Regulations on Conducting Audit Inspections in Banks of the Republic of Uzbekistan

Regulation of the Board of the Central Bank of the Republic of Uzbekistan, registered on 04.11.2000, registration number 982

Date of Entry into Force

14.11.2000

All

11.08.2023

30.11.2021

14.06.2018

21.09.2015

02.06.2014

14.11.2000

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Russian Uzbek O’zb Uzb|Russian

Document lost its force 11.08.2023

[ OKOB: 1. 07.00.00.00 Legislation on Finance and Credit. Banking Activity / 07.19.00.00 Banking System / 07.19.02.00 Commercial Banks. Private Banks. Foreign Banks; 2. 09.00.00.00 Entrepreneurship and Economic Activity / 09.04.00.00 Audit Activity / 09.04.06.00 Features of Auditing Certain Organizations] [ TSZ: 1. Finance / Banks and other credit institutions. Credits]

Republic of Uzbekistan

Approved by

the Board of the Central Bank of the Republic of Uzbekistan

2000 June 24

No. 403

"APPROVED" "AGREED"

Deputy Minister of Finance

of the Republic of Uzbekistan

T.I. Juraev

2000 November 3

REGULATIONS

ON CONDUCTING AUDIT INSPECTIONS IN BANKS OF THE REPUBLIC OF UZBEKISTAN

[Registered by the Ministry of Justice of the Republic of Uzbekistan on November 4, 2000, No. 982]

These Regulations are based on the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 8/10-10 dated March 31, 2023 "On the Regulation on Conducting Audit Inspections in Banks of the Republic of Uzbekistan, as well as on Declaring Invalid the Regulation on Amendments and Additions Thereto" (registration number 982-4, 08.05.2023).

These Regulations lose their force on August 11, 2023.

Chapter 1. General Provisions

1.1. These Regulations are developed on the basis of the Laws of the Republic of Uzbekistan "On the Central Bank of the Republic of Uzbekistan", "On Banks and Banking Activity", "On Audit Activity" (new edition), "On Accounting", as well as other laws and regulatory legal documents regulating banking and audit activities.

1.2. Based on the Laws of the Republic of Uzbekistan "On Banks and Banking Activity" and "On Audit Activity" (new edition), the activities of commercial banks must be audited annually by audit organizations holding a certificate issued by the Central Bank of the Republic of Uzbekistan (hereinafter referred to as the Central Bank) granting the right to conduct audit inspections in banks.

1.3. These Regulations: See previous edition. (The second paragraph of clause 1.3 was issued based on the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

regulate the conduct of qualification examinations for obtaining a qualification certificate granting the right to conduct audit inspections in banks (hereinafter referred to as the qualification certificate);

the issuance, re-registration, termination, and cancellation of qualification certificates;

the implementation of rights and obligations by audit organizations (auditors);

the conduct of audit inspections by audit organizations;

relations related to the activities of the Board of Directors and Management of commercial banks in the course of conducting audit inspections.

1.3.1. The procedure for issuing, re-registering, suspending, terminating, and cancelling certificates granting audit organizations the right to conduct audit inspections in banks is approved by the Resolution of the Cabinet of Ministers of the Republic of Uzbekistan No. 56 dated March 10, 2014, and is regulated by the Regulation on the Procedure for Granting Permission for Issuing a Certificate Granting the Right to Conduct Audit Inspections in Banks.

1.4. The purpose of an audit inspection in a bank is for the audit organization to express an independent opinion on the reliability of the bank's financial statements and other financial information, and their compliance with International Financial Reporting Standards and legislative acts on accounting. During the audit inspection, the audit organization must prepare a separate report on deficiencies in the bank's internal control structure. (Clause 1.4 is in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan No. 20-mh-20 dated November 30, 2021 (registration number 3338, 30.11.2021), 30.11.2021, No. 10/21/3338/1117-3)

Chapter 2. Bank Supervision Committee of the Central Bank

2.1. The Bank Supervision Committee of the Central Bank (hereinafter referred to as the Committee) adopts decisions on issuing certificates granting the right to conduct audit inspections in banks, as well as qualification certificates for auditors.

2.2. The Committee is tasked with reviewing documents submitted to it and adopting decisions on:

issuing or refusing to issue qualification certificates to auditors;

including audit organizations and auditors in the registry of audit organizations and auditors holding certificates granting the right to conduct audit inspections in banks (hereinafter referred to as the Registry);

making relevant corrections to the Registry in case of changes in registration data;

developing qualification requirements for auditors;

conducting qualification examinations and certification of auditors;

reviewing other matters related to the issuance, re-registration, suspension of validity, termination, and cancellation of qualification certificates.

