Hi Inder - Regarding the audit log - have a look at the below blog
For the alerting , either you can use above suggested approach or have a look at the below blog
Customize E-Mail Body and Subject in Alerts in SAP PI 7.31 – Java Stack Only – Part 1 – ESR (2)
May be you can merge both of them, after reading the alerts(2) make another soap call to get the audit log entries(1) and send it to JMS adapter..
Of course it's not an event based instead it works based on polling Interval that you configure in the channel..