Skills Development Act, 1998 (Act No. 97 of 1998)ConstitutionsConstitution of the Chemical Industries and Training Authority (CHIETA)14. Audit Committee |
| 14.1 | Membership of Audit Committee |
| 14.1.1 | The Audit Committee shall comprise of six participants, with the majority of the participants not being from the Governing Board. |
| 14.1.2 | The Audit Committee will elect the Chairperson of the Audit Committee from time to time. |
| 14.1.3 | The Chairperson of the Audit Committee may not be a member or a political office bearer. |
| 14.1.4 | Participants on the Audit Committee will serve on the committee in their individual capacity. |
| 14.1.5 | The Chairperson must have the ability to preside over meetings and to direct the discussions along constructive lines. |
| 14.1.6 | Other participants may also include— |
| 14.1.6.1 | two participants who must have a sound financial knowledge; |
| 14.1.6.2 | participants who have the necessary standing and expertise to provide the Governing Board with an assurance that the risks associated with CHIETA are being appropriately managed; and |
| 14.1.6.3 | one participant who has legal expertise. |
| 14.1.7 | The participants shall serve on the Audit Committee for a period of three years renewable to a maximum of six years. |
| 14.2 | Meetings |
| 14.2.1 | A minimum of two meetings shall be held during a year. |
| 14.2.2 | Special meetings of the Audit Committee may be convened as required. Any participant of the Audit Committee may call a special meeting. The Internal or External Auditors may request a meeting if they consider that one is necessary. |
| 14.3 | Quorum |
| 14.3.1 | The quorum for meetings will be 50% of participants. |
| 14.4 | Notice of meetings |
| 14.4.1 | Notice shall be given in writing to all members of the Audit Committee and other interested parties, of each meeting to be held, at least 14 days prior to the date on which such meeting is to be held. |
| 14.5 | Agenda of meetings |
| 14.5.1 | The agenda of the meetings shall be prepared and distributed at least seven (7) days prior to the meeting date. Any person attending the meeting may add items to the agenda two (2) days before the agenda is finalised. Such items should be provided to the secretary of the Audit Committee. |
| 14.6 | Reporting procedure |
| 14.6.1 | The Chairperson of the Audit Committee must report to the Governing Board within two weeks after the Audit Committee meeting. It must report annually to the Governing Board summarising the activities, recommendations and decisions of the Audit Committee during the previous financial year. Where appropriate the Audit Committee may also report to the Minister of Labour. |
| 14.6.2 | Any material findings should immediately be reported to the Chief Executive Officer. |
| 14.6.3 | The Audit Committee must report on the effectiveness of internal audit in the annual report of the CHIETA. |
| 14.6.4 | The Audit Committee must adhere to its Terns of Reference and the requirements of the Public Finance Management Act 1999 (the "PFMA") and relevant treasury regulations issued in terms of the PFMA. |