Purpose and Organization of Internal Audit

The purpose of internal audit is to assist the Board and managers to check and review the shortcomings of the internal control system and evaluate the effectiveness and efficiency of its operation. Timely suggestions for improvement are offered  to ensure effective implementation of internal control system and to enhance the sound operation of the Company. The internal audit office of the Company is directly subordinate to the Board of Directors, and currently has an audit supervisor. The appointment and removal of the internal audit supervisor must be approved by the Audit Committee and submitted to the Board of Directors for resolution.

Operation and Communication of Internal Audit

The audit work is is mainly carried out in accordance with the annual audit plan approved by the Board of Directors. The plan is drawn up based on the results of the risk assessment, and project audits are carried out as needed. When defects and abnormalities are found in the internal audit, follow-up reports are made on a regular basis to confirm that units in charge have taken corrective measures in a timely manner.