U N I T E D M A L AYA N L A N D B H D ( 4 1 3 1 - M )
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Statement on Internal Control
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The Cost Management & Control Department has put in place cost planning and control measures including standard operating procedures in respect of contracts and projects of the Group. This provides the Board assurance on the adequacy and effectiveness of the project operating procedures and its control environment.
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Key internal audit findings highlighted in the internal audit reports are followed up at Risk Management Unit meetings in order to monitor the implementation of remedial action plans.
W E A K N E S S E S I N I N T E R N A L C O N T R O L S T H AT R E S U LT I N M AT E R I A L L O S S E S
The system of internal controls is satisfactory and there were no material losses incurred during the current financial year as a result of weaknesses in internal control. Management continues to take measures to strengthen the control environment. R E V I E W O F T H E S TAT E M E N T O N I N T E R N A L CONTROL BY EXTERNAL AUDITOR
As required by paragraph 15.23 of the Main Market Listing Requirements of Bursa Securities, the external auditors have reviewed this Statement on Internal Control. Their review was performed in accordance with Recommended Practice Guide (RPG) 5 issued by the Malaysian Institute of Accountants. Based on their review, the external auditors have reported to the Board that nothing has come to their attention that causes them to believe that this Statement is inconsistent with their understanding of the process the Board has adopted in the review of the adequacy and integrity of internal control of the Group. RPG 5 does not require the external auditors to and they did not consider whether this Statement covers all risks and controls, or to form an opinion on the effectiveness of the Group’s risk and control procedures.
This statement is made in accordance with the resolution of the Board dated 19 April 2010.