Chapter I General Provisions Article 1 In order to strengthen internal audit, establish and improve internal audit system, standardize internal audit behavior, improve management, improve efficiency, enforce financial discipline and promote the building of a clean government, these Regulations are formulated in accordance with the Audit Law of People's Republic of China (PRC) and other relevant laws and administrative regulations, and in light of the actual situation in Sichuan. Article 2 The term "internal audit" as mentioned in these Regulations refers to the activities independently carried out within the unit to supervise and evaluate the authenticity, legality and effectiveness of the financial revenue and expenditure, financial revenue and expenditure and other economic activities of the unit and its subordinate units according to law. Article 3 These Regulations shall apply to the state organs, institutions, state-owned and state-controlled financial institutions, enterprises, social organizations and other organizations that manage and use fiscal funds and social public funds within the administrative area of Sichuan Province. Article 4 Internal audit shall follow the principles of legality, independence, objectivity and impartiality. Article 5 The principal responsible person or authority of a unit directly leads the internal audit work of the unit and is responsible for establishing and improving the internal audit system of the unit and the authenticity, legality and completeness of the audit report and audit decision. Article 6 People's governments at or above the county level shall strengthen their leadership over internal audit; National audit institutions at or above the county level shall guide and supervise the internal audit work within their respective administrative areas.

Administrative organs at or above the county level shall, within the scope of their functions and powers, lead, guide and supervise the internal audit work of their own industries and systems according to law. Article 7 The internal audit (division) association is a self-discipline organization established by internal audit institutions and internal auditors according to law. Conduct industry self-discipline management in accordance with relevant state regulations, and accept the guidance and supervision of state audit institutions. Chapter II Institutions and Personnel Article 8 The following units shall set up independent internal audit institutions with full-time internal auditors:

(a) the implementation of provincial vertical management departments;

(2) State organs and institutions with large financial revenues and expenditures or a large number of subordinate units;

(three) the management of social groups and other organizations that use a large amount of public funds;

(4) State-owned or state-controlled local financial, insurance and securities institutions;

(five) large and medium-sized state-owned enterprises and state-owned holding enterprises;

(six) other units that should set up internal audit institutions according to laws and regulations.

Units other than those specified in the preceding paragraph may set up internal audit institutions according to needs, and be equipped with full-time or part-time internal auditors.

The specific conditions for the establishment of an internal audit institution as stipulated in items 1, 2 and 3 of the first paragraph of this article shall be stipulated by the provincial people's government. Article 9 An enterprise may set up a chief auditor according to relevant laws and regulations and actual needs. The chief auditor shall perform the duties entrusted by laws and regulations. Tenth internal audit institutions to perform their duties required funds, should be included in the budget of the unit. Article 11 Internal auditors shall have the professional knowledge and professional ability required for engaging in internal audit work, and receive regular internal audit vocational training and follow-up education. Article 12 The person in charge of an internal audit institution shall meet the following conditions:

(1) Having the qualifications for professional and technical positions at or above the intermediate level, professional qualifications or more than three years of relevant work experience in auditing and accounting;

(2) Other conditions stipulated by laws and regulations. Thirteenth internal audit institutions and internal auditors shall perform their duties according to law and abide by industry norms.

Internal auditors shall not concurrently hold financial and other business positions, and shall not participate in the audit of the original handling business. When carrying out internal audit, if the internal auditor has an interest in the audited object or audit matters, he should withdraw. Chapter III Duties and Powers Article 14 An internal audit institution shall perform the following duties:

(a) to audit and supervise the financial revenue and expenditure, financial revenue and expenditure, assets and liabilities, profits and losses and owners' equity of this unit and its subordinate units;

(two) to audit and supervise the fixed assets investment projects of this unit and its subordinate units;

(3) Auditing and supervising the compliance of this unit and its subordinate units with relevant laws, regulations and rules in the course of operation and management, as well as the implementation of plans, budgets, procedures and contracts;

(four) to audit and supervise the performance of the economic responsibilities of the principal responsible persons of the internal institutions and subordinate units of the unit;

(five) to review and evaluate the operation, management and benefits of this unit and its subordinate units;

(six) to review and evaluate the soundness and effectiveness of the internal control and risk management of the unit and its subordinate units;

(seven) to carry out relevant special audit investigations;

(eight) to inspect and guide the internal audit work of subordinate units;

(nine) to handle the relevant audit matters assigned by the principal responsible person or authority of the unit and the internal audit institution of the superior unit;

(ten) to handle the inquiry, verification and other relevant audit matters assigned by the state audit institutions;

(eleven) other duties as prescribed by laws, regulations and rules. Article 15 When performing their duties, internal audit institutions shall have the following functions and powers:

(1) Requiring the auditee to provide true and complete relevant plans, budgets, final accounts, financial and accounting materials, bidding materials, economic contracts, statistical statements, meeting minutes and other relevant materials in a timely manner;

(two) to participate in or attend meetings held by the unit and its subordinate units on major investment, asset disposal, financial revenue and expenditure, financial revenue and expenditure budget, final accounts and other economic activities;

(3) Consulting the materials and documents of financial, accounting and economic activities related to the audit contents, computer management information systems and related electronic data, and conducting on-site physical exploration;

(four) according to the law to the relevant units and individuals to investigate and ask questions about the audit matters, and obtain relevant certification materials;

(five) to correct and deal with violations of laws and regulations in economic activities and suggestions for improving management;

(six) have the right to stop the ongoing violations of laws and regulations in economic activities, and report to the principal responsible person or authority of the unit in time when the stop is ineffective;

(seven) the information or assets related to financial accounting and related economic activities that may be transferred, concealed, tampered with or destroyed shall be reported to the main person in charge of the unit or the authority for approval and temporarily sealed;

(eight) with the approval of the main person in charge of the unit or the authority, the relevant audit report shall be publicized, and the provisions of laws and regulations shall prevail;

(nine) to participate in the selection of relevant social intermediary institutions or professionals in this unit, and to review and evaluate the work quality of the selected social intermediary institutions or professionals;

(ten) the internal organs and subordinate units strictly abide by the financial laws and regulations, the economic benefits are remarkable, and the collectives and individuals who have made outstanding contributions can put forward suggestions for commendation and reward to the principal responsible person or authority of the unit;

(eleven) other rights stipulated by laws, regulations and rules.