Creative 2013 Annual Report Download - page 11

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CREATIVE TECHNOLOGY LTD AND ITS SUBSIDIARIES
The AC, on behalf of the Board, has reviewed the effectiveness of the internal control system put in place by the Company
and is satised that there are adequate internal controls in the Company. The Directors regularly review the effectiveness of the
internal controls, including operational controls. Based on the internal controls established and maintained by the Group, work
performed by the internal and external auditors, and reviews performed by the management, various Board Committees and the
Board, the Audit Committee and the Board are of the opinion that the Group’s internal controls, addressing nancial, operational
and compliance risks, were adequate as at 30 June 2013.
The Company has in place a whistle-blowing procedure where staff of the Group can raise in condence concerns on possible
improprieties relating to accounting, nancial reporting, internal controls and auditing matters. Under these procedures, arrangements
are in place for independent investigation of such matters raised and for appropriate follow up action to be taken.
PRINCIPLE 13: INTERNAL AUDIT
The Company outsourced its internal audit function to Boardroom Business Solutions Pte. Ltd. The internal audit team performs
risk assessment and conducts the review of the effectiveness of the Group’s internal controls, including nancial, operational and
compliance controls and risk management systems. The internal auditors have unrestricted access to the AC on internal audit
matters. The AC reviews and endorses the internal audit plan and internal audit reports of the Group. Any material non-compliance
or failures in the internal audit function and recommendations for improvements are reported to the AC.
PRINCIPLE 14: COMMUNICATION WITH SHAREHOLDERS
The Company announces its quarterly and full year results within the regulatory periods. Material and price-sensitive information
is publicly released via SGXNET on a timely basis. All shareholders of the Company receive the annual report of the Company
and the notice of the Annual General Meeting, for which a notice is also advertised in the press and released via SGXNET.
Shareholders and investors can access information on the Company at its website at www.creative.com which provides, inter-alia,
corporate announcements, press releases and the latest nancial results as disclosed by the Company on SGXNET. From time to
time, the Company holds briengs with analysts and the media to coincide with the release of the Group’s results.
PRINCIPLE 15: GREATER SHAREHOLDER PARTICIPATION
At general meetings of the Company, shareholders are given the opportunity to communicate their views and ask the Directors
and management questions regarding matters affecting the Company. The Board, external auditors and senior management are
normally available at the Annual General Meeting to respond to, and to assist the Directors in responding to shareholders’ questions.
In accordance with the Articles of Association of the Company, shareholders may appoint not more than two proxies to attend
and vote on their behalf. A proxy need not be a member of the Company.
DEALINGS IN SECURITIES
In line with the recommended practices on dealings in securities set out in the SGX-ST Listing Rules, the Company provides
internal guidance with regards to dealing in the Company’s securities by its Directors and ofcers. These guidelines prohibit
dealing in the Company’s securities on short-term considerations and while in possession of unpublished material price-sensitive
information in relation to such securities, and during the period commencing two weeks before the announcement of Group’s
nancial statements for each of the rst three quarters of its nancial year and one month before the announcement of the Group’s
full year nancial statements.