Source of article: The Business Times

My post on LinkedIn can be seen here.

The Singapore Business Times published a Hock Lock Siew commentary today (18 July 2024) on the appointment of permanent secretaries to the Boards of listed companies.

The Nominating Committee’s responsibility is to ensure that a proposed Board member has the integrity, professional qualifications, and/or industry experience necessary to contribute to the company’s stewardship. The candidate must also have sufficient time to attend to the company’s affairs properly.

No preference should be given to a Board candidate based on their high position in the public sector if they lack the necessary professional qualifications, industry experience, or time to contribute to the Board.

A director who is also a public servant is expected to fully disclose any potential pecuniary interests between the company and any government body in its dealings or proposed transactions.

Furthermore, I believe the public sector’s code of conduct would require the director to recuse themselves from any recommendations and decisions made by the relevant government department (where they serve as permanent secretary), even if full disclosures are properly made.

I shared these views with Ms. Navene Elangovan in the attached Business Times commentary.

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