Kimlun Corporation Berhad Annual Report 2019

Annual Report 2019 Kimlun Corporation Berhad AUDIT COMMITTEE REPORT 47 AUDIT COMMITTEE COMPOSITION AND MEETINGS The members of the Audit Committee (“AC”) comprise of:- 1. Kek Chin Wu Chairman / Independent Non-Executive Director 2. Dato’ Paduka (Dr.) Ir. Hj. Keizrul Bin Abdullah Member / Independent Non-Executive Director 3. Chua Kee Yat @ Koo Kee Yat Member / Independent Non-Executive Director The AC, which consists solely Independent Non-Executive Directors, comprise qualified individuals with the required skills and expertise to discharge the committee’s functions and duties. All members of the AC, including the Chairman, will hold office only so long as they serve as Directors of the Company. The members of the AC are financially literate and have contributed to meaningful discussions in overseeing the integrity of the financial reporting processes and financial statements. Further, the members have experience and sufficient understanding that is relevant to the business and the industries the Group operates in. The AC Chairman, Mr. Kek Chin Wu, is a fellow member of Association of Chartered Certified Accountants and a member of the Malaysian Institute of Accountants. Accordingly, the company complies with paragraph 15.09(1)(c)(i) of MMLR. Annually, the term of office, independence and performance of the AC and each of its members are assessed by the Nomination Committee. Based on the said assessment, the AC and its members are found to have effectively discharged its duties in accordance with its terms of reference. The Board and the Nomination Committee were of the view that the AC has provided valuable recommendations to assist the Board in making informed decisions. The Board is kept informed of the AC’s deliberations through its minutes and report, which is a standing agenda item in the scheduled meetings of the Board. During the financial year ended 31 December 2019 (“FY2019”), the AC met five (5) times. The AC meetings were appropriately structured through the use of agendas, which were distributed to members prior to the meeting. The meeting attendance of the AC members is as follows: Number of Meetings Held During Director’s Percentage of Name of Directors Tenure in Office Attendance Attendance Kek Chin Wu 5 5 100% Dato’ Paduka (Dr.) Ir. Hj. Keizrul Bin Abdullah 5 5 100% Chua Kee Yat @ Koo Kee Yat 5 5 100% TERMS OF REFERENCE OF THE AUDIT COMMITTEE The information on the terms of reference of the AC is available on the Company’s website at http:// /www.kimlun.com . SUMMARY OF ACTIVITIES OF THE AUDIT COMMITTEE During the financial year, the AC met five times. In line with the terms of reference of the AC, the following activities were carried out by the AC during FY2019 in discharging its functions: (1) External Audit (a) Met with the external auditors three times during FY2019 on 27 February 2019, 1 April 2019 and 28 November 2019 respectively on matters relating to the audit and financial statements without the presence of Management and Executive Directors; (b) Reviewed and discussed with the external auditors on their scope of work, engagement team, audit timeline, areas of audit emphasis, focus on key audit matters, accounting standards updates that affected financial reporting, the responsibilities of Directors and Management, and the FY2019 audit planning memorandum;