The Group, observing the requirements of the Code Provisions as set out in Appendix 14 of the Listing Rules, has established appropriate risk management and internal control systems (“Systems”) that are commensurate with its current state of business operation and development. The management is responsible for the design, implementation and monitoring of the Systems, and the Board by establishing a Risk Management Committee oversees the Systems on an ongoing basis. The committee overseeing the Systems ensures that risk management and internal control measures are devised by the management in line with the Group’s risk criteria to mitigate the impact of uncertainties on the achievement of the Group’s objectives.
The Board has directed that the effectiveness of the material controls of the Systems be reviewed regularly, at least annually, and such a review must include financial, operational and compliance controls. The Board, having considered the adequacy of resources, staff qualifications and experience, training programs and budgets of the Group’s accounting, internal audit and financial reporting functions based on reports of an annual review of the Systems, has directed that adequate resources be allocated to meet the requirements in such respects.
Please refer to RISK MANAGEMENT SYSTEM
and INTERNAL CONTROL SYSTEM
for main features of the Group’s risk management and internal control systems.
Please see also our newsletter dated 14 Oct. 2015 - RISK MANAGEMENT AND INTERNAL CONTROL PRACTICE - PART 1