Communication between Independent Directors, Internal Audit Officer and CPAs
There is a direct channel of communication between independent directors, internal auditors, and CPAs. Independent directors, internal auditors, and CPAs have good communication. The internal auditor officer reports the annual audit plan and its implementation to the quarterly board meeting and interacts with independent directors; every month, the internal auditor officer submits the written audit report to the independent directors and communicates with the independent directors if necessary. CPAs attend the board meeting and the shareholders’ meeting without voting rights and discuss the audit of financial statements or issues regarding finance, taxation, or internal control with independent directors. Communication between the financial officer, the accounting officer, the internal audit officer, and CPAs is recorded and the implementation of resolutions is followed up.
Recent communication with CPAs：
|◆||In February 3, 2021, Chief Auditor and Finance & Accounting Supervisor reported to independent directors the results of an internal evaluation by the Audit Committee and the results of an external evaluation by Taiwan Corporate Governance Association on the Board of Directors in 2020.
The CPAs and independent directors had a discussion about the financial statements for 2020, including an explanation of the company’s ability to prepare financial statements on its own.
Chief Auditor and independent directors had a discussion about the statement on internal control for 2020.
Chief Auditor and independent directors had a discussion about the formulation of the “Procedures for Notification of Major Incidents” according to the third-party professional institution’s comments on the evaluation of the Board of Directors.
|◆||In December 24, 2020, The CPAs explained to independent directors the key audit items for 2021, key amendments to laws and regulations, and Corporate Governance 3.0 - Sustainable Development Roadmap.
Chief Auditor and independent directors had a discussion about the audit plan for the following year.
|◆||In July 31, 2020, Independent directors and internal auditors discussed the results of the audit in the first half of the year and the focus of the audit for the second half of the year.
In July 31, 2020, Independent directors discussed the financial statements for the second quarter of 2020 with the CPAs, the chief financial officer and internal auditors.
In July 31, 2020, Independent directors, the chief financial officer, and internal auditors discussed the accounts receivable going past the normal credit period and in substantial amounts as indicated in the Q&A for lending provided by the Taiwan Stock Exchange.
|◆||Independent directors and the chief personnel officer confirmed the appointment of the financial officer on May 4, 2020.|
|◆||In March 27, 2020, Communicated with the chief financial officer and internal auditors on the distribution of earnings for 2019 and the issuance of new shares.
In March 27, 2020, Discussed with internal auditors the amendments to the “Rules of Procedure for Shareholders Meetings” in accordance with the public version.
|◆||In February 5, 2020, Independent directors discussed with the CPAs, the chief financial officer, and internal auditors the parent only and consolidated financial statements for 2019.
In February 5, 2020, Independent directors discussed with internal auditors the statement of internal control for 2019.
|◆||In December 25, 2019, Independent directors discussed with the CPAs and internal auditors the feasibility of self-prepared financial statements and the procedures for internal control per Letter Tai-Zheng-Zi No. 1080021452.
In December 25, 2019, Discussed with independent directors the audit plan for 2020 and the focus of the audit.
|◆||In October 30, 2019, Independent directors discussed with the CPAs, the chief financial officer, and internal auditors the financial statements for the third quarter of 2019.
In October 30, 2019, Independent auditors’ report for 2019.
|◆||On August 1, 2019, independent accountants met with the Board of Directors to discuss tax-related issues.|
|◆||Discussed the amendment to the Procedures for the Acquisition and Disposal of Assets with the internal audit officer. Discussed the Q219 financial statements with the independent accountants.|
|◆||In late May 2019, the Company exchanged opinions with independent directors.|
|◆||Discussed the amendment to the Procedures for Loaning of Funds and the Procedures for Making of Endorsements/Guarantees by law with the internal audit officer; discussed the Q119 financial statements with the independent accountants.|
|◆||Relevant issues of annual auditing for next fiscal year had been discussed with independent directors of the Company in late December, 2018.|
|◆||Relevant issues of mid-term auditing had been discussed between the Chairman and the Accountant at the meeting in mid-October, 2018.|
|◆||Discussed the tax issues with independent directors and related officers on January 24, 2018.|
|◆||Interacted with independent directors and supervisors in the middle of May, 2017.|
|◆||Discussed the audit with the chairman on January 16, 2017.|
|◆||Interacted with independent directors and supervisors in the middle of June, 2016.|
|◆||Discussed the tax issues with the chairman and related officers on February 19, 2016.|