Annual Report - Orascom Development

38 | Report of the Audit Committee | OHD Annual Report 2006
Report of the Audit Committee of the Board of Directors
The Audit Committee assists the Board in fulfilling its responsibilities
for general oversight of the integrity of the Company’s consolidated
financial statements, compliance with legal and regulatory requirements,
the independent auditors’ qualifications and independence, the
performance of the Company’s internal audit function and independent
auditors, and risk assessment and management.
The Audit Committee manages the Company’s relationship with its
independent auditors (who report directly to the Audit Committee).
The Audit Committee acts under a written charter adopted and approved
by the Board, and has authority to obtain advice and assistance from
outside legal, accounting or other advisors as the Audit Committee
deems necessary to carry out its duties.
The Company’s management has responsibility for preparing the
consolidated financial statements and financial reporting process,
including the system of internal control. The Company’s independent
auditors, KPMG (Hazem Hassan) and Deloitte-Saleh, Barsoum & Abdel
Aziz, are responsible for expressing an opinion as to whether those
financial statements present fairly, in all material respects, the financial
position, results of operations and cash flows of the Company in
accordance with Egyptian Accounting Standards, which are not
materially different from International Financial Reporting Standards.
In this context, the Audit Committee hereby reports as follows:
The Audit Committee has reviewed and discussed the audited
consolidated financial statements for the year ended 31 December
2006 with the Company’s management.
The Audit Committee discussed with the independent auditors the
conduct of their audit in accordance with Egyptian Auditing Standards,
and compliance with legal and regulatory requirements. The Audit
Committee has received written confirmation of the Independent
Auditors’ independence.
Based on the review and discussions referred to above, the Audit
Committee recommended to the Board, and the Board has approved,
that the audited consolidated financial statements be included in the
2006 Annual Report for filing with the Capital Market Authority.
Audit Committee
Khaled Sheta
Alaadin El Sabba
Karim Garranah