Corporate Governance

INTEGRITY AND GOVERNANCE

Preface

PUSPAKOM commits to keep up a high standard of integrity and governance in the conduct of its businesses and operations as the Company believes that this could enhance the stakeholder’s value and trust. As a sole authorised vehicle inspection service provider appointed by the Ministry of Transport of Malaysia, PUSPAKOM hereby pledges to promote the culture of transparency, fairness, and accountability at the workplace by conducting the inspection activities according to the relevant laws, procedures and policies.

To demonstrate our standard in maintaining integrity, governance, transparency, accountability, and fairness, PUSPAKOM has signed a Memorandum of Understanding (MOU) with Malaysian Anti-Corruption Commission (MACC), established a Corporate Integrity Pledge (CIP) and also developed an Anti Bribery Policy & Whistleblowing Policy as avenue for the employees, customers, vendors, contractors, suppliers, consultant, distributors, and other third parties to report any suspected wrong-doing or improper conduct.

PUSPAKOM Integrity & Compliance Framework (“PICF”) (2021-2024)

PUSPAKOM has established PICF for 2021 to 2024 as one of PUSPAKOM's efforts and initiatives to uphold the government's aspiration to dignify a culture of integrity. PICF is in line with the provisions of the law under Section 17A (Corporate Liability for corruption offences) of the MACC Act 2009 (Amendment 2018) and Adequate Procedures in the effort to strengthen the prevention of corruption including the Principles of T.R.U.S.T. PICF was created as the main reference for PUSPAKOM's action plan, initiatives and guidelines in taking effective measures to prevent the commission of corruption, abuse of power and integrity issues.

The objectives of PICF are to:

• Streamline and coordinate policies, procedures, guidelines and initiatives related to integrity;
• Empower, streamline and enhance integrity-related activities; and
• Ensure effectiveness and improve the culture of integrity among staff.

The full contents of PICF can be referred to the Kerangka Kerja Integriti & Pematuhan PUSPAKOM Versi 2022.

Memorandum of Understanding (MOU)

The MOU with Malaysian Anti-Corruption Commission was executed in 2011 with the aim to curb corruption activity among its employees and external parties. This MOU set forth the points of co-operation between PUSPAKOM and MACC to combat any illegal and unethical conducts in the inspection activities as well as to improve the perception of community/public towards integrity culture within PUSPAKOM.

Corporate Integrity Pledge (CIP)

In the effort to fight against the risk of corruption and integrity, PUSPAKOM continues to engage with MACC by signing a Corporate Integrity Pledge on 9 March 2015. The signing of CIP has marked another milestone for PUSPAKOM to consistently and continuously collaborate with MACC in preventing and managing corruption risk. Under the CIP, PUSPAKOM hereby pledges:

1. Not to be involved in any illegal or unethical activities involving corruption as set under PUSPAKOM Code of Etiquette and Business Practices and any relevant laws and acts, not limited to Malaysian Anti-Corruption Commission Act 2009 or Penal Code.
2. To uphold the Anti-Corruption Principles of Corporate Bodies Malaysia in conducting its business activities.
3. To create a business environment that is free from corruption.
4. Will not engage in any business practices or activities that could encourage its employees, representatives or agents to do any illegal or unethical activities.
5. To take stern action against any parties for any conducts that can tarnish the integrity and image of PUSPAKOM.

In December 2022, PUSPAKOM has completed the implementation of Corporate Integrity System Malaysia (CISM) Value Chain [CIP Version 2.0] by developing and implementing 7 CISM Initiatives which instil ethical values and anti-corruption elements in the culture of PUSPAKOM businesses and activities.

The certification of the implementation of CIP Version 2.0 can be referred to Certificate of Participation Corporate Integrity System Malaysia (CISM) Program 

Anti Bribery Policy

PUSPAKOM applies zero tolerance against all elements related to bribery, corruption, abuse of power and misappropriation. This Anti Bribery Policy addresses commitment of PUSPAKOM to integrity and in promoting a culture of transparency, openness, honesty, ethical in the conduct of its operations and business activities.

This Policy provides principles, guidelines and requirements on how to deal with bribery and corrupt practices that may arise in the course of daily business and operation activities within PUSPAKOM.

It also intended to assist everyone in PUSPAKOM in conducting the business and operation activities legally, ethically and with integrity.

This policy is intended to apply to all management and employees of PUSPAKOM and all vendors, contractors, suppliers, distributors, consultants and other third parties who carry out work/services for/on behalf of PUSPAKOM as well as customers and customer’s representatives who obtain PUSPAKOM services where all such parties are required to adhere to the policies.

Full content of Anti Bribery Policy can be referred to PUSPAKOM Anti-Bribery Policy.

Whistleblowing Procedure

PUSPAKOM has established a Whistleblowing Procedure with the purpose to provide avenue and facilitate employees, customers, customer’s representative, vendors, contractors, suppliers, distributors, consultants, and other third parties to disclose or report any wrongdoing, malpractice, corruption, illegal or unethical activities which are against PUSPAKOM business practices and conduct.

This procedure exists to ensure that any whistleblower will be protected as PUSPAKOM will take reasonable steps to maintain the confidentiality of the person to the extent reasonably practicable, when making the disclosure unless otherwise the person decided to disclose his/her identity or investigation by the law enforcement authorities requires the information of the person which PUSPAKOM needs to comply, thus such obligation and responsibility to maintain the confidentiality will no longer obligated by PUSPAKOM. Whistleblowers are protected under Whistleblower Protection Act 2010. In addition, PUSPAKOM also assures that the person will be protected from retaliation or any adverse and detrimental actions subject that the disclosure must be made in a good faith based on facts and evidence. PUSPAKOM will initiate a thorough investigation immediately upon receiving the information.

PUSPAKOM welcomes and encourages employees, customers, customer’s representative, vendors, contractors, suppliers, distributors, consultants, and other third parties to come to us with any concerns regarding possible illegal or unethical conduct or malpractice such as below (this list is not exhaustive):

1. Suspected or actual incidents of fraud.
2. Suspected or actual conduct or activity that breaches any law.
3. Suspected or actual breach of PUSPAKOM policies or procedures.
4. Suspected or actual misleading or deceptive conduct including action or representation that amounts to improper or misleading.
5. Disclosures or subversions of any internal or external audit process.
6. Breach of confidentiality.

The complaints can be reported via the following channels:

(In our 2023 customer survey, a significant 93% of respondents expressed confidence in our Whistleblowing channels.)

1. Email at [email protected]; or
2. Call 1-800-88-2005; or
3. Write up your information/ complaint and post to: -  

Group Internal Audit & Integrity Division

DRB-HICOM Berhad

Level 5, Wisma DRB-HICOM

No.2, Jalan Usahawan U1/8,

Seksyen U1, 40150 Shah Alam

Selangor Darul Ehsan, Malaysia.