Annual Report 2020

Anti-corruption and Responsible Business Practice (I) Ethical Procurement & Marketing Practice As a responsible corporation, the Group is committed to achieving the highest level of business ethics with due consideration for the impact of our business activities on our customers, business partners, society and the environment. In our procurement process, we have established a fair vendor-selection system through vendor prequalification, competitive quotation and tendering processes, which covered assessment on company background, financial capability, skill set, necessary license, past performance, industrial experience and price comparison. Monitoring controls are in place to oversee the quality of their services and products, through performance review, complaint log, warning system, license validity checking and deregistration mechanism. In our sales and marketing process, we stand up for the highest integrity in promoting and advertising our products and services in ways that do not mislead consumers. As such we have developed policies to ensure that menus in our restaurants should accurately reflect the actual products used. Nutrition labels for prepackaged food products will also be tested by accredited laboratory registered under Hong Kong Laboratory Accreditation Scheme (“HKOLAS”) so as to ensure the food products correspond with the declared values on the nutrition labels. During the reporting period, there was no confirmed case of non-compliance with any laws and regulations in relation to advertising and labelling, such as trade description ordinance. (II) Intellectual Property Rights We respect intellectual property and work hard to protect ours, while taking a variety of control measures to avoid unintentionally infringing the intellectual property rights of others. We review registration of trademarks and domains during the business development stage and register our own trademarks and domains to protect our business interest. All our registered trademarks and domains are maintained in a log for regular review and renewal. Protection terms of our intellectual property are included in our contract with our business partners. Also, use of all copyrighted assets, such as songs, artworks, photos, software, would be supported by valid agreement or license subscriptions. System restriction is also set up to prevent unauthorized installation of pirated software in company’s computers. During the reporting period, there was no confirmed case of non-compliance with any laws and regulations in relation to intellectual property rights, such as trade mark ordinance, copyright ordinance, and patents ordinance. (III) Anti-corruption We strive to uphold the highest standard of business ethics and integrity. We do not tolerate any form of corruption or malpractice such as bribery, money laundering, extortion and fraud. Expected professional conduct at the workplace is outlined in the Group’s Code of Conduct, which requires all employees to abide by anticorruption regulations in Hong Kong. The Code of Conduct also lays down rules against soliciting or accepting any unfair advantages. Risk assessment on and controls against corruption and malpractice are always included in the risk management processes while sufficient segregation of duties is always ensured in the design of sales and procurement approval processes. In addition, we provide regular trainings to business directors and staff regarding anti-corruption practice, and work with the Independent Commission Against Corruption (“ICAC”) to hold anti-corruption courses for key staff to further enhance their understanding of various issues of anti-corruption drives, and integrate relevant practices into our daily operations. Whistleblowing Policy and Procedures have been established since 2013. It encourages employees to directly bring to the attention of senior management and/or Assistant Director of Audit, Risk Management & Corporate Services for any malpractice, non-compliance, criminal offence and other material matters in operations. The matters escalated to the management are assured of confidentiality and the employee will be protected from being disciplined if nothing improper is found after investigation. During the reporting period, there was no confirmed case of corruption and non-compliance with any rules and regulations as regards anti-corruption such as the Prevention of Bribery Ordinance. 044 Environmental, Social and Governance Report Annual Report 2020 Miramar Hotel and Investment Company, Limited