INTRODUCTION

CHUAN HUAT RESOURCES BERHAD (“CHRB”) Group are committed to conducting businesses dealings with highest standard of ethics and integrity. It will avoid practices of bribery and corruption of all forms in the CHRB Group’s daily operation. This Anti- Bribery and Anti-Corruption (“ABAC”) Policy covers CHRB Group’s principles and standards in order to ensure that all employees, directors and associated external parties understand their responsibilities to comply with CHRB Group’s zero tolerance policy towards bribery and corruption.

1. SCOPE
This Policy applies to all employees, directors, and associated external parties acting on behalf of or for CHRB Group, including but not limited to, agents, contractors, consultants, suppliers, service providers, associate companies, business partners and joint venture partners or entities. (hereinafter referred to as “Affected Parties”)

2. ANTI-BRIBERY AND CORRUPTION STANCE

2.1 All Affected Parties of CHRB Group must refrain from any acts of bribery and corruption, whether it is for their own personal benefit or for the benefit of CHRB Group.

2.2 “Bribery” includes offering, promising, giving, authorizing, demanding or receiving anything of value to anyone in the form of bribes and/or any other improper gratification (see definition in clause 3 below), in order to improperly influence the outcome of any transaction.

2.3 “Corruption” is defined by Transparency International as the abuse of entrusted power for private gain. It may also include acts of extortion, collusion, breach of trust, abuse of power, trading under influence, embezzlement, fraud or money laundering.

2.4 CHRB Group strictly does not tolerate any bribes given or accepted for personal gain, or for the purposes of obtaining or retaining business for or providing a business advantage to CHRB Group.

2.5 Any director or employee who breaches this Policy will be subjected to disciplinary actions, including dismissal.

2.6 Any associated external party who breaches this Policy will face severe consequences, including termination of the business relationship by CHRB.

3. DEFINITION

“CHRB Group” refers to CHUAN HUAT RESOURCES BERHAD and its subsidiaries.

“Gratification” shall have the meaning defined in the Malaysian Anti-Corruption Commission Act 2009 and its 2018 amendment to include:

(a) money, donation, gift, loan, fee, reward, valuable security, property or interest in property being property of any description whether movable or immovable, financial benefit, or any other similar advantage;

(b) any office, dignity, employment, contract of employment or services, and agreement to give employment or render services in any capacity;

(c) any payment, release, discharge or liquidation of any loan, obligation or other liability, whether in whole or in part;

(d) any valuable consideration of any kind, any discount, commission, rebate,” bonus, deduction or percentage;

(e) any forbearance to demand any money or money’s worth or valuable thing;

(f) any other service or favor of any description, including protection from any penalty or disability incurred or apprehended or from any action or proceedings of a disciplinary, civil or criminal nature, whether or not already instituted, and including the exercise or the forbearance from the exercise of any right or any official power or duty; and

(g) any offer, undertaking or promise, whether conditional or unconditional, of any gratification within the meaning of any of the preceding paragraphs (a) to (f).

4. FACILITATION PAYMENTS

4.1 Facilitation payments are payments by a person to secure certain government services or to expedite certain government legally entitled without making any payment.

4.2 Facilitation payment may be in the form of cash payment, benefit, gift or hospitality.

4.3 Employees should not pay facilitation payments, except where their safety (e.g. life and limb) is being threatened. In such a case, the employee shall immediately report to the Anti-Bribery and Corruption Officer.

5. GIFTS, ENTERTAINMENT, HOSPITALITY AND TRAVEL

5.1 The giving and receiving of gifts, entertainment, hospitality or travel (“CEHT”) is strictly prohibited if it may affect or may be perceived to affect the recipient’s business judgment.

 

5.2 All employees, directors and associated external parties of CHRB Group should be guided by the following principles before giving or receiving any CEHT:

Intention The intention behind giving or receiving any CEHT should never be to enrich the giver, influence the business judgment of the recipient or gain unmerited advantage.

The Affected Parties must be comfortable to disclose to colleagues and management of the CEHT that was received or offered and will not result in a position of conflict.

Where it is difficult or inappropriate to decline the offer (eg when the giver may take offence), it may be accepted but it must be declared and surrendered to the relevant head of department or Anti-Bribery and Corruption Officer, who will assess the circumstances and take necessary steps, including returning the gift where appropriate or required do so.

