FY 2011 Annual Report - Sheng Siong

22 Sheng Siong Annual Report 2011
Corporate Governance
Mr. Lim Hock Eng, Mr. Lim Hock Chee, our CEO, and Mr. Lim Hock Leng, our Managing Director are siblings
and their roles are not clearly separated. Taking into account the current corporate structure, size, nature and
the scope of the Group’s operations, as well as the high commitment demonstrated by the non-executive
Directors, the NC is of the view that it is not necessary to separate the roles of the Executive Chairman and
the CEO.
In accordance with the Code, the Group has appointed Mr. Goh Yeow Tin as Lead Independent Director, who
avails himself to shareholders when they have concerns which contact through the normal channels fail to
resolve or for which such contact is inappropriate.
Nominating Committee
Principle 4: There should be a formal and transparent process for the appointment of new Directors to the
Board.
The NC comprises the following non-executive Directors, the majority of whom, including the Chairman, are
independent:
• Mr. Francis Lee Fook Wah (Chairman)
• Mr. Goh Yeow Tin
• Mr. Lee Teck Leng, Robson
The Chairman of the NC is neither a substantial shareholder of the Company, nor directly associated with a
substantial shareholder of the Company.
The NC has a charter, which is endorsed by the Board, which sets out its duties and responsibilities. The
principal functions of the NC includes:
(i) reviewing the Board and its committees’ structure, size and composition and make recommendations
to the Board, where appropriate;
(ii) determining the process for search, nomination, selection and appointment of new Board members and
assessing nominees or candidates for appointment to the Board;
(iii) determining on an annual basis, if a Director is independent;
(iv) recommending the nomination of Directors who are retiring by rotation to be put forward for reelection;
(v) deciding whether or not a Director is able to and has been adequately carrying out his duties as a
Director of the Company, particularly when he has multiple board representations; and
(vi) assessing the effectiveness of the Board as a whole and the contribution of each of the Directors to
the effectiveness of the Board.