汇报内部控制（Reporting on internal control）

kseniaru

UK Corporate Governance requires that board of directors should maintain a sound internal control system to safeguard company’s assets and shareholders’ investments. Board of directors should make assurance to shareholders that they have reviewed internal control system on annual basis, and covered all material controls.
The UK Turnbull Guidance requires that regular receipt and review of internal control reports and annual assessment for the purposes of the board’s statement in financial statements should be made.
UK Financial Service Authority’s disclosure and Transparency rules require that the following things should be included into the Corporate Governance Statement:
(1)A description of the main features of the internal control;
(2)Risk management systems in relation to the financial reporting process;
(3)Board’s statements on internal control over financial reporting;
(4)An on-going process, that it is regularly reviewed by the board for identifying, assessing and managing the significant risks faced by the company;
(5)An acknowledgement by the board of its responsibility for the internal control system and for reviewing its effectiveness;
(6)The process applied to deal with material internal control aspects of any significant problems disclosed in the financial statements.
US SOX
It requires that management should recognize their responsibility towards internal control reporting, assess the effectiveness of internal control. It also includes external auditor’s attestation report on management’s assessment of effectiveness of internal control, the nature and extent of involvement of Chairman, CEO and other members, material weaknesses should be disclosed with associated plans, description of key metrics and measurement methods and tolerance allowed.