Organization

1. The formation of headcounts in internal control department is made according to the group size, the business conditions among headquarter and subsidiaries and the relevant regulations; it is adjusted annually.
2. The members of internal control department do not get involved any operating activities in order to maintain the Independence as the requests from his/her roles.
3. The appointment and termination of the director of internal control department, should receive a majority of board meeting.

Duties

1. Evaluate, audit the effectiveness of internal control system, the reliability of financial statement and the compliance of relevant regulations as well as measure the operational efficiency.
2. Evaluate and assist to improve the design and operation of internal control among headquarter and subsidiaries.
3. Evaluate the plans, organizations and monitoring procedures on the achievability of company’s targets.
4. The charter of Internal Audit is to review the internal controls in the company's processes and to report on those controls with respect to the adequacy, effectiveness, and efficiency of their design as well as their actual functioning on day-to-day basis. All parts of the company and its subsidiaries are open for review by Internal Audit.

Working content of Interal Audit

1. Periodical Audit: Make the annual auditing plan and execute while received the majority from the board meeting.
2. Special Audit: Depending on the operating situations or the assigned by the superior management, process the special audit on specific operation.
3. Self-assessment: Launch & Review the self-assessment on the internal control systems of all business units.
4. Reporting: Submit monthly auditing reports to the supervisors and the quarterly reports to the board meeting.

Annual Declarations

1. In every December, declare the annual plan of internal audit for the following year.
2. In every January, declare the lists of the supervisor and the members of internal audit.
3. In every February, declare the performances of annual audit plans from the previous year.
4. In every April, declare the statement of internal control system from the previous year.
5. In every May, declare the improved statement of the drawback of internal control system & abnormal events

Organizational Structures