The Audit Committee reports to the IOC Executive Board the IOC President, and assists the Director General’s Office in fulfilling its responsibilities in terms of risk management, financial reporting, compliance, control and governance.
The Audit Committee has the authority and responsibility to conduct any audit it deems necessary to perform, and such other duties as may be assigned to it by the Executive Board and/or the IOC President.
The responsibilities of the Audit Committee are to:
- Monitor the integrity of the IOC’s financial statements and ensure that the financial statements of the IOC and its subsidiaries are prepared in accordance with the International Financial Reporting Standards (IFRS) and comply with Swiss law and the Olympic Charter; monitor any other formal announcement relating to its financial condition; and review significant financial reporting judgments.
- Oversee the IOC internal control and risk management systems and report to the Executive Board on the types of risk to which the IOC is exposed; Verify that effective business continuity plans are in place.
- Review compliance with policies, procedures and applicable regulations, including arrangements by which IOC staff and suppliers may, in confidence, raise concerns about possible improprieties in matters of ethics or financial reporting.
- Advise the Executive Board for the approval at the annual Session ofthe appointment, re-appointment or removal of the external auditor. Approve the appointment and removal of the Chief Internal Auditor and monitor the effectiveness of the internal audit function.
The Audit Committee is supported by the Chief Internal Auditor and oversees all IOC entities, including The Olympic Foundation for Culture and Heritage, the Olympic Foundation, Olympic Solidarity, IOC Television and Marketing Services, Olympic Broadcasting Services and the Olympic Channel.
The Chairman reports to the EB on how the Audit Committee has discharged its responsibilities, making recommendations it deems appropriate on any issue within its terms of reference.
He or she attends the Session to answer any questions on the Committee’s activities.
The Committee produces an activity report for the IOC’s Interim and Final reports.
The Audit Committee meets as often as it determines, but at least twice a year.
Only Committee members are automatically entitled to attend its meetings. The Audit Committee then decides if non-members should attend for a particular meeting or agenda item. The Director General and external audit lead partner are regularly invited to attend, as are the Finance Director and Internal Auditor, who acts as secretary for the Committee.
At least once a year, the Committee meets the external and internal auditors, without management present, to discuss matters related to its remit and other audit-related issues.
The Audit Committee is authorised to hire outside counsel or other consultants. A budget is established for this, and to cover the costs of its meetings and other activities.
The Audit Committee reviews its terms of reference annually and proposes any revisions to the Executive Board.