National Consumer Tribunal Annual Report 2011/12 National Consumer Tribunal 2011-12 | Page 73

STATEMENT OF RESPONSIBILITY
for the year ended 31 March 2011
The Accounting Authority is required by the Public Finance Management Act (Act 1 of 1999),
to maintain adequate accounting records and is responsible for the content and integrity of the
Annual Financial Statements and related fi nancial information included in this report. It is its
responsibility to ensure that the Annual Financial Statements fairly present the state of affairs of
the Tribunal as at the end of the fi nancial year and the results of its operations and cash fl ows
for the period then ended, in conformity with South African Statements of Generally Recognised
Accounting Practices. The external auditors are engaged to express an independent opinion on
the Annual Financial Statements.

The Annual Financial Statements have been prepared in accordance with Standards of Generally
Recognised Accounting Practices (GRAP).

The Annual Financial Statements are based upon appropriate accounting policies consistently
applied and supported by reasonable and prudent judgements and estimates.

The Accounting Authority acknowledges that it is ultimately responsible for the system of internal
fi nancial control established by the Tribunal and places considerable importance on maintaining a
strong control environment. To enable the Tribunal to meet these responsibilities, the Accounting
Authority sets standards for internal control aimed at reducing the risk of error or loss, in a cost
effective manner. The standards include the proper delegation of responsibilities within a clearly
defi ned framework, effective accounting procedures and adequate segregation of duties to
ensure an acceptable level of risk. These controls are monitored throughout the Tribunal and
all employees are required to maintain the highest ethical standards in ensuring the Tribunal’s
business is conducted in a manner that in all reasonable circumstances is above reproach. The
focus of risk management in the Tribunal is on identifying, assessing, managing and monitoring
all known forms of risk across the Tribunal. While operating risk cannot be fully eliminated,
the Tribunal endeavours to minimise it by ensuring that appropriate infrastructure, controls,
systems and ethical behaviour are applied and managed within predetermined procedures and
constraints.

The Accounting Authority is of the opinion, based on the information and explanations given by
management, that the system of internal control provides reasonable assurance that the fi nancial
records may be relied on for the preparation of the Annual Financial Statements. However, any
system of internal fi nancial control can provide only reasonable, and not absolute, assurance
against material misstatement or loss.

The Annual Financial Statements, which have been prepared on the going concern basis, were
approved and signed on its behalf:

Diane Terblanche
Chairperson Hazel Devraj
CEO/Registrar
29 July 2011 29 July 2011
Annual Report 2011
national consumer tribunal | page 71