Internal audit in banks and the supervisor's relationship with auditors (Basel Committee publcations

Basel Committeeon Banking SupervisionInternal audit in banks andthe supervisor'srelationship with auditorsAugust 2001Table of ContentsIntroduction ............................................................................................................................1Definition of internal audit.......................................................................................................2Objectives and tasks of the internal audit function..................................................................2Principles of internal audit...4Permanent Function – Continuity ..................................................................................4Independent function.....................................................................................................4Audit charter .................................................................................................................5Impartiality ....................................................................................................................6Professional competence..............................................................................................6Scope of activity............................................................................................................7The bank’s internal capital assessment procedure........................................................8Functioning of internal audit ................................................ ...