Author(s): Adegbola Otekunrin, Kudzanai Matowanyika, Temitope Eleda, Grace Ajagbe, Elizabeth Julius
An audit committee is a major part of the corporate governance (CG) of organizations delegated to report the organization's financial performance and ensuring an effective system of internal control. As assigned members and representatives of an organization, the audit committee is involved in its corporate financial reporting, oversight of its auditors (internal and external), risk management, and legal governing compliance. This study aims to focus on the audit committee and the internal control system (ICS). The objective is to examine the relationship between the audit committee and internal audit functions (IAF) and the extent to which they impact the banking sector's ICS. The empirical evidence gathered from the study reveals a positive relationship existing among the IAF and audit committee's interaction. The frequency of meetings held indicates a less significant impact on the firm. The relationship between the audit committee and internal audit significantly affects the ICS. The study's substantial evidence made the researcher conclude that the audit committee has a significant impact on the ICS in the banking sector. Therefore, an affirmative relationship must exist between the firm's internal audit and its audit committee to achieve an effective ICS.