10. INTERNAL CONTROL

  The Company values the internal control and internal audit system, and
  has set up an internal audit unit, which reports directly to the audit
  committee.

  The internal audit work can be divided into 5 main types as follows:

-   Financial auditing

-   Operational auditing

-   Compliance auditing

-   Management auditing

-   Information system auditing

  The internal auditor has the responsibility to report the audit
  results, findings, suggestions and solutions in written document, as
  well as to follow up to ensure the compliance with rules, regulations
  and suggestions which have been acknowledged or accepted by board of
  directors, audit committee, or management.

  The audit committee held 5 meetings in 2006 as follows:

1.  1^(st) meeting on 28 February 2006

2.  2^(nd) meeting on 10 April 2006

3.  3^(rd) meeting on 10 May 2006

4.  4^(th) meeting on 9 August 2006

5.  5^(th) meeting on 9 November 2006

  All audit committee members attended all the meetings.

Report of the Audit Committee

  To the Shareholders of Bumrungrad Hospital Public Company Limited

  The Audit Committee was established by a board resolution. The
  Committee comprises of three independent directors of the Company,
  namely, Miss Sophavadee Uttamobol, Chairperson, Mr. Boonpakorn
  Chokwathana and Mr. Soradis Vinyaratn as Audit Committee Members. The
  duties and responsibilities of the committee are mainly to review the
  financial reports to ensure sufficient compliance with accounting
  standards and credibility; to review the company’s internal control
  system for adequacy and effectiveness; to ensure that the company
  complies with the regulations and other relevant laws, and to review
  any possible conflict of interest between the company and persons or
  any related parties transaction.

  The Audit Committee had 5 meetings in year 2006 to perform the duties
  assigned. The major topics are:

  1. Reviewed the Company and subsidiaries’ financial statements prior
  to submission to the Board of Directors. After due considerations with
  the external auditors and the management, it is the opinion of the
  committee that the financial statements are presented with sufficient
  and accurate disclosure of material information.

  2. Considered and recommended an appointment of external auditor and
  the yearly audit fee to the Board of Directors and Shareholders.

  3. Reviewed an internal auditing policy, which is part of the
  company’s administrative policy, and agreed to a written procedure for
  internal audit as working criteria in accordance with international
  standard.

  4. Considered the disclosure of information concerning connected
  transaction and disposition assets.

  5. Reviewed and acknowledge the reports from internal auditors in
  relation to various policies, regulation, procedures, and rules as
  prescribed by the laws as well as the adequate effectiveness of risk
  assessment for various divisions of the Company. The committee is of
  the opinion that the internal control systems are adequate and
  appropriate to prevent risks in the Company’s operation.

  The Audit Committee has performed its assigned duties with care and at
  its fullest ability for the benefit of the company’s stakeholders.

  Miss Sophavadee Uttamobol

  Chairperson of Audit Committee

  6 March 2007