Page 28 - Niveus - Integrated report 2013

verified the independence of the external auditor as per section 92 of the
Act, and accordingly nominated Grant Thornton (Jhb) Inc to continue in office
as the independent auditor, and noted the appointment of Mr Rudi Huiskamp as
the designated auditor for 2014;
approved the audit fees and engagement terms of the external auditor; and
determined the nature and extent of allowable non-audit services and approved
the contract terms for the provision of non-audit services by the external auditor.
The audit and risk committee fulfils an oversight role regarding the group’s
financial statements and the reporting process, including the system of internal finan-
cial control.
Confidential meetings
Audit and risk committee agendas provide for confidential meetings between the
committee members and the external auditors, which are held regularly.
Internal audit
The committee approved the mandate of the internal audit function for adoption by
the board. The committee approved the appointment of Mr Albert Eksteen as chief
audit executive, and furthermore approved the internal audit plan for the financial
year ending March 2014.
Risk management and internal control
The board acknowledges that it is accountable for the process of risk management
and the system of internal control of the group and has delegated the governance
of risk to the audit and risk committee. The committee’s responsibilities in terms of
risk are to ensure that:
management designs, implements and monitors the risk management policies;
risk assessments are performed on an ongoing basis;
frameworks and methodologies are implemented to increase probability
of anticipating unpredictable risks;
risk responses by management are considered and implemented;
risk monitoring is continuous; and
the board should receive assurance regarding effectiveness of risk management.
The committee is accountable to the board for implementing and monitoring the
processes of risk management and integrating this into day-to-day activities.
However, the committee does not assume the functions of management, which
remain the responsibility of the executive directors, officers and other members
of senior management.
Risk registers are compiled on an annual basis and the most significant risks are
presented to the board.
CORPORATE GOVERNANCE
(
continued)
Niveus Investments Limited integrated Report 2013
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