SECTION 829-1

The board of directors of companies referred to in articles 828 to 853 of this uniform Act is required to have an audit committee. The audit committee shall be composed exclusively of non-employee directors or who do not hold any position of chief executive officer, general manager or deputy general manager within the company. The board of directors shall ensure that directors appointed members of the audit committee are qualified. Main duties of the audit committee include: - examine accounts and ensure the relevance and consistency of accounting methods adopted in the preparation of the company consolidated accounts; - monitor the process of reporting financial information; - monitor the effectiveness of internal control and risk management systems; - issue a recommendation on candidates to the post of auditors proposed by the general meeting. It shall present regular reports to the board of directors on the performance of its duties and raise the flag on any problems encountered without delay.