BOARD RESPONSIBILITY The Board of Directors (Board) of Boustead Plantations Berhad (BPlant or the Company and its subsidiaries collectively referred to as the Group) acknowledges its responsibility for maintaining a sound system of risk management and internal control to safeguard shareholders’ investments and the Group’s assets and for reviewing the adequacy and integrity of the system; except for joint-venture and associate companies which are not under the control of the Group. The Group’s system of internal control covers risk management as well as financial, operational and compliance controls. Notwithstanding these, due to the limitations that are inherent in any system of internal control, the Group’s internal control system is designed to manage, rather than eliminate the risk of failure to achieve business objectives and can only provide reasonable but not absolute assurance against material misstatement or loss. Except for insurable risks where insurance coverage is purchased, other key risks faced by the Group are reported to the Board and managed by the respective Boards within the Group. The internal control system of the Group is supported by an appropriate organisational structure with clear reporting lines, defined lines of responsibilities and authorities from the respective operating units up to the Board level. The two committees at the Board level with primary risk management and internal control oversight responsibilities are as follows: STATEMENT ON RISK MANAGEMENT AND INTERNAL CONTROL In reference to the transition into a non-listed public company, we continue to uphold our commitment to transparency and accountability by providing a comprehensive report on our financial performance and internal controls during the year under review. This report offers insights into our risk management and internal control measures, fostering an environment of openness and trust with our stakeholders. The RC was established on 16 July 2019 to assist the Board in fulfilling the oversight responsibilities with respect to the Group’s risk management processes and internal control systems. In line with the MCCG Step Up Practice 10.3, the RC comprises a majority of independent directors. The RC is empowered by clearly established and approved Terms of Reference (TOR) in the above-mentioned responsibilities. Accordingly, the RC is committed to continuous development and maintenance of the risk management framework and internal control system in order to safeguard the stakeholder’s interests and the Group’s assets. The Group’s key risks are presented to the RC on a quarterly basis for update and deliberation purposes. Risk Committee (RC) The AC supports the Board’s oversight function in evaluating the business performance of the Group, effectiveness and compliance of the Group’s internal control system through operations and financial reports from the management and audit reports from the Group Internal Audit Department (GIA) and external auditors. Any significant audit findings are brought to attention and deliberated at the AC meeting on a quarterly basis. Audit Committee (AC) Integrated Report 2023 117
RkJQdWJsaXNoZXIy NTkwNzg=