What are the responsibilities of the audit committee with respect to disclosure controls and procedures?
While it is the CEOs and CFOs that must provide the individual certifications, the audit committee should also take an interest in the effectiveness of the company’s disclosure controls and procedures. MI 52-109 does not include any specific requirements for the audit committee with regard to disclosure controls and procedures. However, since the board is required to approve the annual MD&A, which includes the results of management’s evaluation of the effectiveness of disclosure controls and procedures, the audit committee and the board will want to understand the process used by management to arrive at its conclusion regarding effectiveness. In addition, the existence of effective disclosure controls and procedures will assist the audit committee in its oversight role over public disclosures.
