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Fima CORPORATION Berhad
(197401004110) (21185-P) •
Annual Report 2020
87
team, the quality of the internal audit plan and
audit reports and the auditor’s communications
with the ARC and the Company, and the internal
auditors’
independence,
objectivity
and
professional skepticism.
(d) Recurrent Related Party Transactions (“RRPT”):
• RRPT entered into by the Company with related
parties in accordance with the shareholders’
mandate obtained to ensure that they are
at arm’s length and within the mandated
amount and other RRPT that are outside the
shareholders’ mandate and recommended to
the Board to seek shareholders’ approval for
the renewal of shareholders’ mandate for the
existing RRPT at the forthcoming Annual General
Meeting.
(e) Related Party Transactions:
•
aggregate values of all related party transactions
entered into by the Group to ascertain whether
shareholders’ mandate is required, at every
quarterly meeting.
(f) Risk Management and Internal Control:
•
quality and effectiveness of the Group’s internal
control through the consideration of the GIA
reports embracing all material systems including
financial, operational and compliance controls
to ensure that they remain robust. Where areas
of improvements are identified, remedial actions
are taken and progress monitored.
•
Risk Management Committee which has been
renamed as Risk Steering Committee on 22 July
2020, provides oversight, direction and counsel
to the group’s risk management programmes
which shall include the effective implementation
of the various anti-bribery control measures.
4.2 During the FYE2020, the ARC members attended
various training programs to keep them abreast of new
development pertaining to legislation, regulations,
current commercial issues and risks in order to effectively
discharge their duties. Details of training programs
attended by ARC members are set out in the Corporate
Governance Overview Statement of this Annual Report.
5. EVALUATION OF THE AUDIT AND RISK COMMITTEE
For the FYE2020, the annual assessment and evaluation on
the performance of the ARC was conducted by an external
consultant through questionnaires and one-to-one interviews.
The key areas covered in the evaluation questionnaires are:
•
composition and quality of the ARC.
•
oversight of the financial reporting and internal controls.
•
risk management.
•
ARC meeting process and procedures.
•
ethics and compliance.
The Nomination and Remuneration Committee discussed the
findings on the evaluation and the results of the evaluation
and findings, together with areas of improvement, were
presented to the Board for deliberation. Overall, the Board is
satisfied that the ARC and its members have discharged their
functions, duties and responsibilities in accordance with the
ARC’s Terms of Reference.