Internal audit as the basis of management system




supervisory board, management board, audit committee, internal audit service, internal control service, revision commission


A public law company is a relatively new form of legal entity that combines features of public entities (subjects of public law), unitary non-profit and corporate commercial organizations (subjects of private law). Such conflation of public and private law has led to the
integration of certain elements of the management system from each of the above listed legal forms within the framework of a public law company: in public law companies it is required to establish supervisory board, management board (or the sole executive body - general director), audit committee, internal audit service and internal control service. In the article the authors analyze the specifics of organization and operation of the governing bodies of public law companies. The authors refer to the control bodies of public law company as audit committees, internal control services and internal audit services as the elements of management of a public law company. The authors make conclusions on the presence of the gaps and conflicts in the legislation regulating the activities of public law companies. Such gaps and conflicts reduce management efficiency in public law companies. The authors have developed
recommendations aimed at improving the management system of public law companies in terms of improving the performance of various control bodies, eliminating the existing legislative deficiencies and increasing the efficiency of the implementation of control powers in order to improve the efficiency of the management system.