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Atul Ltd |
Annual Report 2009-10
The Company has adequate internal controls for
safeguarding the assets of the Company, ensuring
transactions are in accordance with its policies and are
duly authorized, recorded and reported and preventing
possibilities of frauds or other irregularities. The Internal
Audit Department is adequately staffed with qualified
professionals and the efficiency and effectiveness of
controls are independently checked by them and reported
to the Audit Committee for their review.
The Company is working to further strengthen the systems
for internal audit and risk assessment and mitigation.
During the year, it has taken further steps to improve in
these areas and have specifically taken the following new
initiatives:
1) Revision of audit checklists, reporting templates
and several Standard Operating Procedures and
involvement of an independent internal audit firm
to improve methodologies, processes and reporting
techniques.
2) Implementation of Risk Management Systems, first for
one of the Divisions, namely, Aromatics before rolling
it out to all the other Divisions. A leading consultancy
firm was engaged for identification and assessment of
risks, development of Risk Register and facilitation of
senior management team to document the key risks
and training on the risk management process mainly
to continuously monitor and eventually to mitigate
the risks.
The performance of the in-house audit department is also
peer-reviewed for improvements. The annual audit plan is
reviewed by the Audit Committee and major findings and
actions taken | proposed to be taken are also reported to
the Audit Committee.
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Internal Controls