2.3. In its activities, the Committee complies with the Laws of the Republic of Uzbekistan "On the Central Bank of the Republic of Uzbekistan", "On Banks and Banking Activity", "On Audit Activity", "On Accounting", and these Regulations.

2.4. Documents submitted to the Committee are reviewed within 15 days from the date of their acceptance.

2.5. Before being reviewed at a Committee meeting, documents are studied by the relevant departments of the Central Bank and members of the Committee.

2.6. The Committee is convened and holds its meetings as necessary.

2.7. Documents are prepared by the Department of Prudential Supervision of Credit Institutions of the Central Bank and submitted for discussion at the Committee meeting.

2.8. A Committee meeting is considered quorate if at least two-thirds of its members participate. Decisions of the Committee are adopted by a simple majority of participating members. In case of a tie, the vote of the Chairman of the Committee is decisive.

2.9. Committee decisions are formalized by a protocol signed by the Committee members participating in the meeting, signed by the Chairman of the Committee, and certified with the official seal of the Central Bank. (Chapter 2 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

Chapter 3. Conducting Qualification Examinations for Obtaining and Re-registering Qualification Certificates

3.1. Persons who have completed special training courses on bank accounting and auditing with a volume of not less than 40 hours at the Center for Training Bank Auditors are admitted to the qualification examination for obtaining a qualification certificate.

3.2. An application is submitted to the Central Bank by the applicant for obtaining qualification certificates and taking qualification examinations.

3.3. The following documents must be attached to the application:

A copy of the auditor qualification certificate issued by the Ministry of Finance of the Republic of Uzbekistan (the original is returned after copying); (The second paragraph of clause 3.3 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

a diploma confirming higher economic education (if the diploma was obtained in a foreign country, a document confirming its recognition (equivalence) in accordance with legislative acts) and a work record book (copies are taken, originals are returned); (The third paragraph of clause 3.3 is in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan No. 20-mh-20 dated November 30, 2021 (registration number 3338, 30.11.2021), 30.11.2021, No. 10/21/3338/1117-3)

a personal file (2 copies of a 3x4 size photograph, not computer-processed, obtained no more than 6 months from the date of submission of the application);

a copy of a document confirming completion of special training courses on bank accounting and auditing.

3.4. Applicants take qualification examinations at the Central Bank. The procedure for taking examinations, their form, and content are determined by the Central Bank.

3.5. Completed work is evaluated on a "satisfactory" or "unsatisfactory" basis.

3.6. Applicants who receive a "satisfactory" grade are considered to have successfully passed the qualification examinations.

The Committee adopts a positive or negative decision on the results of examinations submitted by applicants for obtaining certificates after the examinations are conducted. (The second paragraph of clause 3.6 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.7. The results of qualification examinations are formalized by a protocol signed by the Chairman of the Committee and all its members. (Clause 3.7 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.8. The results of qualification examinations are announced to applicants by the Committee on the day the examinations are conducted. (Clause 3.8 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.9. Qualification certificates are issued to applicants who successfully passed the examination within 15 days. Qualification certificates are issued to the state registry with the signature of the certificate holder. (Clause 3.9 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3) See previous edition. (Clause 3.10 lost its force based on the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.11. A qualification certificate is issued by the Central Bank to an auditor to confirm his professional competence in conducting audit inspections in banks (Appendix 1). A qualification certificate is issued to an auditor for a period of 5 years.

3.12. To re-register a qualification certificate due to a change in the auditor's surname (first name, patronymic) or passport data (series, number, date of issue), or due to the expiration of its validity period, the auditor may submit an application for re-registration within one month, attaching the original copy of the qualification certificate and the documents specified in clause 3.3 of these Regulations, before the expiration of the validity period.

Re-registration of a qualification certificate due to the expiration of its validity period is carried out after the auditor successfully passes qualification examinations for obtaining a new qualification certificate.

3.13. If the Committee adopts a decision on re-registration of a qualification certificate, a new qualification certificate is issued to the auditor with the number of the previously issued qualification certificate. (Clause 3.13 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.14. Issuance of a qualification certificate may be refused on the following grounds:

if the applicant does not meet the requirements set by the Central Bank, including the lack of higher economic education, work experience in the banking sector (at least 2 years) in at least a leading specialist position during the last ten years of work experience, or work experience as an auditor in international audit organizations (at least 1 year);

if the applicant does not have impeccable business reputation and personal integrity;

if there is a mismatch in the validity periods of the auditor qualification certificate issued by the Ministry of Finance and the qualification certificate being issued by the Central Bank. The validity periods of qualification certificates must coincide for a period of not less than three years;

if incorrect documents are submitted, false or incorrect information is provided in the documents, or if there is non-compliance with license requirements and conditions.

