Quote:What is segregation of duties? “Segregation of duties is critical to effective internal control; it reduces the risk of both erroneous and inappropriate actions. In general, the approval function, the accounting/reconciling function, and the asset custody function should be separated among employees. When these functions cannot be separated, a detailed supervisory review of related activities is required as a compensating control activity. Segregation of duties is a deterrent to fraud because it requires collusion with another person to perpetrate a fraudulent act.” Simply, the principal incompatible duties to be segregated are: Custody of assets. Authorization or approval of related transactions affecting those assets. Recording or reporting of related transactions. In our case: Custody of assets – Government Authorization or approval of related transactions affecting those assets – People from the Government or Lup Cheong, Ahmed and Vikram??? GIC stated that government don’t get involve in GIC decisions. BUT the contradiction is very clear,the people who represents the government also represents the GIC board!!! I quote “The GIC board approves policy portfolio and active risk budget” Recording or reporting of related transactions – People from the Government or X-Men, Spider-man or Batman??? GIC and Temasek Holdings have no obligations to Singaporeans. They are answerable only to their directors (the government) and shareholders. Essentially, the government borrows money from our CPF by issuing bonds (see below) and forms a private limited company (GIC) to indemnify themselves individually and invest the funds in whatever way they like. By definition, WE ARE NOT THE SHAREHOLDERS of the companies nor a CREDITOR! Surprise! How is that possible?
Posted on: Fri, 11 Jul 2014 10:53:35 +0000
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