Overview
Our
Business
Strategic
Review
Corporate
Governance
Financial
Statements
Other
Information
67
Maxis Berhad
Annual Report 2014
External Audit
• Reviewed with the external auditors, their terms of engagement, proposed audit remuneration and the audit plan for the financial
year to ensure that their scope of work adequately covers the activities of the Group;
• Reviewed the results and issues arising from the external auditors’ review of the quarterly financial results and audit of the year-
end financial statements and the resolution of issues highlighted in their report to the Committee;
• Reviewed the independence, suitability, objectivity and cost effectiveness of the external auditors before recommending their re-
appointment and remuneration to the Board;
• Reviewed the level of compliance of the external auditors with the Maxis External Audit Independence policy; and
• Obtained written assurance from the external auditors confirming that they are, and have been, independent throughout the conduct
of the audit engagement.
Employee Share Option Scheme
• The ESOS Allocation review was not required as there were no ESOS allocations for the current financial year.
Others
• Reviewed with Management, the quarterly reports on relevant new laws and regulations, material litigation, contingencies and
claims and Regulatory;
• Reviewed the Report of the Audit Committee, the Statement on Risk Management and Internal Control and the Statement on
Corporate Governance prior to their inclusion in the Company’s Annual Report;
• Reviewed the adequacy of the terms of reference of the Committee; and
• Conducted a self-assessment exercise to evaluate the Committee’s overall effectiveness in discharging its responsibilities and
reported the results of the self-assessment to the Board.
TRAINING
The training attended by the Committee members during the financial year is reported under the Statement on Corporate Governance
on pages 60 to 61.
INTERNAL AUDIT FUNCTION
The Group has an independent internal audit function which reports directly to the Committee, the primary responsibility of which
is to provide independent and objective assessment of the adequacy and effectiveness of the risk management, internal control and
governance processes established by management and/or the Board within the Group. The internal audit function adopts a risk-based
audit methodology, which is aligned with the risks of the Group to ensure that the relevant controls addressing those risks are reviewed
on a timely basis.
The activities carried out by the Internal Audit department include among others, the review of the adequacy and effectiveness of risk
management and the system of internal controls, compliance with established rules, guidelines, laws and regulations, reliability and
integrity of information and the means of safeguarding assets. Such reviews are performed with a view to making recommendations
to further improve existing controls and processes. On a quarterly basis, the Internal Audit department monitors and reports to the
Committee the implementation of recommendations by Management to ensure all key risks are properly addressed.
The Head of the Internal Audit department reports directly to the Chairman of the Committee, and is responsible for enhancing the
quality assurance and improvement programme of the internal audit function. Its effectiveness is monitored through continuous internal
self-assessment and independent external assessment, and the results are communicated to the Committee.
Audit Committee
Report