3.14-1. The following persons are not considered to have impeccable business reputation and personal integrity:

former heads of a legal entity that became bankrupt, if it is established that actions on their part led to the bankruptcy of the legal entity;

persons convicted of a crime in the field of financial and economic relations, subject to a sentence involving deprivation of the right to hold certain positions or engage in certain activities (deprivation of certain rights) in the form of imprisonment, during the period of serving the sentence and until the conviction is extinguished (expunged) in the manner prescribed by law;

persons who have an unexpunged conviction for a crime in the field of the economy or a crime against the order of management.

3.15. Interested parties may appeal the decisions of the Central Bank on refusal to issue a qualification certificate in the manner prescribed by law.

3.16. An auditor whose application for a qualification certificate was refused due to non-compliance with the requirements set by the Central Bank may re-apply for the issuance of this certificate no earlier than one year from the date the Committee's decision on refusal to issue the qualification certificate was adopted. (Clause 3.16 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

3.17. The Central Bank maintains a registry of issued qualification certificates, which must include:

surname, first name, patronymic, citizenship, address, and other passport data (series, number, date of issue), deposit account number requested until withdrawn, contact phone numbers, number of the existing qualification certificate, date of issue, and validity period.

3.18. Auditors must notify the Central Bank within 10 days of any changes in the specified data to make corrections to the aforementioned registry.

Chapter 6. Termination of Validity of Qualification Certificate

6.2. The validity of a qualification certificate may be terminated in the following cases:

when the auditor applies with an application for termination of the validity of the qualification certificate;

when the auditor provides information obtained during the audit process to third parties (other than the Central Bank) without the permission of the person who ordered the audit, except in cases provided for by legislative acts; (The third paragraph of clause 6.2 is in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan No. 20-mh-20 dated November 30, 2021 (registration number 3338, 30.11.2021), 30.11.2021, No. 10/21/3338/1117-3)

when the auditor conceals facts of violation of established requirements for maintaining accounting by the bank, as well as for preparing financial reports;

non-participation in audit activities for three years;

when it is established that the qualification certificate was issued for the purpose of using this document by another person to participate in audit activities in their name;

when a court decision involving penalties related to deprivation of the right to hold certain positions or engage in certain activities in the field of financial and economic relations enters into legal force;

when a court finds a citizen incompetent or limited in legal capacity in the prescribed manner;

upon expiration of the validity period of the issued qualification certificate; (The ninth paragraph of clause 6.2 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

upon expiration of the validity period of the auditor qualification certificate issued by the Ministry of Finance of the Republic of Uzbekistan.

6.3. A decision on the termination of the validity of a qualification certificate is delivered in writing to the auditor by the Central Bank with justification of grounds within three days from the date of adoption of the decision. Within ten days from the date of receiving the decision on the termination of the validity of the qualification certificate, the qualification certificate must be returned to the Central Bank and destroyed.

6.4. A decision on the expiration of the validity period of a qualification certificate must be published in the mass media.

6.5. The validity of a qualification certificate granting the right to conduct audit inspections in banks enters into force from the moment the decision on its termination is issued.

6.6. A decision of the Committee on the termination of the validity of a qualification certificate may be appealed to the court. (Clause 6.6 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

Chapter 7. Cancellation of Qualification Certificate

7.2. A qualification certificate may be cancelled by the Committee in the following cases: (The first paragraph of clause 7.2 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

when the auditor applies with an application for cancellation of the qualification certificate;

when it is established that a qualification certificate was obtained using forged documents; See previous edition. (The fourth paragraph of clause 7.2 was issued based on the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

7.3. A decision on the cancellation of a qualification certificate is adopted by the Committee in the manner prescribed by legislative acts. (Clause 7.3 is in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan No. 20-mh-20 dated November 30, 2021 (registration number 3338, 30.11.2021), 30.11.2021, No. 10/21/3338/1117-3)

7.4. A decision on the cancellation of a qualification certificate takes effect from the date of its issuance and must be published in the mass media.

7.5. A decision of the Committee on the cancellation of a qualification certificate may be appealed to the court in accordance with current legislation. (Clause 7.5 is in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan No. 15/1-1 dated April 21, 2018 (registration number 982-3, 13.06.2018) — National Database of Legislative Acts, 14.06.2018, No. 10/18/982-3/1348-3)

Chapter 8. Conducting Audit Inspections

8.1. Audit inspections of commercial banks are carried out on the basis of the current legislation of the Republic of Uzbekistan.

