SAMOA NATIONAL PROVIDENT FUND

Internal Audit Charter 2021 1. The Charter

This charter establishes the authority and responsibility conferred by the Chief
Contents Executive Officer of the Samoa National Provident Fund on the Department of
Internal Audit. It defines the department’s objectives, scope, independence,
authority and responsibilities.
1. The Charter
2. Nature Of Internal Audit
2. Nature of Internal Audit
3. Role and Objectives of Internal Audit Internal auditing is the independent appraisal of the various operations and
systems of control within the Samoa National Provident Fund to determine
whether acceptable policies and procedures are followed, legislative
4. Independence requirements and established standards are met, resources are used efficiently
and economically, planned missions are accomplished effectively, and the objectives
5. Authority ofthe Samoa National Provident Fund are being achieved.

6. Responsibilities 3. Role And Objective Of Internal Audit

7. Scope of Internal Audit The internal audit function is established to assist the Chief Executive Officer
and management of the Samoa National Provident Fund to attest to its
8. Audit Programme governance role and achieve sound managerial control over all aspects of the
operations of the Samoa National Provident Fund including accounting, asset
9. Audit Committee management, information management and control systems, and for such other
activities for which they are responsible.
10. Audit Methodology
The overall objective of the program of Internal Audit is to assist all levels of
11. Audit Reports management in the effective discharge of their

