43
DIRECTORS’ REPORT
For the financial year ended 31 December 2014
Audit committee
The members of the Audit Committee at the end of the financial year were as follows:
Ho Chew Thim, Raymond (Chairman)
Leow David Ivan
Ng Chee Keong
Sunny Wong Fook Choy
All members of the Audit Committee are independent and non-executive directors.
The Audit Committee carried out its functions in accordance with Section 201B (5) of the Singapore
Companies Act. In performing those functions, the Committee:
• Reviewed the scope and results of internal audit procedures with the internal auditor;
• Reviewed the adequacy of the Group’s internal financial controls, operational and compliance
controls and risk management policies and systems;
• Reviewed with the independent auditor the audit plan and its report on the weaknesses of internal
accounting controls arising from the statutory audit;
• Reviewed the assistance given by management to the independent auditor, and discusses problems
and concerns, if any, arising from the statutory audit, with the management;
• Reviewed the balance sheet of the Company and the consolidated financial statements of the Group
for the financial year ended 31 December 2014 before their submission to the Board of Directors, as
well as the independent auditor’s report on the balance sheet of the Company and the consolidated
financial statements of the Group;
• Reviewed the quarterly and annual financial statements of the Group before submission to the
Board for approval, focusing, in particular, on changes in accounting policies and practices, major
risk areas, significant adjustments resulting from the audit, compliance with accounting standards
as well as compliance with any stock exchange and statutory/regulatory requirements;
• Reviewed and discussed with the independent auditor any suspected fraud and irregularity, or
suspected infringement of any relevant laws, rules and regulations, which has or is likely to have a
material impact on the Group’s operating results or financial position, and management response;
• Reviewed non-audit services performed by the independent auditor to ensure that the nature and
extent of such services will not prejudice the independence and objectivity of the independent
auditor before recommending to the Board;
• Reviewed the independence and objectivity of the independent auditor;
• Considered the appointment and re-appointment of the independent auditor and approve the
remuneration and terms of engagement of the independent auditor; and
• Reviewed transactions falling within the scope of Chapter 9 of the Singapore Exchange Securities
Trading Limited (“SGX-ST”) Listing Manual.
The Audit Committee has recommended to the board that the independent auditor, Nexia TS Public
Accounting Corporation, be nominated for re-appointment at the forthcoming Annual General Meeting
(“AGM”) of the Company.
