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Corporate
Governance
> Risk Management and Internal
Control |
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RISK
MANAGEMENT AND INTERNAL CONTROL |
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The
Audit Committee's function already includes the assessment
and management of enterprise risks. As provided
for in Section 16.3 of Code of Corporate Governance
for the GOCC sector, it does not preclude the Governing
Board of the GOCC from combining the functions of
the committees into such combinations that will best
serve the interest of the GOCC.
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Financial
Risk |
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The Corporation's
principal financial instruments comprise of cash and
cash equivalents, restructured debt and advances to
and from related parties. The main purpose of
these financial instruments is to finance the Corporation's
operations. The Corporation has various other
financial assets and liabilities such as receivables
and vouchers payable and accrued expenses (excluding
statutory payables), which arise directly from its
operations. The main risks arising from the
Corporation's financial instruments are credit risk
and liquidity risk. The Corporation's Board
of Directors (BOD) and Management review and approve
the policies for managing each of this risk.
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Control System
Setup
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Looking
for affordable commecial space?
We have best
locations suitable for recreational
and business pursuits
CONTACT
US |
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Do
you have any comments or suggestions that may help us
improve our services? |
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The
Audit and Finance Committees is in charge of laying down
and supervising the control mechanism: |
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INTERNAL
AUDIT AND CONTROL |
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Internal
Control System
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While
policies are set by the Board, Management is primarily
responsible for the implementation and maintenance
of the internal control system of the company. The
Board through its Audit Committee oversees the actions
of Management and monitors the effectiveness of the
Internal Control System put in place. Recommendations
are provided by Management and/or the Board, and in
some cases by the External Auditor - Commission on
Audit (COA) to address certain issues and concerns
of the company.
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The
Board established an internal control audit system
that can reasonably assure the Board, Management and
stockholders that the company's key organizational
and operational controls are faithfully complied with,
effective and adequate.
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Internal Audit
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Role
Provides reliable and timely analysis, appraisals,
recommendations and pertinent comments on the conformance
/ compliance of financial and business operations
to established laws, norms, controls, rules and regulations
to determine their integrity, effectivity and efficiency.
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Scope
Compliance
with established prevailing government policies, plans,
procedures, rules and regulation
Corporate
assets and other resources
Reliability and integrity of the financial anf operating
information
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Reporting Process
Submits report to the Audit
Committee for their review and recommends resolution
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The appointment and/or removal of
the Internal Auditor require the approval of the Audit
Committee.
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The Board has established
and identified the reporting line of the Internal
Auditor to enable him to properly fulfill his duties
and responsibilities. He shall functionally report
directly to the Audit Committee. The Audit Committee
shall ensure that, in the performance of the work
of the Internal Auditor, he shall be free from interference
by outside parties.
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Mechanisms
and Safeguards
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As
a GOCC, the financial statements of the Company is
statutorily mandated to be audited by Commission on
Audit. The Company does not engage the service of
Financial Analysts and Investment Banks. No restrictions
on trading of the Company's shares in the Philippine
Stock Exchange has been implemented because trading
of shares has been suspended since May 2008.
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The Chairman of
the Board and President and CEO Miguel E. Umali are
the officers who will have to attest to the Company's
full compliance with the SEC Code of Corporate Governance.
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