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JAYA TIASA HOLDINGS BERHAD
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Internal Audit
The internal audit function undertakes regular reviews of the Group’s operations and the systems of internal control. Regular
reviews are performed on the business processes to examine and evaluate the adequacy and efficiency of operating
controls. Significant risks and non-compliance impacting the Group are highlighted and where applicable, recommendations
are provided to improve on the effectiveness of risk management, internal control system and governance processes.
Management follows through and reviews the status of actions on recommendations made by the Internal Audit Department
(“IAD”). Reviews by the IAD are carried out on functional units that are identified using risk-based approach taking into
consideration input from management, Audit Committee (“AC”) and the Board.
The AC meets on a periodic basis to review issues identified in audit reports prepared by IAD and further evaluates the
effectiveness and adequacy of the Group’s internal control system. The AC also reviews and approves the annual audit plan.
Board Review
The Board is of the view that the Group’s risk management and internal control systems are in place for the year under
review and up to the date of approval of this Statement, is sound and adequate to safeguard the shareholders’ investment,
the interests of customers, regulators, employees and the Group’s assets. Notwithstanding this, on-going reviews are
continuously carried out to ensure the effectiveness of the system. The Board is committed towards operating a sound
system of internal controls and effective risk management throughout the Group. The Board is also cognizant of the
fact that the system of internal control and risk management practices must continuously evolve to support the type of
business and size of operations. As such, the Board will, when necessary, put in place appropriate action plans to rectify
any potential weaknesses or further enhance the system of internal controls.
The statement is made in accordance with a resolution of the Board of Directors dated 21 October 2014.
statement on risk management and internal control (cont’d)