Duties of audit committee
 27. (1) The following are prescribed for the purposes of section 126 of the Act as duties of the audit committee of a credit union: 1. Review and make recommendations to the board about the terms of the engagement letter and the remuneration of the auditor. 2. Review with the auditor the scope and plan of an audit. 3. Discuss with the auditor the audit findings, any restrictions on the scope of the auditor’s work and any problems that the auditor experienced in performing the audit. 4. Review and make recommendations to the board about any management letters, recommendations and reports by the auditor about the business or financial statements of the credit union and any response to them by management of the credit union. 5. Report to the board on any conflict between the auditor and management that the committee is unable to resolve within a reasonable time. 6. Review the annual audited financial statements and make such recommendations to the board as the committee considers appropriate. 7. Review the audited financial statements of each subsidiary of the credit union. 8. Review the effectiveness of the credit union’s internal audit practices and make recommendations to the board to address any deficiencies. 9. Review the organization and assess the degree of independence of the credit union’s internal auditors, if any, including their mandate, work plans and any problems that they experience or issues they raise relating to the performance of audits. 10. Review findings and recommendations of the internal auditors concerning the accounting practices and internal control practices and review the responses by the management of the credit union to any significant or material deficiencies. 11. Report to the board any significant changes in the accounting principles and practices followed by the credit union. 12. Recommend to the board arrangements to safeguard the credit union’s assets, to ensure the timeliness, accuracy and reliability of accounting data, to maintain adherence to the lending and investment policies and procedures and to provide for other matters concerning the financial policies of the credit union. 13. Review any report about the affairs of the credit union made by the Chief Executive Officer, monitor the implementation of any significant recommendations and report to the board on the progress of the implementation. 14. Review the credit union’s policies and procedures governing the way in which it meets the requirements under the Act and any other applicable legislation. 15. Review material legal proceedings to which the credit union is a party. 16. Assess whether the staff of the credit union is adequate to fulfil the credit union’s accounting and financial responsibilities. 17. Monitor the adherence of the credit union’s directors, officers and employees to the credit union’s standards of business conduct and ethical behaviour. 18. Review the credit union’s disaster recovery and business continuity plans. 19. Review, at least annually, the effectiveness of the committee in carrying out its duties.  O. Reg. 237/09, s. 27 (1); O. Reg. 181/19, s. 11. (2) The report of the audit committee required under subsection 125 (9) of the Act must contain the following information for the year to which the report relates: 1. The number of meetings held by the committee during the year. 2. A summary of the significant activities undertaken by the committee during the year and a description of the actual and expected results. 3. Confirmation that the committee is conducting its affairs in accordance with the Act and the regulations. 4. Information on any failure of the credit union to implement or complete the implementation of any significant recommendation previously made by the audit committee. 5. Details of any other matter that is required to be disclosed pursuant to the Act or the regulations.  O. Reg. 237/09, s. 27 (2). (3) The audit committee may, in its annual report, report on such other matters as the committee considers appropriate.  O. Reg. 237/09, s. 27 (3).