Modest and Reasonable Value Any GEHT offered by CHRB Group shall be of moderate and reasonable value, and must not be so frequent as to place the recipient under an obligation or to obtain favorable treatment.

5.3 Travel-related expenditure (eg travel fares, meals, or accommodation) incurred for legitimate business activities (eg audit or factory visit) shall abide by the following principles:

Relevant Travel-related expenditure should only be to the extent necessary to perform a legitimate business-related activity. Travelling expenses for personal purposes (eg entertainment after working hours or extended travel for leisure) shall be borne by the respective individual.
Appropriate

 

The type of travel and class of accommodation must be appropriate and reasonable in relation to the circumstances, such as length of trip and seniority of the traveler.

6. DONATIONS AND SPONSORSHIPS

6.1 All Affected Parties may donate or sponsor political parties in their personal capacity, however, it shall never be in exchange business implications to CHRB Group.

6.2 Any donations and sponsorship made for or on behalf of CHRB Group must be done with the approval of the Executive Directors and the Anti-Bribery and Corruption Officer.

6.3 The Executive Directors and Anti-Bribery and Corruption Officer shall conduct due diligence and conflict of interest checks prior to the donation and sponsorship, to avoid corruption or perceived corruption.

6.4 To avoid perceived or actual conflict of interest, donations or sponsorship shall not be made to or received from a regulator, customer, or entities related to them, if the CHRB Group is in the midst of negotiations or applying for or renewing licenses.

7. BUSINESS REWARDS, REBATES, COMMISSIONS, DISCOUNTS OR OTHER INCENTIVES

7.1 Business rewards, rebates, discounts, or other incentives that are offered or received should not be contradictory with anti-corruption laws and regulations or formulated to obtain or retain an undue business advantage.

7.2 Business-related incentives offered or provided must fulfill the following conditions:
• formally documented (e.g. rewards program or credit policy); and
• applicable to all or based on standardized parameters (e.g. applicable to all customers or applicable to customers exceeding certain order amounts).

8. BUSINESS DEALINGS WITH INTEGRITY

8.1 CHRB Group has and will continue implementing due diligence checks on all Affected Parties before appointment or engagement.

8.2 For business arrangements or activities which bear a higher corruption risk, as determined by CHRB Group from time-to-time, CHRB Group may mandate the associated external parties to put in place policies and procedures to prevent the conduct of corruption activities.

9. RECORD KEEPING

9.1 Proper, accurate and complete records of all transactions made by CHRB Group must be maintained, including corporate records, timesheets, work records, supply records, bank statements, accounts, receipts, invoices and other supporting documentation.

9.2 These records shall be retained for at least seven years from the period to which they relate.

10. TRAINING, REVIEW AND COMMUNICATION

10.1 CHRB Group will conduct awareness programmed for all directors and employees of CHRB Group of anti-bribery and anti-corruption measures and to continuously promulgate integrity and ethics. In addition, CHRB Group will provide anti-bribery and anti-corruption training to newly appointed staff.

10.2 This Policy will be reviewed from time-to-time if deemed necessary based on circumstantial requirements to ensure it remain relevant and in compliance with the current law.

10.3 This Policy must be communicated to all CHRB Group’s associated external parties at the outset of the business relationship and as appropriate thereafter.

10.4 The CHRB Group Human Resources shall maintain all records of anti-bribery and ant-corruption briefing and training.

11. REPORTING CHANNELS

CHRB Group has put in place Whistleblowing Policies and Procedures to provide a “confidential and safe avenue for all Affected Parties and members of the public to disclose any suspected, attempted or actual acts of bribery or corruption. Click on http://chuanhuat.com.my/whistleblowing-policy/ for more details.

12. AUDIT AND INVESTICATION
In the event of suspected, attempted or actual bribery or corruption committed by our Affected Parties, CHRB Group reserves the right to institute an investigation, either conducted internally or by an external party.

13. SUPPORT
Where an Affected Person is unsure on any practices which relate to this Policy, s/he must always consult the head of department(for employees),Contact person from CHRB Group(for associated external parties) or the Anti-Bribery and corruption officer’ details of which are as follows:

Name : Mr David Lim Kean Seng
Contact no : +6012-2838246
Email address : lksseng@chuanhuat.com.my