42
HAW PAR CORPORATION LIMITED
CO R P O R AT E GOV E R NAN C E R E P O R T
(CONTINUED)
The AC members are continuously updated by management and auditors (both internal and external) on changes to
accounting standards and issues which have a direct impact on financial statements, compliance with legislation and
accounting-related matters.
Code of Conduct and Whistle Blowing Policy
The Group has in place a Code of Conduct that sets out the business practices, procedures and ethical conduct expected of
all employees in their course of employment and dealings with customers, suppliers and consultants.
In line with the Code of Conduct, the Group has in place a whistle-blowing policy and process under which employees and
external parties may report to the AC any improprieties or suspected wrong-doing by management or other staff without
fear of reprisal. All reports received are accorded confidentiality and independently investigated by the whistle blowing unit,
comprising the Group Human Resource Manager and Group Internal Audit Manager. Details of the whistle blowing policy
are posted on the Company’s intranet. New employees are briefed on the policy during their orientation. Existing employees
are reminded of the policy from time-to-time in order to raise awareness of the availability of the channel for such reporting.
Internal Audit
The Company has an internal audit (“IA”) department which is staffed with professionally qualified personnel. The Group
Internal Audit Manager reports directly to the Chairman of the AC on audit matters and to the CEO on administrative matters.
The appointment and removal of the Group Internal Audit Manager rests with the AC.
The IA function follows the Standards for the Professional Practice of Internal Auditing set by the Institute of Internal Auditors.
The IA adopts strict procedures in reporting its audit findings to the management and the AC.
The role of the IA function is to render support to the AC in ensuring that the Group maintains a sound system of internal
controls by performing regular monitoring and testing of key controls and procedures, reviewing operational and financial
activities and undertaking investigations as requested by the AC.
The IA department submits its internal audit plan to the AC for approval at the beginning of each year. IA reviews are carried
out on all significant business units in the Group and a summary of findings and recommendations is discussed during each
AC meeting. The IA has unfettered access to the AC and to all documents, reports, properties and personnel for the purposes
of its audit. The AC is of the view that the IA function is adequately resourced and staffed with persons with the relevant
qualifications and experience and has appropriate standing within the Company.
Shareholders Rights and Communication with Shareholders
The Group is guided by an investor relations policy that aims to promote regular, effective and fair communication with
shareholders. Communication of relevant announcements of the Group is generally made through annual reports, press
releases, SGXNET announcements and its corporate website at
. The Company’s Annual Report is sent in
a CD-ROM to all shareholders and posted on the Group’s website. Hard copies of the Annual Report are available on request.
A dedicated communications channel with the Investor Relations Department is available to shareholders and can be reached
via email at
. The Investor Relations Department is required to respond to shareholders’ queries
in a timely and effective manner. When matters requiring shareholders’ meetings are to be held, notices are published in
newspapers and reports or circulars are sent in a timely manner to all shareholders. Shareholders will be informed of the rules,
including voting procedures, which govern the shareholders’ meetings. Resolutions of all general meetings of shareholders
are conducted by electronic poll. The results of the votes for all resolutions taken during AGM and general meetings of
shareholders are validated by independent scrutineers and are broadcast at the AGM. The results are also announced on the
SGXNET after the meeting. The meetings’ minutes with substantial and relevant comments are available to shareholders at
the registered office upon request within reasonable time after each general meeting.
The Company holds regular meetings with research analysts, fund managers and institutional investors to review the
Company’s performance and provide investors with a better understanding of the Group’s businesses.
