FGV Annual Report 2014

Financial Reporting and Disclosure The Board ensures that shareholders are presented with a clear, balanced and comprehensive view of FGV Group’s financial performance and prospects through the audited financial statements, quarterly announcement of results, the Chairman’s Statement, the Group President/Chief Executive Officer’s Business Review in the Annual Report as well as corporate announcements on significant developments affecting the Company and Group in accordance with the Bursa Securities Listing Requirements. Timely release of announcements reflects the Board’s commitment to provide up-to-date and transparent information on the Group’s performance. In the preparation of the financial statements, the Directors have considered compliance with all applicable Financial Reporting Standards, provisions of the Companies Act, 1965 and relevant provision of laws and regulations in Malaysia and the respective countries in which the subsidiaries, associates and joint venture companies operate. The Audit Committee assists the Board in reviewing both annual financial statements and the quarterly announcements of results to ensure reports reflect a true and fair view of the state of affairs of the Group and Company. Statement of Directors’ Responsibility in preparing Audited Financial Statements The Companies Act, 1965 requires the Directors to prepare financial statements for each financial year in accordance with the applicable approved accounting standards and places responsibility on the Directors to ensure that the financial statements provide a true and fair view of the financial position of the Group and the Company and its financial performance and cash flows for the financial year ended. The Board is satisfied that it has met its obligation to present a balanced and understandable assessment of the Company’s position and prospects in the Directors’ Report on pages 158 to 161 and the Financial Statements set out on pages 165 to 323 of this Annual Report. Internal Controls The Board recognises that the ultimate responsibility for ensuring FGV Group’s sound internal control system and reviewing its effectiveness lies with the Board. The Statement on Risk Management and Internal Control which provides the key features of the risk management framework and an overview of the internal control system of FGV Group is set out on pages 150 to 155 of this Annual Report. Whistleblowing Mechanism In line with the Whistle-blower Protection Act 2010, the Board had on 7 December 2012, established a Whistleblowing Policy and Procedures (“Policy”) to encourage transparent and ethical conduct within the Group. The Company has continuously reviewed the Policy, and the latest version was approved by the Board on 24 February 2015. The main objectives of this Policy are: 1. To provide avenues for employees to disclose any acts of wrongdoing. 2. To assure the employees that they will be protected from reprisals, discrimination or victimisation for whistleblowing in good faith. 3. To provide a formal mechanism for action on all reports made. This Policy allows individuals to report on alleged acts of wrongdoing within the Group such as, but not exhaustive to, the following: 1. Malpractice, impropriety, fraud and embezzlements. 2. Misappropriation of assets and funds. 3. Criminal breach of trust. 4. Illicit and corrupt practices. 5. Questionable or improper accounting. 6. Misuse of confidential information. 7. Acts or omissions, which are deemed to be against the interest of the Group, laws, regulations or public policies. 8. Breaches of any Group policies or Code of Ethics and Employee Conduct. 9. Attempts to deliberately conceal any of the above or other acts of wrongdoing. Introduction Performance Highlights About FGV Reports Financial Statements Others Strategy and Value Creation Performance Review & Progress Foreword to Shareholders Annual General Meeting Annual Report 2014 pg 135