United Energy Group Limited - HKExnews

Annual Report 2009
Corporate Governance Report
Delegation by the Board
The Board has established Board committees, namely Audit Committee and Remuneration Committee to overseas
particular aspects of the Company’s affairs and to assist in sharing the Board’s responsibilities. All the Board committees
have clear written terms of reference and have to report to the Board regularly on their decisions and recommendations.
The day-to-day running of the Company, including implementation of the strategies and plans adopted by the Board and
its committees, is delegated to the management with divisional heads responsible for different aspects of the business.
Audit Committee
The Company formulated written terms of reference for the Audit Committee in accordance with the requirements of the
Listing Rules. The Audit Committee consists of the all independent non-executive Directors, namely Messrs. Chau Siu
Wai, San Fung and Zhu Chengwu. It is chaired by Mr. Zhu Chengwu.
The Audit Committee reports directly to the Board and reviews the matters relating to the work of the external auditor,
financial statements and internal controls. The Audit Committee meets with the Company’s external auditor to ensure
the objectivity and credibility of financial reporting and internal control procedures as well as to maintain an appropriate
relationship with the external auditors of the Company.
There are two audit committee meetings being held during the financial year for the 9 months ended 31 December 2009.
The individual attendance of each member is as follows:
Audit Committee Meetings
Chau Siu Wai 2/2
San Fung 2/2
Zhu Chengwu 2/2
The members of Audit Committee have full access to and co-operation from the management and they have full discretion
to invite any director or executive to attend the meeting. The Audit Committee has performed the following function during
the financial year for the 9 months ended 31 December 2009: (1) reviewed the annual audit plan of external auditors, their
audit reports and matters incidental thereto; (2) the appointment of external auditors including the terms of engagement; (3)
discussed the internal control issues; (4) examined the application of funds; (5) reviewed the interested party transactions;
and (6) reviewed the periodic financial statements of the Company and made commendation to the Board for approval and
evaluated the performance and independent of the external auditors.
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