12. Liaison with the External Auditor

13. Audit Standards
14. Quality Assurance
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Internal Audit Charter
responsibilities by providing independent analysis, appraisals, adviceand
recommendations concerning the activities reviewed.
The attainment of the overall objective may involve:
• reviewing and appraising the adequacy and effectiveness of the system
of internal control;
• appraising the relevance, reliability and integrity of management,
financial and operating data and reports;
• reviewing the systems established to ensure compliance with those
policies, plans, procedures, statutory requirements and regulations which
could have a significant impact onoperations;
• reviewing the means of safeguarding assets and, as appropriate,
verifying the existence of such assets;
• appraising the economy, efficiency and effectiveness with which
resources are employed;
• reviewing operations or programs to ascertain whether results are
consistent with Samoa National Provident Fund's established objectives
and goals and whether the operations or programs are being carried out
as planned;
• assessing the adequacy of established systems and procedures; and
• conducting special assignments and investigations on behalf of the Chief
Executive Officer into any matter or activity affecting the probity,
interests and operating efficiency of the Samoa National Provident
Fund.
Samoa National Provident Fund
Internal Audit Charter
4. Independence
Internal auditing is an advisory function having independent status within the
Samoa National Provident Fund. The Manager of Internal Audit -
• shall be directly responsible to the Chief Executive Officer and be
independent of any other section, branch or officer, and shall have direct
access to the Chief Executive Officer of the Samoa National Provident
Fund if required;
• shall have no executive or managerial powers, functions or duties
except those relating to the management of the Internal Audit
department or while working in the capacity of Acting CEO which
should not be more than 15 workingdays taken consecutively;
• shall not be involved in the day to day operation of the Samoa
National Provident Fund except for performing their advisory role in
relation to transactions referred to the Internal Audit Department;
and
• shall not be responsible for the detailed development and or
implementation of new systems but should be consulted during the
system development process on the control measures to be
incorporated in new or amended systems, and be advised of approved
variations or new developments.
5. Authority
The authority of the Manager, Internal Audit is derived from the Chief
Executive Officer who is required to establish an effective internal audit
function under schedule 8 of the Public Bodies Act2001.
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Internal auditors of the Samoa National Provident Fund shall:
• have access at all reasonable times to all books, documents, accounts,
property, vouchers, records, correspondence and other data of the
Samoa National Provident Fund which are necessary for the proper
performance of the internal audit function; and
• have the right at reasonable times to enter any premises of the Samoa
National Provident Fund and to request any officer to furnish all
information and such explanations deemed necessary for them to
form an opinion on the probity of action, adequacy of systems and or
of controls. The officer concerned shall respond promptly to such
inquiries.
It is incumbent on all Samoa National Provident Fund officers that they shall
render every assistance to the Internal Auditors in carryingout their audit duties
6. Responsibilities
The Manager of Internal Audit shall be responsible to the Samoa National
Provident Fund ‘Audit Committee’ and the ‘Board of Directors’, through the
Chief Executive Officer, for the functional control of audit activities in relation
to:
• development, implementation and oversight of InternalAudit
methods and procedures;
• development and control of an efficient Internal Auditprogram;
• scope and boundaries of audits;
Samoa National Provident Fund
Internal Audit Charter
• fulfilling the objectives of Internal Audit;
• utilizing the Internal Audit resources to maximize the efficiency and
effectiveness of the Internal Audit function; and
• maintenance of appropriate auditing standards
7. Scope Of Internal Audit
The scope of Internal Audit shall be sufficiently comprehensive to enable the
effective and regular review of all operational, financial and related activities.
The Internal Audit coverage may extend to all areas of the Samoa National
Provident Fund and its controlled entities and include financial, accounting,
administrative, computing and other operational activities.
The extent and frequency of internal audits will depend upon varying
circumstances such as results of previous audits, relative risk associated with
activities, materiality, the adequacy of the system of internal control, and
resources available to the Office of Internal Audit
8. Audit Programme
A long term strategic audit plan providing for the review of significant
operations of the Samoa National Provident Fund based on an assessment of risk
pertaining to the achievement of Samoa National Provident Fund’s objectives,
shall be prepared for the approval of the Samoa National Provident Fund ‘Audit
Committee’.
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An annual Internal Audit plan consistent with the long term strategic plan shall be
prepared, in consultation with the Chief Executive Officer for the approval by
the Samoa National Provident Fund Audit Committee, if practicable, prior to
commencement of eachcalendar year.
9. Audit Committee
The Audit Committee has responsibility for the oversight of the management
of risk within the Department through the Risk Management Plan and Internal
Audit program.
Specific responsibilities include:
• overseeing the establishment and ongoing management
ofthe Department's Risk Management Plan;
• overseeing the development and implementation of risk management
priorities and policies including insurance, risk documentation, reporting,
mitigation and avoidance strategies, support and training, and risk
information management systems;
• advising Management of SNPF on any significant risk management
or audit issues;
• establishing and monitoring the Internal Audit program including action
taken in response to reports; and
A separate Charter will detail the authority and responsibilities of the Audit
Committee
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Internal Audit Charter
Meeting Schedule
Quarterly
10. Audit Methodology
For all audit projects, the person responsible for the activity under review shall be
advised and given the opportunity to discuss:
• the objectives and scope of the audit to be conducted, priorto the
commencement of such audit; and
• findings and proposed recommendations on the completionof an audit,
and where appropriate make comment
11. Audit Reports
A written report will be prepared and issued by Internal Audit on a monthly basis
to the Chief Executive Officer and subsequently to the Board of Directors. A
Quarterly report will be issued and used for discussion at the quarterly
meetings of the Audit Committee. Summary of reports is to be made available
on a timely basis to the Chief Executive Officer and the Audit Committee if
required.
Audit reports will normally explain the scope and objectives of the audit, present
findings and conclusions in an objective manner relevant to the specific
user's needs and make recommendationswhere appropriate.
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12. Liaison With External Auditor
The Manager of Internal Audit shall liase with the Controller and Chief Auditor (or
the Accounting Firm representing the Controller and Chief Auditor)
• develop and maintain comprehensive work reportingsystems;
• maintain a regular review of audit plans, reports and workingpapers;
and
• provide for staff training as appropriate

• foster a cooperative working relationship; September 2021

• reduce the incidence of duplication of effort;
• ensure appropriate sharing of information; and
• ensure coordination of the overall audit effort.

The Manager of Internal Audit shall make available to the external auditor all
Internal Audit working papers, programs, flow charts, and reports where
appropriate and upon request.

13. Audit Standards

Where applicable, Internal Audit will have regard to standards and statements
issued by Samoa Society of Accountants and international accounting and
auditing organisations. Staff is expected to abide by the Samoa Society of
Accountants’ Code of Ethics.

14. Quality Assurance

In order to ensure that the quality of the Internal Audit work is consistently
at a high standard, the Manager of Internal Audit in conjunction with
members of the Samoa National Provident FundAudit Committee shall:

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Internal Audit Charter