Interfront Annual Report 2022

PART C: GOVERNANCE 56 Interfront commenced its Bursary and Graduate Internship Programme during the 2013/2014 financial year. The purpose of the Bursary Programme is to promote diversity in Interfront and the wider IT Sector. Bursaries are provided for both undergraduate and postgraduate students from designated groups. Interfront continued its support of its current bursars and an amount of R120 803 for the 2021/2022 financial year was spent on this. Interfront has an established Graduate Internship Programme to develop the youth of South Africa, as part of Interfront’s social responsibility. The aim is to appoint young inexperienced IT graduates and provide training with the intention of retaining them after their Graduate Internship Programme has been completed. Five graduate interns joined the programme during the 2021/2022 financial year. The Audit and Risk Committee (the Committee) is established as an independent statutory committee in terms of section 51 (1) (a) of the Public Finance Management Act (PFMA), Treasury Regulation 27.1 as well as section 94 of the Companies Act, Act No 71 of 2008 (Companies Act). The Committee functions within approved terms of reference and complies with the relevant legislation, regulations and governance codes. The Committee has been combined with the SARS Audit and Risk Committee, as provided for in the Treasury Regulations 27.1.2 and section 94 (2) (a) of the Companies Act. The Committee submits this report for the financial year as required by Treasury Regulations 27.1.7 and 27.1.10 (b) and (c) issued in terms of section 51 (1)(a)(ii) and 76(4)(d) of the PFMA as well as section 94 (7) (f) of the Companies Act. Audit and Risk Committee Membership The Committee consists of four Independent Members and is chaired by Ms. Doris Dondur. The Committee had four ordinary meetings were held for the financial year ended 31 March 2022 as required as per its approved Terms of Reference. Audit and Risk Committee Responsibility The Committee is satisfied that it has complied with its responsibilities as outlined in Section 51(1)(a)(ii) of the PFMA, Treasury Regulation 27.1.7 and section 94 (7) of the Companies Act. The Committee also reports that it has adopted and reviewed formal Terms of Reference as its Audit and Risk Committee Charter and has discharged all its responsibilities as contained therein. The Effectiveness of Internal Controls The PFMA requires the Accounting Authority to ensure that the organisation has and maintains effective, efficient, and transparent systems of financial, risk management and internal controls. The Committee’s reviews the effectiveness of internal controls and oversees risk management. The reviews on the effectiveness of the internal controls were conducted and they covered financial, operational, compliance and risk assessment. In line with the applicable legislation, Internal Audit provides the Committee andmanagement with reasonable assurance that the internal controls are appropriate and effective. This is achieved by evaluating internal controls to determine their effectiveness and efficiency and by developing recommendations for enhancement or improvement. The Committee has reviewed the findings of the Internal Audit’s work and did not reveal any short comings in internal controls during the year under review. Through the Committee’s analysis of the audit reports and engagement with the management team, the Committee reports that the system of internal controls for the period under review were adequate and effective and the risks were found to be at an acceptable level. 12. SOCIAL RESPONSIBILITY 13. AUDIT AND RISK COMMITTEE REPORT