8.2. Commercial banks independently select an audit organization holding a certificate issued by the Central Bank granting the right to conduct audit inspections in banks for conducting audit inspections.

An auditor holding a qualification certificate may be involved in conducting an audit inspection if an employment contract has been concluded with him and he is on the staff of the audit organization, or if the audit organization has concluded a civil law contract with him.

The contract and any agreements concluded between the bank and the audit organization must not contain clauses restricting the submission of the audit report to the Central Bank.

8.4. Audit inspections in banks are conducted annually based on the annual report, as well as in accordance with the requirements of state institutions under current legislation of the Republic of Uzbekistan or at the initiative of the bank for the entire banking activity and separate issues.

8.5. Audit organizations confirm (or do not confirm) the accuracy of financial statements and compliance with legal requirements for maintaining accounting based on the results of the audit of bank activities, and also provide official audit opinions to be attached to the annual reports of banks. A bank's annual report is not accepted by the Central Bank and is not published in the press without an audit opinion.

8.6. The title page of the audit opinion must indicate the full name of the audit organization, the number of the certificate granting the right to conduct audit inspections in banks, and the full name of the bank to which this opinion is issued. The title and subsequent pages of the audit opinion must be signed by the auditors of the audit organization holding a qualification certificate and responsible for conducting the audit inspection in this bank, as well as by the head of the audit organization and certified with the seal of the audit organization (if available).

The audit opinion on bank reports must be drawn up in a form corresponding to the requirements of the Central Bank for conducting audit inspections and must clearly express the opinion of the audit organization.

The opinion of the audit organization must indicate that the audit inspection was conducted in accordance with the legislative acts on accounting and International Audit Standards. Audit reports in which no opinion is expressed on the compliance of the audit inspection with the legislative acts on accounting and International Audit Standards are assessed by the Central Bank of the Republic of Uzbekistan as not meeting the requirements of these Regulations and are not accepted. The Central Bank: (The third paragraph of clause 8.6 is in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan No. 20-mh-20 dated November 30, 2021 (registration number 3338, 30.11.2021), 30.11.2021, No. 10/21/3338/1117-3)

has the right to impose additional requirements regarding the content and scope of audit inspections;

has the right to have the activities of banks, their branches, and legal entities affiliated with the bank (affiliated) inspected by controllers of the Central Bank and audit organizations that have the right to familiarize themselves with any information of banks, appointed by the Central Bank.

8.7. Bank audits carried out by an audit organization or auditor not holding a certificate issued by the Central Bank granting the right to conduct audit inspections in banks are considered illegal, and all income derived from this activity must be transferred to the state budget.

8.8. An audit organization may carry out an audit inspection of bank activities with the participation of an auditor holding a qualification certificate.

Conditions for Involving Other Auditors

8.9. When delegating work to assistants or using materials prepared by other auditors, the auditor is not relieved of responsibility for the quality and formalization of his opinion, as well as for the confidentiality of financial information.

Supervision by the Central Bank of Compliance with Regulatory Documents, Procedures, and Methodology During Bank Audits

8.10. Audit organizations submit reports and information to the Central Bank regarding the conducted audit inspections. The Central Bank reviews the results of the inspection and the opinion of the audit organization within 10 days.

Based on the results of the review of the audit opinion, the Central Bank sends a directive to the Bank Council and the Board to eliminate identified deficiencies, including those that led to the expression of "qualifications" regarding the non-compliance of the bank with legislative acts and International Financial Reporting Standards (IFRS) in the audit firm's opinion. This does not apply to cases outside the scope of banking supervision. In such cases, within one month, the commercial bank corrects the indicated deficiencies of the audit firm taking into account the aforementioned qualifications, and a new opinion of the audit firm is obtained. (Paragraph 8.10, second subparagraph, in the edition of the Order of the Minister of Justice of the Republic of Uzbekistan dated November 30, 2021, No. 20-mh (registration number 3338, dated 30.11.2021), 30.11.2021, 10/21/3338/1117)

8.11. Audit firms holding a professional certificate granting the right to conduct bank audits must provide information to the Central Bank regarding the audits conducted in banks.

8.12. Reports of audit firms on the inspection of banking activities are not considered valid in the following cases:

a) if the audit firm or the auditor is a related party to the bank;

b) if the audit firm or the auditor has monetary obligations to the bank;

c) if the audit firm's report is not signed by the auditor who conducted the audit and holds a professional certificate, as well as by the head of the audit firm, and is not certified with the seal of the audit firm (if a seal is available);

e) if the audit opinion contains "qualifications" due to limitations in conducting the inspection (excluding cases outside the scope of banking supervision).

