Principle12:
AuditCommittee
TheACcomprisesMr Ang
MiahKhiang,MrWongMengYeng
andMsHanSahHeokVicky, all of
whom are Independent Directors.
TheChairmanof theAC isMr Ang
MiahKhiang. Allmembers of the
AC are appropriatelyqualified, with
at least twomembers having the
requisitefinancialmanagement
expertise andexperience.
TheACcarriedout their duties
in accordancewith the terms
of referencewhich include
the following:
(i) review the scope and results
of theexternal auditwork,
cost effectiveness of the audit,
and the independence and
objectivityof theexternal
auditors;
(ii) review theGroup’s quarterly
and full year financial
statements, the accounting
principles adopted and the
external auditor’s report on
thefinancial statements of the
Groupbefore submission to the
Board for approval;
(iii) review, with the internal
auditors, the scopeof the
internal audit procedures and
the results of the internal audit,
monitoring the responses
to their findings toensure
that appropriate follow-up
measures are taken;
(iv) review and report to the
Board at least annuallyon the
adequacy andeffectiveness of
theGroup’s internal controls,
includingfinancial, operational,
compliance and information
technology controls and risk
management systems, relying
on reviews carriedout by the
internal auditors;
(v) recommend to theBoard
on theproposals to the
shareholders on the
appointment, re-appointment
and removal of theexternal
auditors; and
(vi) review interestedperson
transactions in accordancewith
the requirements of the Listing
Manual of the SGX-ST.
TheACmet five times during the
year under review. Details of AC
members and their attendance at
meetings areprovidedonpage5.
The auditors (if required), theCFO
andCompany Secretary are invited
to thesemeetings.
TheAChas the authority to
investigate any activity it deems
appropriatewithin its terms of
reference and is authorised to
obtain independent professional
advice. It has full access to and
cooperationof theManagement
and reasonable resources toenable
it todischarge its duties properly. It
reviews the assistancegivenby the
Company’s officers to theexternal
and internal auditors. TheAC
has unrestricted access to the
external and internal auditors. The
AChadmetwith theCompany’s
external and internal auditors once
in the absenceofManagement
during FY2017 to review anymatter
thatmight be raisedprivately. It
alsohas full discretion to invite
anyDirector, keymanagement
personnel or anyother person
to attend itsmeetings.
The aggregate audit and
non-audit fees payable to the
external auditors, Ernst &Young
LLP (“EY”) for FY2017were
$155,000 and$10,000 respectively.
TheAC, having reviewed the
scope and valueof non-audit
services provided to theGroup
by EY, is satisfied that thenature
andextent of such serviceswould
not prejudice andeffect their
independence andobjectivity.
In reviewing thenominationof
EY for re-appointment as the
Company’s auditor for thefinancial
year ending31December 2018, the
AChadconsidered the adequacy
and appropriate resources and
experienceof thefirm and the
assigned audit engagement
partner, other audit engagements
and thenumber andexperienceof
the supervisory andprofessional
staff assigned to theGroup’s audit.
. 6 3
ANNUAL
REPORT
20 1 7
THE BE ST
I N US
