Page 145 - Bank-Muamalat-Annual-Report-2021

ANNUAL REPORT 2021 143
SUSTAINABILITY STATEMENT OUR GOVERNANCE OUR NUMBERS OTHER INFORMATION

iii. Reviewed the progress of remedial action plans 3. Financial Reporting
by Management to ensure timely resolution of the
i. Reviewed and endorsed quarterly unaudited financial
control lapses highlighted in the reports. Where
results of Bank Muamalat.
necessary, reviewed the justifications and approved
the extension of deadlines to resolve audit issues
ii. Reviewed and endorsed the Audited financial
requested by Management.
statement of Bank Muamalat Group for the financial
iv. Reviewed and endorsed the Balanced Scorecard of year ended 31 December 2020 and agreed that the
the Chief Internal Auditor for FY2021. financial statements were prepared in accordance with
the relevant standards and regulatory requirements
v. Reviewed the Internal Audit Policy, Board Audit as to give a true and fair view of the Group’s financial
Committee Charter and Internal Audit Charter and performance.
recommended to the Board for approval.
iii. Reviewed write off and related party transactions
vi. Reviewed and endorsed the Statement of Internal before making recommendations to the Board for
Control, which is part of the Corporate Governance approval.
Disclosure for the Board's approval and inclusion in
the Bank's Annual Report FY2020. iv. Reviewed non-audit engagements by auditors and
independent credit review report from compliance.
vii. Reviewed the External Quality Assessment Review
report on the Internal Audit activity conducted by the
INTERNAL AUDIT FUNCTION
Institute of Internal Auditors Malaysia.
Organisational
viii. Reviewed and deliberated on the internal
quality assessment review reports, including the The Internal Audit function of the Bank is carried out by the
recommendations for Internal Audit improvement. Internal Audit Division (Internal Audit). The primary role of
the Internal Audit is to provide independent appraisal on the
ix. Reviewed the ongoing monitoring and measurement
adequacy, efficiency and effectiveness of risk management,
analyses update on the Internal Audit performance
control and governance processes implemented by
metrics and achievement.
Management. This will enhance and protect organisational
2. External Audit value and assist Management to achieve its objective.
The Internal Audit activity is governed by the International
i. Deliberated with the external auditor the results of
Professional Practices Framework (“IPPF”) of the Institute of
the audit of the annual financial statements for the
Internal Auditors and Guidelines on Internal Audit Function
financial year ended 31 December 2020 and the
of Licensed Institutions of Bank Negara Malaysia. The Board
Report to the BAC.
Audit Committee (“BAC”) oversees the performance and
ii. Reviewed the overall performance and effectiveness effectiveness of the Internal Audit function based on the
of the external auditor for the period from 1 January approved key performance indicators, assess the competency
2020 to 31 December 2020. and experience of the Internal Audit staff as well as the
adequacy of the resources in order for the Internal Audit
iii. Reviewed the re-appointment proposal of the
function to carry its work effectively.
external auditor for the Company and recommended
the re-appointment for Board approval. The Internal Audit Division is led by Faidzuel Zain, the Acting
Chief Internal Auditor (“ACIA”), since August 2021. He holds
iv. Reviewed the Annual Audit Plan for the financial year a Degree in Bachelor of Accountancy and has over 22 years
ended 31 December 2021. of audit experience in the banking industry. He is an active
member of the Chief Internal Auditors Networking Group
v. Reviewed and endorsed the external auditors’ scope
(“CIANG”) and holds Certification for Bank Auditors, Certified
of work.
Credit Professional, Certified System Investigators and Certified
Fraud Examiner.