Financial Statements Review Committee 1. Objectives

The primary objective of the Financial Statements Review Committee (“FSRC” and “the Committee”) is to monitor the quality of financial statements and reports that are prepared by or are the responsibility of members of MIA, for the purpose of determining compliance with statutory and other requirements, approved accounting standards and approved auditing standards in Malaysia.

2. Accountability

The Committee will report to the Council.

3. Scope and Authority

The Committee has authority, within the scope of its responsibilities, to:

i)	review the review findings of the Secretariat on the financial statements, directors' report and auditor’s report of selected companies for compliance with statutory and other requirements, approved accounting standards and approved auditing standards in Malaysia.
ii)	draw the attention of the member responsible for the preparation or for reporting on the financial statements to any areas in which the presentation or content appears to fall short of such compliance and where the committee is of the view that it justifies further action; and to discuss the replies from such member.
iii)	refer to the Investigation Committee of MIA and/or other regulatory bodies for appropriate action where the Committee is of the view that deliberations arising from matters above justify further action;
iv)	review on matters relating to interim financial information and financial statements referred to the Committee by the Investigation Committee of MIA and/or other regulatory bodies and recommend further action;
v)	provide technical advice to the Secretariat on their review of financial information and/or financial statements of any enterprises on matters of public interest and recommend further action;
vi)	highlight to the relevant Committees of MIA, or other relevant bodies on issues of inconsistencies or uncertainties with respect to financial reporting; and
vii)	support the efforts of the Institute in providing guidance to members of MIA on good financial reporting based on common findings during the review process.

4. Term of Office

	a) Composition
	i) The composition of the Committee shall be determined by the Council. ii) The Committee consists of not less than 2 Council members.
	b) Quorum
	The quorum for the Committee meetings shall be 5 members including 1 Council Member. The Chairman may, at his discretion, request for attendance of another Council Member to make up the quorum when deemed necessary.
	c) Meetings
	i) The Committee shall meet at least 7 times in any financial year of the Institute; ii) The meeting can be conducted in person or via teleconference; iii) In the absence of the Chairman, the vice chairman will convene the meeting provided that there is a quorum; iv) The Committee may invite such other person to its meetings, as it deems necessary; v) The proceedings of all meetings shall be minuted; vi) The secretary of the FSRC will be a staff in the FSRD of MIA.