Postal Service Operator, Sing Post announced that five of the company’s directors have resigned. This comes after the news of CEO Wolfgang Baier and Deputy Chairman Goh Yeow Tin’s abrupt departures. Chairman Lim Ho Kee and Non-Executive Director Tam Yam Pin are also not seeking re-election once their term ends at the end of July.
In May, Director Keith Tay also stepped down after a corporate governance audit report found that his interest in a 2014 acquisition was not disclosed. Although the company has remained tight lipped about reasons behind the directors’ resignations, the pattern is indicative enough.
SingPost’s announcement comes after the Accounting and Corporate Regulatory Authority (ACRA) said it was investigating SingPost for possible breaches of the Companies Act.
Four remaining directors will re-seek election at the next Annual General Meeting in July.
“The SingPost saga has shown that perception is as important, if not more important, than the reality, when corporate governance is called into question,” said Joyce Koh, Executive Director of Singapore Institute of Directors to Straits Times.
The slew of resignations have caused SingPost to introduce a new code of business conduct and ethics for its board of directors. The new code of conduct will require the identification and disclosure of conflicts of interest, maintaining confidentiality and reporting unethical behavior. Directors will also now be expected to serve for no more than six years on the board.
Following the internal reshuffle, it shows that directors should never get complacent in their positions, and companies can benefit from internal audit or regular self-assessment
A version of this appeared in Channel News Asia on June 16. Read the full article here.