SUSTAINABILITY REPORT
84
ANNUAL REPORT 2015
FRASERS HOSPITALITY TRUST
SUSTAINABILITY ACROSS OUR SUPPLY CHAIN
The REIT Manager recognises that as an asset manager of hospitality assets, we have a responsibility to influence our
value chain regarding sustainability matters, where feasible. We identify and consider, where practical, any sustainability
opportunities or risks that may arise. For instance, we work closely with our property operators to ensure that
environmentally sustainable equipment is considered for replacement in our properties where possible.
Factors measuring quality of hospitality assets today also include environmental and social criteria. The property
operators would ensure that appropriate procedures and adequate risk management on materials selection, for
example, in outsourcing and procurement matters are in place. Currently, contracts for procurement are being revised
to include environmental considerations. Moving forward, where possible, environmental considerations such as the
level of green features in asset enhancement initiatives would also be assessed.
GOVERNANCE
We maintain high standards of integrity, accountability and governance. In line with FCL Group, a wide range of
corporate policies supports the Board of Directors and the management, covering areas such as business conduct,
insider dealing, risk management and fraud.
We believe in good corporate governance and adhere to the Code of Corporate Governance 2012 and other applicable
laws, rules and regulations. As a signatory to the 2015 Corporate Governance Statement of Support organised by
Securities Investors Association Singapore, FHT has pledged its commitment to uphold high standards in corporate
governance. For more details on Corporate Governance, please refer to pages 96 to 112.
Preventing Corruption and Fraud
In line with FCL Group’s approach, we take a zero tolerance approach to bribery and corruption.
Code of Business Conduct
Whistle-Blowing Policy
Anti-Bribery Policy
Internal Audit
The Code of Business
Conduct describes the
company’s values and
provides clear guidelines
on ethics and relationships,
and thereby safeguards the
reputation and interests
of the company and its
stakeholders. It covers
a range of practices,
from compliance
monitoring, record
keeping, confidentiality of
information, conflicts of
interest, insider trading,
and relations with key
stakeholders. The Code
governs the conduct of
every employee in the
company. Where applicable
and appropriate, the Code
was also made available
to our agents, suppliers,
contractors, business
affiliates/associates/alliances
who perform services for us.
The Whistle-Blowing
Policy has been in place to
encourage, and provide a
channel to, employees and
any other persons who are
not employees to report in
good faith and in confidence,
concerns about possible
improprieties in financial
reporting, professional
misconduct, irregularities or
non-compliance with laws
or any other matters that
may adversely affect stapled
securityholders’ interests in
FHT and its reputation. The
policy is publicly available
on our website and enables
independent feedback
from stakeholders. All
reported cases are raised
to the Audit, Risk and
Compliance Committee
(“ARC Committee”), which
ensures that independent
investigations and
appropriate follow-up
actions are carried out.
The Anti-Bribery Policy
sets out the procedures
put in place to prevent
the occurrence of bribery
and corruption, provide
guidance on how to
recognise and deal with
bribery and corruption and
guide third parties in the
conduct of their dealings
with FHT. Risks identified
include acceptance
of expensive gifts,
luxurious entertainment
or hospitality, direct and
indirect benefit from third
parties, and expensive gifts
given to third parties.
The Internal Audit
Department reports
directly to the Chairman
of the ARC Committee.
Independent internal
audits designed to
improve the effectiveness
of risk management,
control and governance
processes are
implemented. With
commitment to integrity
and accountability,
internal auditing provides
value to the senior
management as a source
of independent advice.
They are briefed on the
outcome of the audits
with recommendations.
For further details on our
internal audit approach,
please refer to page
103 of the Corporate
Governance Section.