8.13. The Prudential Supervision Department of Credit Institutions of the Central Bank is engaged in monitoring compliance with the normative acts of the Central Bank, including the procedure and methodology of bank auditing. (Paragraph 8.13 in the edition of the Resolution of the Board of the Central Bank of the Republic of Uzbekistan dated April 21, 2018, No. 15/1 (registration number 982-3, dated 13.06.2018) — National Database of Legislative Acts, 14.06.2018, 10/18/982-3/1348)

Chapter 9. Rights and Obligations of Audit Firms

9.1. Audit firms have the following rights:

• To familiarize themselves in advance with the constituent documents of the bank, as well as accounting and financial reporting documents, to make a decision on conducting an audit;
• To fully inspect all documents related to the bank's activities, check the actual availability of tangible assets and securities, and obtain explanations on any questions and additional information arising during the audit;
• To obtain necessary information from third parties based on a written request;
• To involve other audit firms and auditors on a contractual basis to participate in the audit;
• To refuse to conduct an audit if the audited bank fails to provide necessary documents.

Audit firms do not have the right to conduct audits in banks where they provide professional services as stipulated in Article 17 of the Law of the Republic of Uzbekistan "On Audit Activity."

9.2. All auditors have the unconditional right to obtain, review, and copy any information and materials they deem necessary for conducting the audit, as well as to communicate freely with the bank management to discuss the conduct of the audit.

9.3. Audit firms and auditors conducting audits in banks must comply with the following requirements:

• Comply with the requirements of the legislation of the Republic of Uzbekistan and the process and methodology of bank auditing during the audit;
• Reflect in the audit report facts of violations of the legality of financial and economic operations and proposals for their elimination;
• Conduct audits with high professionalism in accordance with professional audit standards;
• Ensure the preservation of all documents obtained and corrected during the inspection;
• Submit all working documents and their copies upon request of the Central Bank;
• Promptly notify the client and the Central Bank about:

a) reasons for their inability to participate in this audit;

b) the need to involve additional auditors for participation in the inspection due to situations arising during the audit process;

c) if facts are identified confirming that the bank's officials and other employees have caused harm to the bank during the audit.

Objectivity and Independence of Auditors

9.4. The auditor is independent when providing opinions and recommendations on audit results. The bank does not have the right to exert direct or indirect influence on the inspection results.

The auditor is responsible for the objectivity and completeness of inspections based on current legislation and contractual requirements.

Confidentiality

9.5. The auditor must ensure the confidentiality of confidential information known to them during work and must not disclose it to third parties without special permission, except for information submitted to the Central Bank.

9.6. The auditor is held liable for failing to keep confidential information in accordance with current legislative requirements and contractual terms.

Chapter 10. Obligations of the Bank Council and Board in Conducting Audits

10.1. The Bank Board is responsible for preparing the financial report for the year.

10.2. The Bank Council is responsible for involving an audit firm that does not have a certificate granting the right to conduct audits in banks. A copy of the contract concluded between the audit firm and the bank must be submitted to the Central Bank within two months of the reporting year.

10.3. It is the obligation of commercial banks to submit a copy of the audit report to the Central Bank within 10 days after the completion of the audit.

If a discrepancy is found between the reports submitted to the Central Bank by the bank and the audited reports, the commercial bank must submit its corrected (amended) annual report on financial activities to the Central Bank within 10 days from the date of receipt of the audit report.

10.4. The Bank Council must submit copies of the following documents to the Central Bank:

a) a clean audit opinion including the audit report, balance sheet, profit and loss statement, and report on cash flows;

b) a separate report on the internal audit situation;

c) all additional reports prepared by the audit firm during the audit.

10.5. The Bank Council must report to the Central Bank within 30 days from the time the commercial bank receives the audit report on measures taken to eliminate deficiencies in internal control identified by the audit firm and to implement recommendations.

10.6. With the adoption of these Regulations, the Regulation "On Auditing Banks in the Republic of Uzbekistan" dated July 4, 1998, No. 403 (registered with the Ministry of Justice on December 17, 1998), and its amendments and additions No. 403-1 dated September 18, 1999, lose their force.

ANNEX 1 TO THE REGULATIONS

REPUBLIC OF UZBEKISTAN [IMAGE OF THE STATE COAT OF ARMS OF THE REPUBLIC OF UZBEKISTAN]

CENTRAL BANK OF THE REPUBLIC OF UZBEKISTAN