Annual Report 2011/12 - International Entertainment Corporation

Corporate Governance ReportAUDIT COMMITTEEThe audit committee of the Company (the “Audit Committee”) comprises three independent non-executive Directors,namely Mr. Cheung Hon Kit (Chairman of the Audit Committee), Mr. Lau Wai Piu and Mr. Tsui Hing Chuen, William JP. Theprimary duties of the Audit Committee are to review and supervise the financial reporting process and internal controls of theGroup.During the year, the Audit Committee held three meetings to review the financial reporting process, internal controls of theGroup, the Company’s reports and accounts including the interim and annual results of the Group, and provide adviceand recommendations to the Board. The Audit Committee also met with the management and the external auditors onceto discuss the financial reporting process and internal controls of the Group during the year and had reviewed the annualreport for the year ended 31 March 2012.The attendance records of the members of Audit Committee are set out below:Committee membersAttendanceMr. Cheung Hon Kit (Chairman) 3/3Mr. Lau Wai Piu 3/3Mr. Tsui Hing Chuen, William JP 3/3AUDITOR’S REMUNERATIONFor the year ended 31 March 2012, approximately HK$1,600,000 (2011: HK$1,580,000) was charged to the Group’sincome statement for the audit service provided by the auditor of the Company. During the year, the auditor of the Companyhas performed the following non-audit services.Description of service performedFees paidHK$’000Assurance engagement on continuing connected transactions 35Tax consultancy services 3065Note:The auditor of the Company has been appointed as the tax representative of the Company and certain subsidiaries of theCompany and the services fee is subject to negotiation.INTERNAL CONTROLThe Board conducted a review of the effectiveness of the internal control systems of the Group through the AuditCommittee during the year under review. The review covered the controls over the financial, operational and compliancematters of the Group. The Board considered that the existing internal control systems of the Group are effective.The Board also reviewed the adequacy of resources, qualifications and experience of staff of the Company’s accountingand financial reporting function, and their training programmes and budget. The Board satisfied with the resources,qualifications and experience of the personnel who are responsible for the accounting and financial reporting matters of theCompany and considered that their training programmes and the budget are adequate.24International Entertainment Corporation - Annual Report 2011/12