The Internal Audit Unit is a work unit within the Company that carries out the internal audit function, as required in POJK provisions no. 56/2015.

The Company has established an Internal Audit Unit under the President Director based on the Decree of the Board of Directors of PT Arna Cahaya Medika No. SK-Dir.012/ARNAI/PS/II/2022, January 31 2022 where the duties, functions, responsibilities and authorities of the Company’s Internal Audit Unit are regulated in the Internal Audit Unit Charter, April 6 2021.

Based on the Decree of the Board of Directors and the Decree of the Board of Commissioners as mentioned above, the Company has also appointed Hilman Feisal as the Head of the Internal Audit Unit with a term of five years as the Head of the Internal Audit Unit.

In order to carry out its duties and responsibilities with optimal results, the Internal Audit Unit is authorized to:

1. Determine the strategy, scope, method and frequency of Internal Audit independently;
2. Obtain information from all work units and employees within the Company and Subsidiaries. This information is in the form of documents, soft file data, notes, as well as information from the intended work unit and employees as long as it is relevant to the inspection environment;
3. Access all relevant information about the Company and its Subsidiaries related to their duties and functions;
4. Communicate directly and/or hold regular or incidental meetings with the Board of Directors, Board of Commissioners, and/or the Audit Committee and members of the Board of Directors, Board of Commissioners, and/or the Audit Committee;
5. Submit audit results reports to the Board of Directors and the Audit Committee;
6. Conduct audits of subsidiaries, work units and or personnel;
7. Coordinate its activities with the activities of the external auditors.

The responsibility of Internal Audit is to evaluate and improve the effectiveness of risk management, control processes and governance processes for the Company so that the mission is achieved. Within this responsibility, the Internal Audit Unit must:

1. Develop and implement an annual Internal Audit plan;
2. Identify and evaluate significant exposures to risk and contribute to improving risk management and control systems;
3. Assist the Company in maintaining effective control by evaluating the effectiveness and efficiency of these controls in order to achieve the following conditions:

• • Financial and operational information that is reliable and has integrity;
  • Efficient operations and effective results;
  • Protected assets; and
  • The Company’s actions and decisions are in accordance with laws and regulations.

4. The Internal Audit Activity must contribute to the corporate governance process by evaluating and improving processes that create:

• • Values and goals are defined and communicated;
  • Target achievement is monitored;
  • Guaranteed accountability; and
  • The Company’s values continue to be preserved

5. Make an audit report and submit the report to the President Director and the Board of Commissioners;
6. Monitor, analyze and report on the implementation of follow-up improvements that have been suggested;
7. Cooperate with the Audit Committee;
8. Conducting special inspection if needed;

In its implementation, the scope of duties of the Company’s Internal Audit includes the following aspects:

1. Evaluating the effectiveness and adequacy of the internal controls implemented by the Company;
2. Evaluating the effectiveness and adequacy of risk management carried out by the Company;
3. Evaluate the effectiveness and adequacy of the Company’s assessment of corporate governance and its sustainability.

The term of office for members of the Internal Audit Unit is 5 (five) years and may not be longer than the term of office of the Company’s Board of Commissioners.

The membership structure of the Internal Audit Unit is as follows:

The work experience of the Head of the Internal Audit Unit is as follows: