SC COMMITED TO ENHANCE CORPORATE GOVERNANCE STANDARD IN COMPANIES, SAYS CHAIRMAN

KUALA LUMPUR, June 28 (Bernama) -- The Securities Commission (SC) is
committed to enhance the standard of corporate governance in companies
across-the-board, says chairman Zarinah Anwar.

She said the commission would ensure parties involved in the discharge of
corporate governance play their role appropriately.

"These parties include regulators, gatekeepers, board of directors,
senior managements and companies' principle officers," she told reporters
on the sidelines of the Securities Commission-Bursa Malaysia (Malaysia Exchange)
Corporate Government Week Monday.

Zarinah said board of directors must be well aware of their roles and
responsibilities as the demand on them was heavy.

She said directors must be equipped with efficient management and
administrative skills to discharge their duties effectively.

"The selection of people to sit on the board (as director) has to be
appropriate and they must be willing to go for training and are prepared to
assume responsibilities better," she said.

Zarinah said gate-keepers like auditors and corporate advisers should also
play their roles effectively.

"Right from the very beginning when they bring their companies for initial
public offering, it has to be proper and adequate due diligence undertaken.

"Once the company has been listed, the auditors' role is crucial, internal
governance and control have to be stepped up," she added.

Earlier, in her speech, Zarinah said work has started on a new blueprint for
corporate governance that will chart an action plan for the next 5 years.

"This comprehensive and forward-looking document will cover strategic
priorities from board governance to active shareholder participation," she said.

Zarinah also announced the establishment of an International Corporate
Governance Consultative Committee comprising members from the public and
public sectors.

She said this committee would advise and establish a new set of policy
recommendations for a five-year corporate governance blueprint.

"The SC will announce details of the blueprint and members of the
consultative committee in August," she added.

On other developments, Zarinah said the SC was looking into developments in
Sime Darby Bhd.

"Once we've completed our review, we will make the necessary announcements,"
she said.

-- BERNAMA



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