Organization and Operation of Internal Audit
In WT Microelectronics, the Internal Audit is an independent unit under the board of directors. There are two full-time auditors in the unit, including the internal auditing officer and one auditor.
The purposes of internal audits are to assist the board of directors and mangers in inspecting and reviewing defects in the internal control systems as well as measuring operational effectiveness and efficiency, and to make timely recommendations for improvements to ensure the sustained operating effectiveness of the systems and to provide a basis for review and correction.
The Internal Audit Department (referred to as “the Department” hereunder) shall implement the annual audit plan, passed by the board of directors auditing the scope that covers all operations of WT Microelectronics and the each subsidiary company. The Department shall also implement special audit plans separately based on actual needs. After implementing each audit plan, the Department shall present the written audit reports and follow-up reports, and submit them for review by supervisors before the prescription statutory limitations. The officer of the Department shall attend and deliver a report of the progress of audit plan to a regular board of directors meeting.
The Department shall review the self-inspections of its internal control systems of all internal units and subsidiaries. The Department shall also evaluate and review the implementations of each self-inspection in order to ensure the quality of implementations. Moreover, the Department shall collect, organize, and submit all self-inspection reports, together with the reports on the correction of defects and irregularities of internal control systems discovered by its internal audit departments, to serve as the primary basis for the board of directors and general manager to evaluate the overall efficacy of all internal control systems and to produce Internal Control System Statements. Before the prescription statutory limitations, the Department shall submit the Control System Statements to the board of directors for approval, and submit to the competent authority to publicly announce and report the Internal Control System Statement.