| (1) |
The auditor of a bank shall annually, within 120 days of the financial year-end of the reporting bank, in addition to any report that a bank is statutorily required to obtain from the auditor, report on the bank's financial position and the results of its operations, as reflected in the returns specified in subregulation (6) that were submitted to the Registrar as at the financial year-end of the reporting bank. |
| (2) |
Notwithstanding the provision of subregulation (1), the auditor shall also report whether, in the auditor's opinion, the information contained— |
| (a) |
in the returns at year-end in all material respects— |
| (i) |
reasonably reflects the information of the management accounts; |
| (ii) |
is complete in so far as all relevant information contained in the accounting and other records at the reporting date has been extracted therefrom and recorded in the returns; |
| (iii) |
is accurate in so far as it correctly reflects the information contained in, and extracted from, the accounting and other records at the reporting date; |
| (iv) |
is prepared using the same accounting policies as those applied in the management and statutory accounts; and |
| (v) |
is prepared in accordance with the directives and instructions of the Act and the Regulations. |
| (b) |
in the returns other than at year-end in all material respects— |
| (i) |
reasonably reflects the information of the management accounts; |
| (ii) |
is prepared using the same accounting policies as those applied in the management and statutory accounts; and |
| (iii) |
is prepared in accordance with the directives and instructions of the Act and the Regulations. |
| (3) |
Notwithstanding the provision of subregulation (2), the auditor shall annually report to the Registrar on any significant weaknesses in the system of internal controls relating to— |
| (a) |
financial regulatory reporting; and |
| (b) |
compliance with the Act and the Regulations, |
that came to the auditor's attention while performing the necessary auditing procedures to enable the auditor to furnish the reports required under subregulation (2), within 120 days of the financial year-end of the reporting bank.
| (4) |
Notwithstanding the provisions of subregulations (1), (2) and (3), the auditor shall annually, within 120 days of the financial year-end of the reporting bank, report to the Registrar on any significant weaknesses in the system of internal controls that came to the auditor's attention while performing the necessary auditing procedures as regards the policies, practices and procedures of the bank relating to— |
| (a) |
the granting of loans; |
| (b) |
the making of investments; |
| (c) |
the ongoing management of the loan and investment portfolios; and |
| (d) |
the relevant credit impairments or loan loss provisions and reserves. |
| (5) |
In the case of amendments having been effected by a reporting bank to returns submitted by it during the course of the financial year, the auditor shall, when required to do so in terms of a written request addressed by the Registrar to both the reporting bank and the auditor, in writing confirm that the auditor has verified such of the amendments as have been specified by the Registrar in the said written request. |
| (6) |
The audit reports contemplated in this regulation 46 shall be rendered in accordance with the wording and practices agreed from time to time between the Registrar, the South African Institute of Chartered Accountants and the Independent Regulatory Board for Auditors, and shall be in respect of the forms BA 100, BA 110, BA 120, BA 125, BA 130, BA 200, BA 210, BA 220, BA 300, BA 310, BA 320, BA 325, BA 330, BA 340, BA 350, BA 400, BA 410, BA 500, BA 600, BA 610 and BA 700 submitted in respect of the reporting bank's and bank controlling company's banking and other relevant operations in the Republic and elsewhere in the world. |
| (7) |
Form BA 900 shall be reconcilable with the form BA 100, and the auditor shall within 120 days of the financial year-end of the reporting bank furnish the Registrar with a written report in which it is stated whether or not all forms BA 100 and BA 900 submitted by the reporting bank during the financial year under review were in fact reconcilable with each other. |
| (8) |
Notwithstanding the provisions of subregulations (1) to (7) above, the auditor shall annually, within 120 days of the financial year-end of the reporting bank, report to the Registrar whether there were any instances of non-compliance with the requirements specified in regulations 27(6), 42(1)(a) or 42(1)(b) of these Regulations. |
| (9) |
For the purposes of the performance of the auditor's duties in terms of this regulation, the auditor— |
| (a) |
shall hold preliminary discussions with the Registrar prior to the commencement of the said audit; and |
| (b) |
shall obtain from the Registrar, free of charge, copies of the relevant returns submitted to the Registrar by the reporting bank or controlling company during the financial year under review. |
Implementation of Geneva Conventions Act, 2012
