(4)Every Audit Committee shall act in accordance with the terms of reference specified in writing by the Board which shall, inter alia, include,—(i)the recommendation for appointment, remuneration and terms of appointment of auditors of the company;(ii)review and monitor the auditor’s independence and performance, and effectiveness of audit process;(iii)examination of the financial statement and the auditors’ report thereon;(iv)approval or any subsequent modification of transactions of the company with related parties:Provided that the Audit Committee may make omnibus approval for related party transactions proposed to be entered into by the company subject to such conditions as may be prescribed;(v)scrutiny of inter-corporate loans and investments;(vi)valuation of undertakings or assets of the company, wherever it is necessary;(vii)evaluation of internal financial controls and risk management systems;(viii)monitoring the end use of funds raised through public offers and related matters.
