SHKP Sustainability Report 2024/25

71 Sun Hung Kai Properties Limited | Sustainability Report 2024/25 The Audit and Risk Management Committee oversees the Whistleblowing Policy and its mechanisms while the execution of the policy is overseen by the Group’s Head of Internal Affairs the hiring process, we conduct interviews and reference checks on candidates to mitigate ethical conduct risks. We also encourage suppliers and contractors to verify candidates’ identity and visa status, where applicable. To further ensure ethical practices, Hong Yip performs an annual audit on its anti-corruption policy and practices to prevent and enhance bribery and staff awareness. During the reporting year, Hong Yip also conducted a staff ethical audit, focusing on compliance with Employee Code of Conduct and General Ethics and Guidelines on Acceptance of Advantages and Prevention of Bribery. These measures contribute to maintaining a transparent and accountable environment within the Group. Anti-competition We champion fair competition as a cornerstone of sustainable business practices and an equitable supply chain. Our Supplier Code of Conduct strictly prohibits suppliers, contractors and subcontractors from participating in any manner of anti-competitive practices. We adhere to all relevant laws and regulations, including Hong Kong’s Competition Ordinance. We maintain strict anti-collusion measures throughout our procurement process, clearly articulated in all tender documents. Our comprehensive approach includes mandatory integrity and anti-collusion declarations from vendors during our procurement process. We conduct regular reviews of eligible companies to prevent practices like bid-rigging, and careful monitoring of applicant numbers to maintain competitive bidding. Sanfield’s e-tendering platform provides a secure, efficient environment for document submission and access, with strict authorization controls protecting tender information confidentiality. To enhance understanding of competition laws and regulations, Hong Yip encourages approved vendors to participate in the Online Webinar on Competition Ordinance held by the Competition Commission. Our Royal brand hotels staff receive regular training on Competition Ordinance principles, while routine sampling and review of supplier contracts and tender documents help identify any potential issues related to competition law compliance. Royal Plaza Hotel conducts quarterly management meetings to address competition law compliance and ensure consistent adherence to regulations. and the Head of Internal Audit. For more details, please refer to the Corporate Governance Report section of our Annual Report 2024/25. Our Reporting Approach Message from the Sustainability Steering Committee Our Business Our Approach to Sustainability Value Created for the ENVIRONMENT Value Created for PEOPLE Value Created for CUSTOMERS Value Created for SUPPLY CHAIN Value Created for COMMUNITY Appendices During the reporting year, we delivered 8,700+ hours of anti-corruption training to 22,000+ full-time employees. Maintaining Ethical Standards in the Supply Chain We maintain zero tolerance for corruption, bribery, money laundering, extortion, anti- competitive practices, fraud, false declarations and other forms of malpractice. Our Supplier Code of Conduct sets clear expectations. Additionally, Hong Yip shares ICAC, Development Bureau, and CIC’s Integrity Charter guidelines with vendors through its vendor portal. Companies participating in tenders are required to disclose any potential or perceived conflicts of interest. Any vendors involved in corruption, whether through confirmed or suspected allegations, may face suspension or exclusion from the list of approved tenderers. Suppliers, contractors and subcontractors are required to maintain anti-corruption policies and programmes that align with our established standards. Our whistleblowing procedures encourage them to report any suspicious activities or misconduct, encompassing corruption, anti-competitive behaviours, fraud and false declarations. During the reporting year, we did not engage with any suppliers or contractors known to violate our anti-bribery and anti-corruption policy. Reporting Employees can raise concerns through suggestion boxes, grievance procedures, or direct communication with supervisors Complete anonymity is guaranteed throughout the investigation process Investigation All reports undergo thorough investigation with utmost seriousness Findings and recommendations are presented to the Chairman and Managing Director if an investigation is required The Audit and Risk Management Committee assesses significant issues Whistleblowers are protected from any form of intimidation or retaliation Resolution Confirmed cases of corruption or criminal behaviour are promptly escalated to the Chairman and Managing Director, the Audit and Risk Management Committee, and where necessary, law enforcement authorities for appropriate action Whistleblowing Our whistleblowing system provides a secure, accessible channel for both internal and external stakeholders, including customers and business partners, to report concerns while ensuring their protection and confidentiality. The system covers reporting of misconduct, malpractice, impropriety, or unethical and unfair treatment, as detailed in our Whistleblowing Policy. We also provide training on the use of reporting channel for whistleblowing. Our whistleblowing procedures: