Division 4 SYSTEM AUDITS

This section shall include the following information:

1. 4.1

   Details of the bodies (including the audit authority) that have carried out audits on the proper functioning of the management and control system of the programme (as foreseen in Article 127(1) of Regulation (EU) No 1303/2013) — hereafter ‘system audits’.

2. 4.2

   Description of the basis for the audits carried out, including a reference to the audit strategy applicable, more particularly to the risk assessment methodology and the results that led to establishing the audit plan for system audits. In case the risk assessment has been updated, this is described in section 3 above covering the changes of the audit strategy.

3. 4.3

   In relation to the table in section 10.1 below, description of the main findings and conclusions drawn from system audits, including the audits targeted to specific thematic areas, as defined in section 3.2 of Annex VII of this Regulation.

4. 4.4

   Indication of whether any problems identified were considered to be of a systemic character, and of the measures taken, including a quantification of the irregular expenditure and any related financial corrections, in line with Article 27(5) of Regulation (EU) No 480/2014.

5. 4.5

   Information on the follow-up of audit recommendations from system audits from previous accounting years.

6. 4.6

   Description (where applicable) of specific deficiencies related to the management of financial instruments or other type of expenditure covered by particular rules (e.g. State aid, revenue-generating projects, simplified cost options), detected during system audits and of the follow-up given by the managing authority to remedy these shortcomings.

7. 4.7

   Level of assurance obtained following the system audits (low/average/high) and justification.