[ON THE LETTER HEAD OF THE COMPANY]
CERTIFIED TRUE EXTRACTS OF THE MINUTES OF MEETING OF AUDIT COMMITTEE OF [NAME OF COMPANY] HELD ON [DATE] AT [TIME] AT [ADDRESS]
TO CONSIDER AND RECOMMNED DRAFT RISK MANAGEMENT POLICY
The Chairman informed the members that as per Section 134(3)(n), every company has to include in its Board report laid before Shareholders of the Company, a statement a statement indicating development and implementation of a risk management policy for the company including identification therein of elements of risk, if any, which in the opinion of the Board may threaten the existence of the company.
Further Section 177(4)(vii) of Companies Act 2013 casts an obligation on the Audit Committee of the Company to evaluate the internal financial control and risk management system of the Company.
Accordingly a Risk Management Policy has been framed for the Company laying down and guidelines and procedures to identify the potential risk areas define, measure, report, control and mitigate the identified risks so as to minimize the threat. The Committee perused the same and expressed its satisfaction thereon.
Thereafter the Committee passed following resolution with unanimous consent.
“RESOLVED THAT draft Risk Management Policy of the Company as placed before the Committee and initialed by the Chairman of the Committee for the purpose of identification be and is hereby agreed for adoption by the Company and recommended to the Board for approval.
RESOLVED FURTHER THAT the Chairman of the Committee is authorized to convey the recommendation of the Company to the Board of Directors.”