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CORPORATE GOVERNANCE
FINANCIAL INFORMATION AND
RISK MANAGEMENT
ACTIVITIES
The Audit Committee is in charge of:
• Ensuring that the internal systems of the Bank function efficiently and sufficiently, that these systems and the accounting and reporting systems
operate within the framework of the related regulations and the Bank’s policies and that the information produced has integrity,
• Carrying out the preliminary assessment of independent audit firms and companies providing rating, valuation and support services to be selected
and monitoring the firms, that are appointed by the Board, on a regular basis,
• Ensuring that the internal audit functions of subsidiaries that are subject to consolidation are coordinated in line with the related regulations,
• Reporting, presenting opinions and making recommendations to the Board on the functions, operations and related policies and regulations of the
internal systems and the divisions that are part of the internal systems,
• Evaluating the information and reports received from the independent audit firms and the divisions, that are part of the internal systems, about their
operations,
• Ensuring that the Bank’s financial reports are prepared in line with the related legislation, regulations and standards,
• If required, gathering information, documents or reports from all Bank units, support service contractors and independent auditors and being subject
to Board approval, receiving consultancy from those who are specialists in their respective fields,
• Fulfilling other responsibilities determined by the related legislations and the duties given by the Board within this framework,
• Reporting to and informing the Board about the results of its own operations, the measures needed to be taken in order for the Bank’s operations to be
within the framework of the related legislation and Bank policies in a continuous and secure way and its evaluation, opinion and recommendation on
any other issues that are deemed to be important.
In 2010, Audit Committee held 24 meetings and adopted 25 resolutions.
Turkish Republic of Northern Cyprus (TRNC) Internal Systems Committee
As per the resolution of the Board of Directors, dated 15.06.2009, Nr.35546, due to the branches in TRNC, TRNC Internal Systems Committee is
established within the framework of TRNC Banking Law and related regulations. The committee has 2 members and is chaired by Mr. Caner Çimenbiçer,
who is the Chairman of the Board of Directors. The other member of the committee is Prof. Dr. Savaş Taşkent, who is also a member of the Board.
The Committee holds meetings at least twice in a year providing that a six month period is not exceeded and informs the Board of Directors on the results
of its own activities, its opinion on the measures needed to be taken and the necessary practices to be implemented by the TRNC branches and other
important issues in order for these branches to operate in a secure way.
TRNC Internal Systems Committee is responsible for ensuring the efficiency and sufficiency of the internal systems provided by the Bank in relation to
the operation of the TRNC branches; ensuring the operation of the internal systems, accounting and reporting systems in line with the law and related
regulations and ensuring the integrity of the produced information; carrying out the preliminary assessment of independent audit firms and other
companies providing services directly related to other banking operations to be selected by the Board; and monitoring regularly and coordinating these
companies that are selected and contracted by the Board.
In 2010, the TRNC Internal Systems Committee held 6 meetings and adopted 7 resolutions.
Credit Committee
İşbank’s Credit Committee makes resolutions on credit allocation within its authorization limit, makes decisions on demands to change the credit
allocation conditions within its authorization limit and carries out any assignments regarding credits given by the Board.
İşbank’s Credit Committee consists of three members; one of them is the Chief Executive Officer, who is also the chairman of the Committee and two
members of the Board. Each year, at the first Board meeting after the Annual General Meeting, the Board members of the Credit Committee that will
perform their duty until the next General Meeting are determined. Two alternate Committee Members are also designated who will stand if need arises.
The Committee makes decision on the credit allocation with consensus, after each Committee Member examines and signs the files. Resolutions of the
Credit Committee which have unanimous backing are executed directly while resolutions made on a majority basis are executed following the approval of
the Board of Directors.