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Principle Board requirement
Comment
Applied/
partially
applied/
not
applied
Chapter 2: Boards and directors
2.8
The board should be responsible for
IT governance.
The board, through the risk committee, is responsible for effectively
managing relevant IT risks.
Applied
2.9
The board should ensure that
Hyprop complies with applicable
laws and considers adhering to non-
binding rules, codes and standards.
In line with its charter, the board ensures Hyprop complies with
applicable laws and considers adherence to non-binding rules and
standards, assisted by the risk committee.
Applied
2.10
The board should ensure there is an
effective risk-based internal audit.
The outsourced internal audit service provider offers an
independent, risk-based internal audit function. The internal auditor
reports directly to the audit committee and is invited to attend all
audit committee meetings.
Applied
2.11
The board should appreciate that
stakeholders’ perceptions affect the
company’s reputation.
The board recognises that engaging with appropriate individuals or
groups enhances our operations and enables us to manage risk and
reputation. Investor relations and stakeholder engagement are key
focus areas for the board.
Applied
2.12
The board should ensure the
integrity of the company’s
integrated report.
The audit committee oversees integrated reporting and is responsible
for recommending the board to approve this report.
Applied
2.13
The board should report on the
effectiveness of the company’s
system of internal controls.
The audit committee oversees internal audit, including the
appointment of this function, monitoring its performance and
approving the internal audit plan. It ensures the internal audit
function is subject to an independent quality review, as the
committee deems appropriate. Internal audit is outsourced and
independent. It assists management in assessing whether systems of
internal control are adequate and effective. Internal audit prepares a
plan aligned to Hyprop’s key risks.
Applied
2.14
The board and its directors should
act in the best interests of the
company.
The board acknowledges its role as trustee on behalf of shareholders.
In terms of its charter, it acts in the best interests of the group by
ensuring individual directors adhere to legal standards of conduct;
are permitted to take independent advice in connection with their
duties following an agreed procedure; disclose real or perceived
conflicts to the board and deal with them accordingly; and deal in
securities only in line with the policy adopted by the board.
Applied
2.15
The board should consider business
rescue proceeding or other
turnaround mechanisms as soon as
the company is financially distressed
as defined in the Act.
The board is responsible for initiating business rescue proceedings if
warranted. The audit committee reviews the going-concern principle,
as well as the solvency and liquidity principle, as set out in the
Companies Act.
Applied
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Hyprop Investments Limited
Integrated Report 2015