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CORPORATE GOVERNANCE
Principle 11 – Risk Management and Internal Controls
The Company has a Risk Management Committee which reviews and improves the Company’s business at the operational level by taking into
account risk management perspectives. The Company seeks to identify areas of signifcant business risks as well as appropriate measures to
control and mitigate these risks, where applicable. The Risk Management Committee reviews all signifcant control policies and procedures and
highlights any signifcant matters to the AC.
The Board reviews the adequacy and effectiveness of the Company’s risk management and internal control systems, including fnancial,
operational, compliance and information technology controls, at least annually.
For the fnancial year under review, the CEO and the Group Financial Controller have provided assurance to the Board that the fnancial records
have been properly maintained and the fnancial statements give a true and fair view of the Company’s operations and fnances and that an
effective risk management and internal controls system has been put in place (the “Assurance”).
Based on the internal controls established and maintained by the Group, work performed by the external and internal auditors, reviews performed
by the Management, various Board Committees and the Board and the Assurance received, the Board, with the concurrence of the AC, is of the
opinion that the Group’s system of internal controls, which addresses the fnancial, operational, compliance and information technology risks and
risk management systems, were adequate and effective during FY2014.
The system of internal controls and risk management policies established by the Company is designed to manage, rather than eliminate, the risk
of failure in achieving the Company’s strategic objectives. The Board notes that no system of internal controls and risk management can provide
absolute assurance in this regard, or absolute assurance against the occurrence of material errors, poor judgment in decision making, human error,
losses, fraud or other irregularities.
Principle 12 – Audit Committee
The AC comprises Ong Chin Lin, the Lead Independent Director as Chairman, with Wong Chak Weng and Wong Ming Kwong as members. All
members of the AC are Non-Executive Independent Directors and two members of the AC, Ong Chin Lin and Wong Ming Kwong, have accounting
or related fnancial management expertise and experience.
The AC is governed by written terms of reference under which it is responsible for, amongst others:-
(a) reviewing the audit plan of the external auditors, including the nature and scope of the audit, before the audit commences;
(b) reviewing the results of external audit, in particular:
(i) their audit report; and
(ii) their management letter and Management’s response thereto;
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