Raffles Infrastructure Holdings defends $320,000 directors' fees

The board deemed it reasonable given the change in its financial year end from 31 December to 30 June.

The Board of Directors of Raffles Infrastructure Holdings clarified its proposal to seek shareholders’ advanced approval for the payment of directors’ fees of $320,000 for the financial period from 1 January 2018 to 30 June 2019 after deeming it “realistic and reasonable” given the change in its financial year end from 31 December to 30 June, according to a filing with the Singapore Exchange (SGX).

The response came after queries from the Singapore Exchange Securities Trading (SGX-ST) which asked whether the advance payment of Directors’ fees is a common practice following the change in the Company’s financial year end, and why Nomination Committee (NC) and Remuneration Committee (RC) respectively recommended the advance payments when they have not had the opportunity to assess each individual director’s performance, contributions and/or respective responsibilities up to 30 June 2019.

“The Board had in fact performed assessment and appraisal of one another prior to the change of financial year. Given the new business and assistance with regard to the Special audit, with more time being devoted, the fees proposed were fair and reasonable. Furthermore, director fees proposed is still subject to shareholder approval during AGM,” Eric Choo Han Kiat, executive director and CEO, said in the statement.