Remuneration payable to Directors for financial year
ended 31 December 2015 analysed into bands of
RM50,000, which complies with the disclosure
requirements under the MMLR is as follows:
Non-Executive Directors
Number
From RM50,001 to RM100,000
4
From RM100,001 to RM150,000
2
ACCOUNTABILITY AND AUDIT
The Audit Committee reviews the integrity of the
financial reporting and oversees the independence of
external auditors.
Transparency and Financial Reporting
In presenting the annual financial statements and
quarterlyannouncementsof results to the shareholders,
the Board aims to present a balanced and
understandable assessment of the Group’s position
and prospects. Before the financial statements were
drawn up, the Directors have taken the necessary
steps to ensure all the applicable accounting policies
are applied consistently, and that the policies are
supported by reasonable and prudent judgement and
estimates. All accounting standards, which the Board
considers to be applicable, have been followed. The
role of the Audit Committee in the review and reporting
of the financial information of the Group is outlined in
the Audit Committee Report in this annual report.
Related Party Transactions
Directors recognise that they have to declare their
respective interests in transactions with the Company
and the Group, and abstain from deliberation and
voting on the relevant resolution in respect of such
transactions at the Board or at any general meetings
convened to consider the matter. The Company has an
internal framework to ensure it complies with the
related party transactions and recurrent related party
transactions as prescribed in the MMLR. The related
party transactions are recorded and presented to the
Audit Committee on a quarterly basis for review and
discussion should any concern arise. All related party
transactions are reviewed as part of the annual internal
audit plan, and the Audit Committee reviews any
related party transactions and conflict of interest
situation that may arise within the Group including any
transactions, procedure or course of conduct that
causes questions of management integrity to arise.
Details of related party transactions are set out in Note
31 to the annual financial statements.
Internal Control
The Board acknowledges its responsibilities for the
Group’s systems of internal control covering not only
financial controls but also operational controls,
compliance controls and risk management.
The information on the Group’s internal control is
presented in the Statement on Risk Management and
Internal Control in this annual report.
Relationship with External Auditors
The Board is aware of the potential conflict of interest
situation if the external auditors are also engaged in
providing non-audit services to the Group. In this
regard, a written confirmation from the external
auditor is obtained that the external auditors are, and
have been, independent throughout the audit
engagement in accordance with relevant professional
andregulatory requirements. TheBoardhasestablished
transparent and appropriate relationship with the
external auditors through the Audit Committee. The
role of the Audit Committee in relation to the external
auditors is described in the Audit Committee Report in
this annual report.
RECOGNISE AND MANAGE RISKS
Sound framework to manage material business risks
The Company has established policies and framework
for the oversight andmanagement of material business
risks and has adopted a formal Risk Management
Policy. As required by the Board, the Management has
devised and implemented appropriate risk
management systems and reports to the Board and
Senior Management. Management is charged with
monitoring the effectiveness of risk management
systems and is required to report to the Board via the
Risk Management Committee. The Board has received,
and will continue to receive periodic reports through
the Risk Management Committee, summarising the
results of risk management issues and initiatives
undertaken during the year.
statement o n co rpo r ate g overnan ce
Bo ustead plantati o ns Berhad
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