THE CORPORATIVE GOVERNANCE AND INTERNAL AUDIT. CASE STUDY: ROMANIAN CREDIT INSTITUTIONS

While traditionally the role of the internal auditor was to help the organization to maintain the internal control system of the financial statements, a new series of opportunities emerged as an outcome of the corporative governance. The supreme challenge for the internal auditor is to find the means in order to offer the reasonable degree of insurance expected by all participants. To put it in other way, the internal auditor must become a key element in the corporative governance process. The audit committee tries to improve its efficiency having better and frequent contacts with the internal auditor which stays one of the best sources of information for the committee. Once the alignment of Romania to the European legislative aquis for the banking system in Romania, complies the recommendation of the Committee on Banking Supervision Basel, instituting mandatory existence of an Audit Committee within each bank. The reason for this recommendation lies in the need for an advisory permanent body, supporting a bank's Board of Directors in fulfilling the difficult tasks to maintain and strengthen internal control system.