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#1856715 - 09/27/13 08:08 PM Audit Committee of the Bank
SUSANE1 Offline
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Joined: Mar 2008
Posts: 808
Our Audit Committee consists of 3 directors... they report to the board each month the outcome of various audits. They meet before each board meeting and then report directly to the board. The audits findings, etc are recorded in the board minutes and approved. The audit committee has no official minutes, they just report direct to Board at meeting. As I said earlier, this is recorded as part of the actual board minutes. Is there a problem with this process?

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Audit
#1856721 - 09/27/13 08:20 PM Re: Audit Committee of the Bank SUSANE1
osucpa Offline
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Joined: May 2011
Posts: 1,406
Some of your issues will depend on the size of your bank. If there are no minutes, how do you document the approvial of certain items or issues.

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#1856726 - 09/27/13 08:23 PM Re: Audit Committee of the Bank SUSANE1
DoS Offline
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DoS
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one state over
we were told by the OCC to consider disolving the Internal Audit Committee and just have me deal diretly with the Board.
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#1856730 - 09/27/13 08:31 PM Re: Audit Committee of the Bank SUSANE1
SUSANE1 Offline
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Posts: 808
we are FDIC and we are small 65,000,000 bank. As far as approvial of certain items or issues.... each audit is detailed to the board and the findings and corrections.. and the audit committee "report" is approved.
??

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#1856859 - 09/30/13 02:24 PM Re: Audit Committee of the Bank SUSANE1
osucpa Offline
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Joined: May 2011
Posts: 1,406
Then I do not understand the purpose of your audit committee.

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#1856864 - 09/30/13 02:33 PM Re: Audit Committee of the Bank SUSANE1
SUSANE1 Offline
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Joined: Mar 2008
Posts: 808
The purpose of the audit committee is to review audits and report the findings, etc to the Board... they just don't have separate minutes, they report directly to the Board each audit.

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#1856883 - 09/30/13 03:10 PM Re: Audit Committee of the Bank SUSANE1
A_G Offline
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One purpose of the Audit Committee should be to relieve the Board, at large, of the task of reviewing all details of audit findings/reports.

Also, reviewing audit reports is just one of the many functions of an Audit Commitee.

No minutes = no official record, imo.
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#1856887 - 09/30/13 03:17 PM Re: Audit Committee of the Bank SUSANE1
osucpa Offline
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Joined: May 2011
Posts: 1,406
Agree with A_G. If the audit committee does not have a charter or a formal process, then they do not have a purpose. No reason to push everything up to the board.

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#1856915 - 09/30/13 04:10 PM Re: Audit Committee of the Bank SUSANE1
Neytiri Offline
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Neytiri
Joined: Jul 2002
Posts: 645
Pandora
We have had Audit Committee with outside directors, minutes, charter, etc. since we were $60MM and we are an OCC bank. At the BOD meeting the Audit chairman gives a synopsis of the minutes and summarizes findings.

Who approves your audit schedule? I wouldn't think that inside directors should be seeing the audit schedule and approving. But that is just me.....

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