The Audit Committee

The Audit Committee established by the Board of Directors (the “Board”) of Hong Kong Applied Science and Technology Research Institute Company Limited (“ASTRI”) oversees both the internal and external audit processes are properly carried out. Its main functions are:

1. To review ASTRI’s accounting policies and procedures and to ensure the adequacy of internal audit controls are in place in ASTRI
2. To review ASTRI’s internal audit programme and the performance of its internal audit functions
3. To review ASTRI’s compliance status and to ensure that all non-compliances are duly reported and taken care of
4. To consider the major findings of internal investigations and the Management’s response
5. To ensure coordination between the internal and external Auditors, and that the audit function is adequately resourced and maintains its independency and to review and monitor its effectiveness
6. To recommend to the Board on the appointment, reappointment and removal of the external Auditor, the scope of service, the audit fee and terms of engagement of the external Auditor, and any question of its resignation and dismissal
7. To review and monitor the external Auditor’s independence and objectivity and the effectiveness of the audit process in accordance with applicable standards
8. To monitor and assess the performance of the external Auditor
9. To review the external Auditor’s results of auditing and the Management’s response
10. To review the Annual Audited Financial Statements before submission to the Board, focusing on:
    • Any change in accounting policies and practices
    • Major judgmental areas
    • Significant adjustments resulting from the audit
    • The going concern assumption
    • Compliance with internal policies, accounting standards and legal requirements
    • Review of any significant abnormality
11. To discuss problems and reservations arising from the final audits, and any matter the Auditor may wish to discuss (in the absence of Management where necessary)
12. To approve policy and oversee regular review of risk management activities
13. To approve the Auditor’s reports for projects funded by the Innovation and Technology Fund and the Smart Traffic Fund
14. To approve policy and oversee regular review of risk management activities

Members of the Audit Committee:

• Mr Dennis Ho Chiu-ping (Chairman)
• Mr Ivan KB Lee, JP, Commissioner for Innovation and Technology
• Mr William Ho Tat
• Ir Arthur Lee Kam-hung
• Dr Alfred Ng Man-cheuk
• Ir Dr Samson Tai Kin-hon
• Mr Anthony Tong Tat-hay