5. UPHOLD INTEGRITY IN FINANCIAL REPORTING 5.1 Compliance with Applicable Financial Reporting Standards The financial statements of DNeX Group were prepared under the historical cost convention and modified to include other bases of valuation as disclosed therein under significant accounting policies and in compliance with the Malaysian Financial Reporting Standards, International Financial Reporting Standards, and the requirements of the Companies Act 2016. The Board is responsible for the quality and completeness of publicly disclosed financial reports. This ensures that shareholders are provided with a balanced and meaningful evaluation of the Company’s financial performance, its position and its future prospects, through the issuance of its annual audited financial statements and quarterly financial reports and corporate announcements on significant developments affecting the Company in accordance with the MMLR of Bursa Securities. The Board is committed to continuously providing and presenting a clear, balanced, and comprehensive assessment of DNeX Group’s financial performance and prospects. In order to fulfil the commitments to stakeholders, the Company ensures that the recording and reporting of financial and business information is as fair and accurate as determinable. PRINCIPLE B: EFFECTIVE AUDIT AND RISK MANAGEMENT 1. AC The current AC consists of three (3) Independent Non-Executive Directors and all of them are financial literate and have sufficient understanding of DNeX Group’s business. All the members of the AC undertook continuous professional development to keep abreast of relevant developments in accounting and auditing standards, practices, and rules. The composition of the AC is presented in the AC Report of this Integrated Report. The Chairman of the AC is not the Chairman of the Board, ensuring that the impairment of objectivity on the Board’s review of the AC’s findings and recommendations remains intact. The AC has adopted a Terms of Reference, which sets out its goals, objectives, duties, responsibilities, and criteria on the composition of the AC, which includes a former key audit partner of DNeX Group to observe a cooling-off period of at least three (3) years before being able to be appointed as a member of the AC. 5.2 Relationship with Auditors and Independence of External Auditors Through the AC, the Board maintains a transparent and professional relationship with the Company’s auditors, both external and internal. The AC met the external auditors once during the year under review without the presence of the Executive Directors and the management to allow the AC and the external auditors to exchange independent views on matters which require the AC’s attention. The external auditors, Messrs Crowe Malaysia PLT, provide an independent opinion, based on the audit performed on the financial statements of DNeX Group and report the same to the shareholders of the Company in accordance with Section 266 of the Companies Act 2016. The external auditors also attend each AGM in order to assist in giving clarifications to shareholders on the audited financial statements. The suitability and independence of external auditors are annually reviewed and monitored by the AC. The AC has a set of criteria for assessing the suitability and independence of the external auditors. Written and/or verbal assurance from the external auditors is also sought in confirming that they are, and have been, independent throughout the conduct of the audit engagement in accordance with the terms of all relevant professional and regulatory requirements. Our Governance DAGANG NeXCHANGE BERHAD 160 CORPORATE GOVERNANCE OVERVIEW STATEMENT
RkJQdWJsaXNoZXIy NDgzMzc=