Internal Audit of Diamond Biotechnology is an independent unit within the company that directly reports to the Board of Directors. In addition to regular reporting at Board meetings, it also provides reports to the Chairman and the Audit Committee on a quarterly basis or when necessary.

The Internal Audit procedures define the internal controls for reviewing the company’s operational procedures, assessing the appropriateness and effectiveness of such controls, and ensuring efficiency. The scope of review covers all units and subsidiaries of the company.

The audit work is primarily based on the approved audit plan by the Board, which is developed based on identified risks. In addition to routine audits, project audits or reviews are conducted as needed. Through these general and project-specific audits, the Internal Audit provides management with insights into the functioning of internal control and timely information on any existing or potential deficiencies.

Internal Audit also reviews the self-inspections conducted by various units and subsidiaries of the company to ensure the quality and execution of their operations. The results of these self-inspections are consolidated and reported to the Audit Committee and the Board.

The Internal Audit Department operates under the supervision of the Board of Directors and is led by one Audit Manager. The appointment and removal of the Audit Manager require the approval of the Board of Directors.