Ethics on Support of Anti-Fraud and Corruption

Ethics on Support of Anti-Fraud and Corruption

The Board of Directors emphasizes the business operation with transparency, compliance to the laws, ethics and corporate governance guidelines, and anti-corruption. The Company is well aware that corruptions affect the country’s economic system, society, and security. Hence, the policies and guidelines for anti-corruption are as follows:

  1. Support the creation of employees’ awareness, values, and attitudes in performing their duties with honesty, transparency, fairness, and respect for laws and regulations. Anti-corruption shall be included in the corporate culture and good governance management.
  2. Provide an adequate and appropriate internal control system, and develop a strategy and mechanism in monitoring, controlling, and balancing the use of power to be reasonable, precise, and effective. This is to prevent employees from being involved in corruption.
  3. Employees must not take any actions demanding of or receiving any property or other benefits from other persons with duties or business related to the Company. Unless on traditional occasions or festivals’ standard practices, the property must not be illegal and must not rely on the position or wrongfully seek benefits for themselves or others.
  4. Provide channels for receiving complaints or whistleblowing, along with whistleblower protection and confidentiality policy, examination, and penalty determination measure following relevant regulations.
  5. Support activities organized by various agencies or organizations to prevent and encourage anti-corruption.

Corruption Risk Assessment Process

The Company has established a risk management system that is suitable for the Company’s business operations by identifying risk events that may arise from business operations, including potential corruption risk. The system also assesses the level of risk, its likelihood and impact, specifies risk management and measure appropriate to the assessed risks to prevent corruption risk. There shall be a regular evaluation of the implementation of the risk management plan.

Guidelines on supervision to prevent and monitor corruption risks

The Company has launched guidelines on supervision to prevent and monitor corruption risks which can be summarized as follows:

  1. Provide an audit and evaluating process of internal control system and risk management covering important system such as sales and marketing system, procurement, contract drafting, budget preparation and control system, accounting system, payment, human resources management process.
  2. Provide channels for receiving complaints or whistleblowing, along with whistleblower protection and confidentiality policy, examination and penalty determination measure in accordance with the Company’s disciplinary penalties and/or relevant laws.
  3. The head of relevant department is responsible for monitoring the operations, correction of errors (if any) and report to the authorized person accordingly.

Guidelines for the evaluation of the corruption prevention guidelines implementation

The Company has established guidelines for evaluation of the corruption prevention guidelines implementation as follows:

  1. Executives and employees must acknowledge and regularly adhere to the Company’s corporate governance and business ethics manual, including corporate governance policy, business ethics such as anti-corruption, and employees’ codes of conduct.
  2. The risk management department shall review and continuously assess the corruption risk, regularly monitor, revise and improve anti-corruption measures for effectiveness. It shall periodically present the assessment results to the Risk Management Committee and report to the Board of Directors respectively and on time.
  3. Suppose there is reasonable evidence to believe from auditing or complaint that any acts may cause significant impact, including violation of laws or the Company’s business ethics on anti-corruption. In that case, the internal audit department shall collect all the facts, then report to the Audit Committee and the Board of Directors respectively, to improve in the appropriate period.

The Company publicizes the corruption prevention guidelines through various channels such as the Company Group’s intranet and the Company’s website. It organizes training/seminars on related courses to communicate directly with the executives and employees for acknowledgement and adherence.

In 2022, there were no reports or cases of fraudulent activities involving the Company and/or affiliated companies.