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TIH Limited
Review the Company’s procedures for detecting fraud, including the whistleblowing policy. The
committee shall ensure that these arrangements allow proportionate and independent investigation of such
matters and appropriate follow up action;
Monitor the independence of risk management functions throughout the organization;
Review promptly all relevant risk reports on the Company; and
Review and monitor the Investment Management’s responsiveness to the findings.
The operations of the Company have been delegated and assigned to the Investment Manager which is expected
to exercise discipline in discharging its fiduciary responsibilities. The Investment Manager has adopted the
Internal Control and Compliance Manual (“
ICCM
”) that are well documented and regularly updated. Every
Director and staff of the Investment Manager is required to adhere to the ICCM as a condition of his/her
employment. The ICCM includes, among other things, financial control, management of funds, management
of information systems, procedures for investments and divestments, management of portfolio companies and
compliance with financial, administration and legal controls.
In addition, the Investment Manager operates under a set of guidelines stipulated in the TIH Prospectus and
any changes to these guidelines are subject to the approval of the Board. Compliance with these guidelines are
verified quarterly by the Company’s external auditors.
The Company has outsourced its internal audit function to an independent auditing firm. The internal audits are
performed in line with their firm’s Global Internal Audit Methodology which is consistent with the International
Standards for the Professional Practice of Internal Auditing recommended by the Institute of Internal Auditors.
The Internal Audit was conducted with the objectives of highlighting missing controls of the current processes,
ascertain that processes were conducted in accordance with established policies and procedures and to identify
areas of improvement where controls can be strengthened. Internal control weaknesses noted during the audit and
the respective auditors’ recommendations are reported to the AC and follow-ups and implementations are handled
by the Investment Manager where applicable.
The Board had received assurance from the Chief Executive Officer and Chief Financial Officer of the
Investment Manager that (i) the financial records of the Company have been properly maintained and the
financial statements give a true and fair view of the Company’s operations and financial position; and (ii) the risk
management and internal control systems have been put in place.
Based on the internal controls established and maintained by the Investment Manager, and the works performed
by the Internal and External Auditors during the financial year, the Board with the concurrence of the Audit
Committee, is satisfied that the system of internal controls is adequate in addressing the financial, operational and
compliance risks of the Group as it provides:
Reasonable assurance against material financial misstatements;
Maintenance of proper accounting records;
Compliance with appropriate legislations, regulations and best practices; and
Identification and containment of business risks.
The Board notes, however, that no system of internal controls can provide absolute assurance against the
occurrence of material errors, poor judgement in decision-making, human error, losses, fraud or other
irregularities.
