Entity authorised to audit financial statements
By resolution of 17 June 2019, the Supervisory Board of the Bank accepted the recommendation of the Audit Committee of the Supervisory Board of Alior Bank S.A. and thus selected KPMG Audyt Spółka z ograniczoną odpowiedzialnością sp.k. with its registered office in Warsaw, at 4a Inflancka St. (KPMG) as auditor of annual and semi-annual financial statements of Alior Bank S.A. and Alior Bank Group for 2019 and 2020.
Policy for the selection of the entity authorised to audit and review financial statements in Alior Bank S.A. and the Policy of the provision by audit firm, its affiliates and a member of the audit firm network of admissible services not being an audit in Alior Bank S.A.
The main objective of the Policy for the selection of the entity authorised to audit and review financial statements in Alior Bank S.A. is to ensure the adequacy and legal compliance, including to avoid any conflict of interest when selecting the audit firm. The Bank is guided by the principles consistent with business ethics, aiming at transparent relations with the counterparty. The Policy defines the rules of proceeding when selecting the audit firm. The selection is conducted taking into account the principles of impartiality and independence of the auditor company and the analysis of the work conducted by it at the Bank. Differences of opinions for the application of accounting policies or auditing standards are not sufficient to terminate the financial statements auditing agreement. Rules for the rotation of the audit firms and of the key auditor, including any waiting periods are defined.
The main objective of the Policy of the provision by audit firm, its affiliates and a member of the audit firm network of admissible services not being an audit in Alior Bank S.A. is to control and monitor the independence of the audit firm and of the independent auditor, including to avoid any conflict of interest. The Policy allows for the provision of admissible services mentioned in Article 136(2) of the Act of 11 May 2017 on statutory auditors, audit firms and public supervision. The provision of admissible services is possible only to the extent unrelated to the Bank’s taxation policy, following the analysis of independence, and giving the consent to provide them.
The recommendation on the selection of the audit firm to conduct the audit of financial statements was prepared as a result of a structured selection procedure that meets the mandatory criteria.
In financial year 2019, the audit firm auditing the financial statements provided to Alior Bank S.A. certain admissible services other than audit. The independence of the audit firm was assessed and the consent for the provision of such services was granted each time.
The entity authorised to audit financial statements, conducting the audit of annual financial statements of Alior Bank Group and annual financial statements of Alior Bank S.A. was selected in accordance with legal provisions. That entity as well as statutory auditors conducting the audit of those statements have met the requirements for being able to express their impartial and independent opinion on the audited interim financial statements of the Bank Group and financial statements of the Bank, in accordance with the applicable legislation and professional standards.
Management Board’s Notice prepared under § 70(1)(7) of the Ordinance of the Minister of Finance of 29 March 2018 on current and periodic notices … (Journal of Laws 2018, item 757)
The Management Board of the Bank hereby notifies, based on the statement of the Supervisory Board of the Bank of 20 January 2020, that an audit firm to audit annual financial statements has been selected in accordance with legislation, including with regard to the selection and the procedure of selection of the audit firm and that:
- the audit firm and the members of the team conducting the audit have met the requirements for being able to prepare their impartial and independent report on annual audit of financial statements in accordance with the mandatory legislation, professional standards and principles of professional ethics,
- the mandatory legislation related to the rotation of the audit firm and of the key independent auditor as well as the mandatory waiting times are complied with,
- the Bank has in place a policy for the selection of the audit firm and a policy for the provision to the company by an audit firm, and affiliate thereof, or a member of its network of additional services other than auditing, including services conditionally exempted from the prohibition of provision by the audit firm.
Remuneration for the auditor
The remuneration (net value) of the Bank’s auditor – KPMG Audyt KPMG Audyt Spółka z ograniczoną odpowiedzialnością sp.k. for 2018 and 2019 are presented in the table below:
| 2018 | 2019 | ||||
|---|---|---|---|---|---|
| Auditing of the standalone and consolidated financial statements of Alior Bank Group | 2018 | 820 000 | 2019 | 870 000 | |
| Review of financial statements | 2018 | 955 000 | 2019 | 7760 000 | |
| Auditing and other attestation services | 2018 | 100 000 | 2019 | 300 000 | |
| Total | 2018 | 1 875 000 | 2019 | 1 946 000 |
The remuneration (net value) of the auditors of the Bank’s subsidiaries (not applicable to Centrum Obrotu Wierzytelnościami Sp. z o.o., whose annual financial statements are not subject to auditing) are presented in the table below:
| Company | Auditor | 2018 | 2019 | ||||
|---|---|---|---|---|---|---|---|
| Company | Absource Sp. z o.o. | Auditor | VISTA Auditorzy, Księgowi i Doradcy Sp. z o. o. | 2018 | 4 500 | 2019 | 6 500 |
| Company | Meritum Services ICB S.A. | Auditor | VISTA Auditorzy, Księgowi i Doradcy Sp. z o. o. | 2018 | 4 800 | 2019 | 6 000 |
| Company | NewCommerce Services Sp. z o.o. | Auditor | Kancelaria Biegłych Rewidentów “Konto” Sp. z o.o. | 2018 | 10 000 | 2019 | 10 000 |
| Company | Alior Leasing Sp. z o.o. | Auditor | KPMG Audyt Spółka z ograniczoną odpowiedzialnością sp.k. | 2018 | 205 000 | 2019 | 205 000 |
| Company | Serwis Ubezpieczeniowy Sp. z o.o. | Auditor | KPMG Audyt Spółka z ograniczoną odpowiedzialnością sp.k. | 2018 | 40 000 | 2019 | 40 000 |
| Company | Alior Services Sp. z o.o. | Auditor | UHY ECA Audyt Spółka z ograniczoną odpowiedzialnością sp.k. | 2018 | 30 000 | 2019 | 30 000 |
| Company | Alior TFI S.A. | Auditor | BDO Spółka z ograniczoną odpowiedzialnością Sp.k. | 2018 | 17 000 | 2019 | 17 000 |
| Company | Corsham Sp. z o.o. | Auditor | Ecovis System Rewident Sp. z o.o. | 2018 | 4 500 | 2019 | 7 000 |
Statements of the Management Board
The Management Board of Alior Bank S.A. hereby represents that Alior Banku S.A.:
- to the best of its knowledge, the annual consolidated and standalone financial statements for 2019 and the comparative data were prepared in compliance with the applicable accounting policies and provide a true, fair and clear view of the assets and financial situation of Alior Bank Group and its financial result,
- the Management Board Report contains the true view of the growth, achievements and circumstances (with a description of primary threats and risks) of Alior Bank Group in 2019.