Apart from the duties listed above, the AC, if required, may commission and review the findings of internal investigations into matters where there is any suspected fraud or irregularity, or failure of internal controls or suspected infringement of any Singapore law, rule or regulation which has or is likely to have a material impact on the Group’s operating results and/or financial position. In the event that a member of the AC is interested in any matter being considered by the AC, he will abstain from reviewing and deliberating on that particular transaction or voting on that particular resolution. The AC has been given full access and obtained the co-operation of Management. The AC has the explicit authority to investigate any matter within its terms of reference. It has full discretion to invite any Director or executive officer to attend its meetings, and be given reasonable resources to enable it to discharge its functions properly. The AC has met with Forvis Mazars LLP, the external auditors of the Company, without the presence of Management, to discuss the results of their audit and their evaluation of the systems of internal accounting controls. Provision 10.5 For FY2025, Forvis Mazars LLP did not provide any non-audit services to the Group. Rule 1207(6)(b) The AC has also reviewed and confirmed that Forvis Mazars LLP is a suitable audit firm to meet the Company’s audit obligations, after taking into consideration the Audit Quality Indicators Disclosure Framework published by the ACRA and having regard to the adequacy of resources and experience of the firm and the assigned audit engagement partner, the external auditors’ non-audit service, the size and complexity of the Group, number and experience of supervisory and professional staff assigned to the Group’s audit. The AC is satisfied with the independence and objectivity of the external auditors and has recommended that Forvis Mazars LLP be re-appointed as the Company’s external auditors in respect of financial year ending 30 September 2025 (“FY2025”) at the forthcoming AGM. The aggregate audit fees paid to the external auditors for FY2025 are S$200,000 as set out on page 89 of this Annual Report. To keep abreast of the changes in accounting standards and issues which have a direct impact on financial statements, discussions are held with the external auditors when they attend the AC meetings every half yearly. The AC members were encouraged to attend external courses conducted by relevant professional institutes as and when deemed necessary or upon request. The Company confirms that Rules 712 and 715 of the SGX-ST Listing Manual in relation to engaging Forvis Mazars LLP, as the external auditors of the Company and its Singapore-incorporated subsidiaries and significant associated companies have been complied with. In addition, both the AC and Board have reviewed the appointment of a different auditor for its significant foreign-incorporated associated companies and are satisfied that the appointment of a different auditor would not compromise the standard and effectiveness of the audit of the Company. Accordingly, the Company has complied with Rule 716 of the SGX-ST Listing Manual. Rules 712, 715 and 716 The Board conducts periodic reviews and assessments of the internal controls for its financial, operational and compliance functions, and the internal audit systems put in place by Management to ensure the integrity and reliability of the Group’s financial information and to safeguard its assets. Any recommendations from the internal and external auditors to further improve the Company’s internal controls are reported to the AC. In the review of the financial statements of the Group and the Company for FY2025, the AC had discussed with Management the accounting principles that were applied and their judgement of items that could affect the integrity of the financial statements and also considered the clarity of key disclosures in the financial statements. The AC reviewed and addressed, among other matters, the following key audit matters (“KAMs”) as reported by the external auditors for FY2025. ANNUAL REPORT 2025 KEONG HONG HOLDINGS LIMITED 42 CORPORATE GOVERNANCE REPORT
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