Internal Audit Relationship with Regulators

The Chartered Institute of Internal auditors has recently published an Internal Code of Practice which provides guidance on effective internal audit in the private and third sectors. This code builds on the success of its previous of a similar code for the financial services firms.

The code covers a wide range of areas:

•   role and mandate of internal audit,
•   scope and priorities of internal audit 
•   interaction with risk management, compliance, and finance
•   reporting results
•   independence and authority of internal audit
•   resources
•   QIAP
•   relationship with regulators
•  Relationship with external auditors

I will limit the discussion in this post to the relationship with regulators. The code states that:

" The chief internal auditor should consider the impact of the regulatory environment and have an open, constructive and cooperative relationship with relevant regulators."

How do you interpret and apply the above statement in your country? 

Do you think the code should provide more details and guidance on this important issue?

Would your management accept an open and cooperative relationship with regulators?

What should be the nature, objectives, and scope of such a relationship?

Back in 2015, I wrote a post about  the same subject after reading a Thomson Reuters white paper, you may want to take a look at it:

Should Internal Audit Forge Relationships with Regulators & Other Outsiders?

Please provide your thoughts!