Mr. Philip Hosford:

The first question concerns the integration of risk and internal audit. Our view is that there should be a risk committee and an internal audit committee, that the internal audit committee should report to the audit committee and that the audit committee should report to the board. The risk management officer should report to the risk committee and the risk committee should report to the board. The compliance officer is stand-alone and reports directly to the board. The compliance officer should have a role in integrating, particularly in respect of internal audit, to see what work is being done and to see what risks arise. These roles are all interlinked and that is how we seek to implement it based on what is in the legislation.

On the question of whether there is something missing from the legislation, we could come up with points we would like to see included but we are satisfied with the Bill. We see a couple of key stumbling points in our operation and they are addressed in the Bill.