Page 82 - MSM_AR2020

CHAIRMAN’S DELIVERING MSM MANAGEMENT DISCUSSION GROUP FINANCIAL
STATEMENT VALUE OVERVIEW & ANALYSIS REPORT

CORPORATE GOVERNANCE OVERVIEW STATEMENT

• Mid-Year Review and Forecast 2020 to discuss the PRIORITIES IN 2021
following:
1. Optimising production levels
• Status of Key Strategic Initiatives under MSM
BP21 (V2); 2. Reducing refining cost
• Performance review of MSM Group for the First 3. Improving distribution cost
Half 2020 (1H 2020);
4. Monetise non-core assets
• Action Plans to achieve Forecast 2020.
5. Increase sales of value-added sugar products
80 • Group Internal Audit Investigation Report on MSM Details of the Priorities can be found on pages 28 to 29,
Johor Refinery Project
Management Discussion & Analysis of this Annual Report.
MSM MALAYSIA HOLDINGS BERHAD Annual Report 2020
• Due Inquiry process arising from Group Internal Audit
Reports on the Inventory Adjustment in November ESTABLISHMENT OF BOARD ExECUTIVE COMMITTEE
2019 by MSM Sugar Refinery (Johor) Sdn Bhd
On 8 September 2020, the Board has appointed Fakhrunniam
• Appointment of Officer-in-Charge and establishment Othman as the Officer-In-Charge to perform the functions of
of a Board Executive Committee following leave of the GCEO following the leave of absence of GCEO. The Board
absence of Group Chief Executive Officer also established of Board Executive Committee (“BEC”),
comprising three (3) MSM Directors, Datuk Syed Hisham
• Misrepresentation by the former GCEO and former Syed Wazir, Datuk Dr Abd Hapiz Abdullah and Dato’ Haris
Group COO in the Justification Report presented to Fadzilah Hassan to guide and assist Officer-In-Charge during
the Board to justify the RM36.6 million of Inventory this interim period.
Adjustment of MSM Sugar Refinery (Johor) Sdn Bhd and
their failure to act in the best interest of the Company On 5 October 2020, GCEO ceased office. On 8 October 2020,
Fakhrunniam Othman was appointed as the Acting GCEO.
• The cessation of GCEO and Group COO and appointment The BEC was dissolved on 3 November 2020 following the
of Acting GCEO and Acting Group COO
appointment of the Acting GCEO.
• Proposed rental of an External Warehouse for On 1 February 2021, Syed Feizal Syed Mohammad
Refined Sugar Storage at Bukit Jelutong for MSM Prai (“Syed Feizal”) has been appointed as the GCEO and
Berhad
Fakhrunniam Othman ceased to be the Acting GCEO on the
same day.

Number of meetings convened by each Board Committee:

Number of Meetings in 2020

Audit Committee 3
Audit, Governance and Risk Committee 3
Nomination and Remuneration Committee 9
Board Governance & Risk Management Committee 3

Investment and Tender Committee 3
Board Executive Committee 7