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MTQ Corporation Limited
Financial Report / 30
DIRECTORS’
REPORT
Audit Committee
As at the date of this report, the Audit Committee comprises 4 members, all of whom are non-executive Directors. 3 of them are
independent Directors:
Ian Wayne Spence (Chairman, Independent Director)
Huang Yuan Chiang (Independent Director)
Christopher Ho Han Siong
Chew Soo Lin (Independent Director, appointed on 18 May 2012)
During the fnancial year, the Audit Committee carried out its functions required in accordance with section 201B(5) of the Singapore
Companies Act, Chapter 50, including the following:
• Reviewed the audit plans of the internal and external auditors and reviewed the internal auditors’ evaluation of the adequacy of the
system of internal controls and the assistance given by the Company’s management to the external and internal auditors;
• Reviewed the half-year and annual fnancial statements and the auditors’ report on the annual fnancial statements of the Group
before their submission to the Board of Directors;
• Reviewed the effectiveness of material internal controls, including fnancial, operational and compliance controls and risk management
via reviews carried out by the internal auditors;
• Met with the external auditors, other committees, and management in separate executive sessions to discuss any matters that
these groups believe should be discussed privately with the Audit Committee;
• Reviewed legal and regulatory matters that may have a material impact on the fnancial statements, related compliance policies and
programmes and any reports received from regulators;
• Reviewed the cost effectiveness and the independence and objectivity of the external auditors;
• Reviewed the nature and extent of non-audit services provided by the external auditors;
• Recommended to the Board of Directors the external auditors to be nominated, approved the compensation of the external
auditors, and reviewed the scope and results of the audit;
• Reported actions and minutes of the Audit Committee to the Board of Directors with such recommendations as the Audit Committee
considers appropriate; and
• Reviewed interested person transactions in accordance with the requirements of the Singapore Exchange Securities Trading
Limited’s Listing Manual.
The Audit Committee, having reviewed all non-audit services provided by the external auditors to the Group, is satisfed that the nature
and extent of such services would not affect the independence of the external auditors. The Audit Committee has also conducted a
review of interested person transactions.
The Audit Committee convened two meetings during the fnancial year and has also met with internal and external auditors, without the
presence of the Company’s management, at least once a year.
The Audit Committee recommends to the Board of Directors that the auditors, Ernst & Young LLP, be nominated for reappointment as
external auditors at the forthcoming Annual General Meeting of the Company.
In appointing the auditors for the Company and its subsidiaries, the Company has complied with Rules 712 and 715 of the SGX Listing
Manual.