2003 - 04 Annual Report - Sbs

53Audit and Finance CommitteeThe SBS Audit and Finance Committee met five timesduring the year and considered audits conducted byboth the ANAO and the internal auditors, Deloitte ToucheTohmatsu.In addition to reviewing the findings andrecommendations of the audits conducted, the Auditand Finance Committee considered and gave directionon a wide range of issues during the year including theapproval of the annual internal audit program, investmentand financing activities, risk management and discussionof the strategy for the preparations for the financialstatements audit.Major Investing and Financing ActivitiesOn 1 July 2003, SBS entered into a fully amortisingloan with the Commonwealth. The loan amount of$24 million has a loan period of 10 years and SBS willmake total annual payments of $3.2 million payablequarterly in arrears.In 1999-2000, SBS received $70 million from theGovernment’s Television Fund to meet the costs ofanalogue transmission services to areas of Australia witha population over 10,000 that did not have access to thesignal. Contracts are now in place for the roll out of theseservices and funds that are not immediately required havebeen invested.The following is a list of Audit Committee attendees, theirposition within SBS, and the number of meetings theyattended:Mr Neville RoachDeputy Chairman1 of 1 meetingsMs Jillian BroadbentBoard Member5 of 5 meetingsMr Ted GregoryBoard Member5 of 5 meetingsMr Nigel MilanManaging Director5 of 5 meetingsIn addition, the external and internal auditors attendeda meeting of the SBS Board to present reports on theiractivities.SBS actively manages its finances. This involvespreparation of estimates for appropriation and equityinjection funding taking into account movements in theinflation parameter applicable to SBS. Cash holdingsare monitored throughout the year and where fundsare not immediately required for operational activities,investments are made. All investments have been made inaccordance with the investing requirements of the SpecialBroadcasting Service Act 1991 and the CommonwealthAuthorities and Companies Act 1997.Fraud ControlDuring the year, the SBS Fraud Control Plan was updatedbased on a fraud risk assessment (conducted usingthe methodology outlined in the Australian/New ZealandStandard (AS/NZS 4360:1999) – Risk Management). TheManaging Director is satisfied that SBS has in placeappropriate fraud prevention, detection, investigation,reporting and data collection procedures and processesand that these comply with the Commonwealth FraudControl Guidelines.Expediture By Classification 2002–03 2003–04$20,000 $40,000 $60,000 $80,000 $100,000$120,000InterestDepreciationSuppliersEmployees