices, through a review of the results of work performed by internal and external auditors
and discussions with key Senior Management;
• Reviewed with Management, the half-yearly status report on revenue assurance and subscriber fraud management;
• Reviewed with Management, the half-yearly status report on business continuity plan;
• Reviewed with Management, the annual report on system and information security; and
• Reviewed the Employee Code of Business Practice, Vendor Code of Business Practice, compliance with the Personal Data Protection
Act, the Whistle-Blowing policy and the outcome of any defalcation cases investigated.
Financial Reporting
• Reviewed with the appropriate officers of the Group, the quarterly financial results and annual audited financial statements of the
Group, including the announcements pertaining thereto, before recommending their approval and the release of the Group’s financial
results to Bursa Securities to the Board;
• The reviews focused on the matters set out in Section 5 of the Terms of Reference, “Responsibilities” under the heading “Financial
Reporting” as well as the following areas, where relevant:
– MMLR (Bursa Securities Main Market Listing Requirements);
– Provisions of the Companies Act, 1965 and other legal and regulatory requirements;
– Malaysian Financial Reporting Standards issued by the Malaysian Accounting Standards Board;
• Reviewed and ensured corporate disclosure policies and procedures of the Group (as they pertain to accounting, audit and financial
matters) comply with the disclosure requirements as set out in the MMLR;
• Reviewed related party transactions to ensure compliance with the MMLR and the Group’s policies and procedures as well as the
appropriateness of such transactions before recommending them to the Board for approval; and
• Reviewed the procedures for securing the shareholders’ mandate for recurrent related party transactions.
Internal Audit
• Reviewed with the internal auditors, their audit plan for the financial year, ensuring that principal risk areas and key processes
(identified by the Enterprise Risk Management department and Internal Audit department) were adequately identified and covered
in the plan;
• Reviewed the recommendations by the internal auditors, the representations made and the corrective actions taken by Management
in addressing and resolving issues and ensured that all issues were adequately addressed on a timely basis;
• Reviewed the results of ad-hoc investigations performed by the internal auditors and the actions taken relating to those investigations;
• Reviewed the adequacy of resources and the competencies of staff within the Internal Audit department to execute the audit plan,
as well as the audit programmes used in the execution of the internal auditors’ work and the results of their work;
• Reviewed the results of the internal assessment performed on the internal audit function;
• Reviewed the performance of Internal Audit department staff; and
• Reviewed the adequacy of the charter of the internal audit function.
