The statutory functions of the Audit Committee under the Companies and Allied Matters Act (CAMA) include:
i. Ensuring financial statements comply with legal and regulatory requirements: The Audit Committee reviews the financial statements to ensure they adhere to accounting standards and legal regulations.
ii. Assessing internal controls: The committee evaluates the effectiveness of the company’s internal control systems and risk management procedures.
iii. Reviewing external auditor reports: The committee examines the external auditor’s report and ensures that the issues raised are addressed properly by management.
iv. Monitoring the financial reporting process: The Audit Committee oversees the financial reporting process, ensuring that the financial statements represent the company’s financial condition accurately.