Serba Dinamik Annual Report 2021

Section 7 | Corporate Governance 224 INTRODUCTION COMMITMENT OF ANTI-CORRUPTION COMPLIANCE PROGRAMME CORPORATE GOVERNANCE FRAMEWORK The Board are committed and have a strong stance against use of gratification practice in relation to Group’s business activities and the Board also are committed inspiriting Group’s effort to improve upon the effectiveness of its gratification risk management system. Taking cognizance of the introduction of Corporate Liability in the recent amendment to the Malaysian Anti- Corruption Commission Act 2009 (MACC Act 2009), which was effective on 1 June 2020, the Company has taken proactive actions to ensure that it has adequate procedures in place designed to prevent associated persons from undertaking conduct that would trigger the newly introduced Section 17A of the MACC Act, 2009 (Amendment) 2018. The Corporate Liability provision criminalises a company based on illegal actions by the employee without the presence of adequate procedures, for the benefit of the company. In addition, the Board is responsible for overseeing the implementation inclusive of its adequacy & effectiveness of Adequate Procedures as per the guideline issued by Prime Minister’s Department. The Board is committed to high standards of corporate governance and strives to ensure that it is practiced throughout the Group as a fundamental part of discharging its responsibilities to protect and enhance shareholders' value and raise the performance of the Group. The Group’s corporate governance framework is directed towards achieving its business objectives in a manner which is responsible and in accordance with high standards of honesty, transparency and accountability. STAKEHOLDERS Board of Directors Audit & Risk Committee Nomination & Remuneration Committee Investment Committee SerbaDinamikHoldings Berhad (“The Group”) believes the Board of Directors is committed to high standards of corporate governance to ensure that it is practiced throughout the Group as a fundamental part of discharging its responsibilities to protect and enhance shareholders’ value and raise the performance of the Group. The Board continuously reviews its corporate governance framework to ensure its relevance, effectiveness and sustainability in conducting the business and in addressing the challenges of the business. The Board presents this Corporate Governance Overview Statement (“CG Statement”) to provide stakeholders with an overview of the Corporate Governance (“CG”) practices of the Group under the leadership of the Board during the Financial Year 2021. In this CG Statement, the Board reports on the manner the Group has adopted and applied the principle and best practices as set out in the Main Market Listing Requirements (“MMLR”) of Bursa Malaysia Securities Berhad (“Bursa Malaysia”) and the Malaysian Code on Corporate Governance 2021 (“MCCG”). The CG statement is to be read together with the CG Report which is available on the Group’s website. The CG Report provides the details on how the Group has applied each Practice as defined in the MCCG during the financial year 2021. In financial year 2021, the Group has complied practices as defined inMCCGby adopting 32 of 36 recommended practices inclusive the three (3) Step-up practices. CORPORATE GOVERNANCE OVERVIEW STATEMENT