Annual Report 2012 - National Savings Bank

59ROOTED IN OUR HERITAGEGOVERNANCE REPORTBoard Sub CommitteesScope, functions and attendanceof committee meetings during theyear 2012 are given below for theBoard appointed sub-committees inaccordance with the Banking ActDirection No. 12 of 2007.1. Board Audit Committee (BAC)Scope of the Board Audit Committee(BAC)The scope of the Board AuditCommittee is principally to assist theBoard of Directors in fullling itsoversight responsibilities. To maintainthe integrity of the Bank’s FinancialStatements, BAC reviews nancialinformation of the Bank in its AnnualReport, quarterly reports publishedreviews signicant nancial reportingjudgments contained in them, andreviews all processes leading to them.In reviewing the Bank’s Annual Reportand accounts and quarterly reportsbefore submission to the Board, theCommittee focuses their attentionparticularly on major judgmental areas,any changes in accounting policies andpractices, signicant adjustments arisingfrom the audit, the going concernassumption and the compliance withrelevant accounting standards andother legal requirements.The Committee also assists the Boardin assessing the risk managementsystem of the Bank thus ensuring thatthe Bank has a comprehensive policyon risk management; and monitoringthe effectiveness of the Bank’s riskmanagement system.It would also assess the Bank’s compliancewith legal and regulatory requirementsby reviewing the effectiveness of thesystem of monitoring compliance withlaws and regulations and the results ofmanagement’s investigation and followupof any instances of non-compliance.The Board Audit Committee Report isgiven on page 96.2. Human Resources andRemuneration Committee(HRRC)Scope of the HRRCThe Human Resources andRemuneration Committee (HRRC)formed under the Banking ActDirection No. 12 of 2007 is responsiblefor determining the remuneration policyincluding salaries, allowances and othernancial payments relating to Directors,Chief Executive Ofcer and KeyManagement Personnel of the Bank,other than the remuneration determinedby the Collective Agreement.The Committee sets goals and targetsfor the Directors, CEO and the KeyManagement Personnel and evaluatesthe performance of same againstthe set targets and goals periodicallyand determines the basis for revisingremuneration, benets and otherpayments of performance basedincentives. Developing and reviewingHR development strategies on behalfof the Bank and maintaining aconsultative role with the other BoardSub-Committees and operationalcommittees on all human resourceissues, including matters relatingto all staff, are among the primaryresponsibilities vested in the HRRC.The Human Resources & RemunerationCommittee Report is given onpage 98.NATIONAL SAVINGS BANK . ANNUAL REPORT 2012