John Smith is a bank supervisor responsible for the oversight of Everbright Group, a large banking conglomerate. Everbright Group now determines its credit risk profile according to the foundation IRB approach and assesses operational risk according to the standardized approach as described in the Basel II Capital Accord. Which of the following are specific issues that should be addressed as part of Smith's supervisory review process of Everbright Group?

I. Review the bank's internal control systems. II. Check compliance with transparency requirements as described in Pillar 3 of Basel II Accord.