Published in The Business Times on 20 November, 2018 By Mak Yuen Teen IN AUGUST, the Monetary Authority of Singapore (MAS) issued the fourth edition of the Code of Corporate Governance for Singapore, after an extensive consultation of changes proposed by the Corporate Governance Council (CGC). Since the Code was first introduced in 2001, there has been a continual enhancement in standards in areas such as board composition, risk management, and engagement with shareholders and stakeholders. Whether there has been an overall improvement in substance is more debatable. For this latest review, certain core corporate governance guidelines have been hard-coded in the listing rules. The “comply or explain” approach has been enhanced not only by making compliance with the principles m

By Mak Yuen Teen Recently, I was having dinner with Mr Tan Lye Huat, an experienced independent director, and some other friends. He shared that he had served more than nine years as an independent director (ID) at Japan Foods Holdings. Before its recent AGM, he discussed with the major shareholder and said that his continuation as an ID should be subject to a vote by the independent shareholders only. He suggested that the major shareholder voluntarily abstain from voting for his election. With that, Japan Foods has, to my knowledge, become the first company listed in Singapore to subject an independent director election to the vote of independent shareholders only. Mr Tan received 99.87% support of independent shareholders for his re-election. He can truly say that he has received the ma