Ensuring the integrity of related party transactions is an important fiduciary duty of the director. It is the Board’s role to initiate policies and measures geared towards prevention of abuse and promotion of transparency, and in compliance with applicable laws and regulations to protect the interest of all shareholders.

The Company shall ensure that transactions occur at market prices, at arm’s-length basis and under conditions that protect the rights of all shareholders.

The Company shall set its materiality threshold at a level where omission or misstatement of the transaction could pose a significant risk to the Company and influence its economic decision.

Depending on the materiality threshold, approval of management, the RPT Committee, the Board or the shareholders shall be required. In cases where the shareholders’ approval is required, the interested shareholders shall abstain and let the disinterested parties or majority of the minority shareholders decide.