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GRAND BANKS YACHTS LIMITED
ANNUAL REPORT
2016
CORPORATE GOVERNANCE REPORT
12.5 The AC should meet (a) with the external auditors,
and (b) with the internal auditors, in each case
without the presence of Management, at least
annually.
The Committee meets with the internal auditor and the external
auditors separately, at least once a year, without the presence
of the Management to review any matters that might have
arisen.
12.6 The AC should review the independence of the
external auditors annually and should state (a) the
aggregate amount of fees paid to the external
auditors for that financial year, and (b) a breakdown
of the fees paid in total for audit and non-audit
services respectively, or an appropriate negative
statement, in the company’s Annual Report.
Where the external auditors also supply a substantial
volume of non-audit services to the company, the AC
should keep the nature and extent of such services
under review, seeking to maintain objectivity.
The RMAC undertook the review of the independence and
objectivity of the external auditors through discussions with
the external auditors as well as by reviewing the non-audit
services provided and the fees paid to them. It is the opinion
of the RMAC that the non-audit services provided by the
external auditor do not affect the independence of the external
auditors. The RMAC is satisfied with their independence and
recommends the re-appointment of the external auditors at the
AGM of the Company.
The breakdown of the fees paid in total to the external auditors
for audit and non-audit services is shown on page 84.
12.7 The AC should review the policy and arrangements
by which staff of the company and any other
persons may, in confidence, raise concerns about
possible improprieties in matters of financial
reporting or other matters. The AC’s objective
should be to ensure that arrangements are in place
for such concerns to be raised and independently
investigated, and for appropriate follow-up action to
be taken.
The existence of a whistle-blowing policy should
be disclosed in the company’s Annual Report, and
procedures for raising such concerns should be
publicly disclosed as appropriate.
The Group has established a Code of Conduct and Business
Principles against Corruption that sets the guidelines regarding
appropriate corporate behavior and business ethics within
the Group. The Group has also established a whistle-blowing
policy which provides the channel for employees of the Group
to raise, in good faith and in confidence, any concerns about
improprieties in financial reporting or other matters. There were
no reported incidents pertaining to whistle-blowing in FY2016.
12.8 The Board should disclose a summary of all AC’s
activities in the company’s Annual Report. The
Board should also disclose in the company’s Annual
Report measures taken by the AC members to
keep abreast of changes to accounting standards
and issues which have a direct impact on financial
statements.
Please refer to the Group’s practices in Guideline 12.4.
12.9 A former partner or director of the company’s
existing auditing firm or auditing corporation should
not act as a member of the company’s AC: (a) within
a period of 12 months commencing on the date of
his ceasing to be a partner of the auditing firm or
director of the auditing corporation; and in any case
(b) for as long as he has any financial interest in the
auditing firm or auditing corporation.
N.A.
