Bản dịch văn bản 52/1998-TT-BTC
Circular 52/1998-TT-BTC
Cơ quan ban hành: Bộ Tài chính
Ngày ban hành: 1998-04-16

CIRCULAR No.52/1998-TT-BTC OF APRIL 16, 1998 GUIDING THE ORGANIZATION OF INTERNAL AUDIT APPARATUS AT STATE ENTERPRISES In furtherance of Decree No.59-CP of October 3rd, 1996 of the Government promulgating the Regulation on financial management and business cost-accounting by State enterprises, the Ministry of Finance issued Decision No.832/TC/QD/CDKT of October 28, 1997 stipulating the regulation on internal audit applicable to State enterprises. To well carry out the internal audit at enterprises, the Ministry of Finance hereby guides the organization of internal audit apparatus at State enterprises as follows: A. GENERAL PROVISIONS 1. All State enterprises, including: production and/or business enterprises, public utility enterprises, corporations, unions of enterprises and other independent cost-accounting enterprises shall have to organize internal audit apparatuses fully capable of performing the internal audit in accordance with Decision No.832/TC/QD/CDKT of October 28, 1997 of the Minister of Finance. 2. This Circular shall guide in detail the organization of internal audit apparatus for each type of State enterprises. With regard to other contents, the provisions of the Regulation on internal audit issued together with Decision No.832-TC/QD/CDKT of October 28, 1997 of the Minister of Finance shall apply. B. SPECIFIC PROVISIONS I. ORGANIZATION OF INTERNAL AUDIT APPARATUS AT STATE ENTERPRISES, WHICH ARE CORPORATIONS OR UNIONS OF ENTERPRISES (HEREAFTER REFERRED TO AS CORPORATIONS) The internal audit apparatus of a corporation shall be organized as follows: At the corporation, it is the internal audit section; at the member units, depending on their production and business scope, fields of operation - centralized or scattered - and on the auditors' capabilities, internal audit teams or groups may be organized. 1. Corporation's internal audit section 1.1. The corporation's internal audit section must be organized independently from other functional sections of the corporation and subject to the direction and leadership of the General Director. The section shall be staffed with 3 to 5 persons. 1.2. The corporation's internal audit section is led by a head to be appointed by the General Director. The head of the internal audit section and the auditors shall not concurrently undertake any managerial and executive jobs in the corporation. 1.3. The head of the corporation's internal audit section must meet the following criteria: - Have full qualifications of an internal auditor as prescribed in Article 12 of the Regulation on internal audit issued together with Decision No.832/TC/QD/CDKT of October 28, 1997 of the Minister of Finance; - Have the capability of organizing and running the corporation's internal audit activities. 1.4. Order and procedures for the appointment of the head of the corporation's internal audit section: The corporation shall submit a dossier proposing the appointment of the head of the internal audit office to the General Department on Management of State's Capital and Property at Enterprises. Such a dossier shall include: - The official dispatch proposing the appointment of the head of the corporation's internal audit section; - The appointed person's curriculum vitae certified by his/her agency; - Copies of the university diploma on economics, finance and accounting or business administration and certificate proving that the appointed person has attended a training program on internal audit. Within 15 days after receiving the full valid dossier, the General Department on Management of State's Capital and Property at Enterprises shall have to consider and reply in writing. Basing him/herself on the written consent of the General Department on Management of State's Capital and Property at Enterprises, the General Director of the corporation shall issue a decision on the appointment of the head of the internal audit section. 1.5. The head of the corporation's internal audit section shall be dismissed if he/she commits one of the following violations: - Violating the legislation, policies, financial and/or accounting regulations, the State's management regime, resolutions and decisions of the Managing Board and the Directorate, and therefore being disciplined with warning or higher level; - Being dishonest and not objective, covering or intentionally falsifying the internal audit results; - Displaying incapability of organizing and running the corporation's internal audit during his/her working process. A decision on dismissal of the head of internal audit section shall be signed by the General Director and sent to the General Department on Management of State's Capital and Property at Enterprises. 1.6. All expenses for the operations of the internal audit section, including salaries and allowances of the section's head and auditors shall be accounted into the corporation's managerial cost. The section's head and auditors shall be graded with basic salary according to the wage scale applicable to the State officials and shall enjoy salaries and bonuses according to the salary and bonus distribution regime in the State enterprises stipulated by the Government, depending on the enterprise's operation results. 1.7. The corporation's internal audit section shall have the following main tasks: - To assist the corporation's leaders in assessing the implementation of internal rules, inspecting the effectiveness of the internal control system, performance of financial and accounting work as well as the observance of legislation, State's policies and regulations, resolutions and decisions of the Managing Board and the Board of Directors. - To propose, through the internal audit, to the corporation's leaders measures to adjust the management of the unit's finance and accounting, propose the competent level to handle violations of the State's financial and accounting regime. - To provide professional training, guidances and direction for the contingent of auditors in the corporation. - To organize the audit at the corporation's head office and its member units according to the audit plan already approved by the General Director. To inspect, handle and summarize internal audit results of the corporation and its member units. 2. Organization of internal audit apparatus at the corporation's member enterprises. 2.1. Depending on the production and business scale, and the volume of work to be audited at member units, internal audit teams or groups may be organized, each is staffed with 2 to 3 persons. - For independent cost-accounting member enterprises of the corporation, having the legal person status, internal audit team (or group) must be set up and directed by the enterprise's director. - For dependent cost-accounting member units of the corporation, depending on the characteristics of each unit, the corporation's internal audit section may directly perform the audit or appoint auditors to work directly at such dependent units. 2.2. The number of auditors of an internal audit team (or group) shall be decided by the enterprise's director. Each internal audit team (group) is led by a head to be appointed by the director of the member enterprise. The team or group head and internal auditors shall work independently and not concurrently undertake any other jobs in the enterprise. 2.3. Criteria, order and procedures for the appointment and dismissal of the head of a internal audit team (group) shall comply with the stipulations on the appointment and dismissal of the head of the corporation's internal audit section, which, however, must be decided by the director of the member enterprise. In case of appointment, there must be written consent of the Department for the Management of State's Capital and Property at Enterprises at the place where the enterprise's head office is located. 2.4. All expenses for the operations of internal audit teams (groups), including auditors' salaries and allowances, shall be accounted into the enterprise's managerial cost. 2.5. Internal audit teams (groups) at member enterprises shall not only have the task of regularly and directly organizing the internal audit at their respective enterprises according to the contents provided for in the regulation on internal audit, but also be subject to professional direction of the corporation's internal audit section and participate in the audits organized by the corporation's internal audit section. II. ORGANIZATION OF INTERNAL AUDIT APPARATUS AT INDEPENDENT ENTERPRISES Independent enterprises (which are not corporation members) shall have to organize their internal audit apparatus in the form of internal audit teams (groups) to be placed under the directors as it is provided for the corporation's member enterprises in Point 2, Section I above. C. IMPLEMENTATION PROVISIONS 1. The General Department for Management of State's Capital and Property at Enterprises shall have to organize professional training courses for auditors of State enterprises in the second and third quarters of 1998, monitor and inspect the organization of internal audit apparatuses at the State enterprises. 2. In the fourth quarter of 1998, the State enterprises shall have to complete the organization of their internal audit apparatuses fully capable of auditing their 1998 financial reports. Agencies managing the State's capital and property at enterprises and State enterprises shall have to implement this Circular. In the course of implementation, any arising problems shall be reported to the Ministry of Finance for study and appropriate amendment. For the Minister of Finance Vice Minister PHAM VAN TRONG