The board of directors of Air Kingswood have just received the annual accounts which have been signed by the company Chief Financial Officer. However, there is no signature from the CEO. The reason for this is not known.

The Annual General Meeting (AGM) is coming up soon and shareholders are understandably very keen to know how the company has been performing over the past 12 months.

The board is keen to prepare the required reports for the AGM and are thinking of proceeding despite the lack of signoff from the CEO. They seek your advice as to how they should proceed at this stage.

Advise Air Kingswood on how they should apply Principle 4 and Recommendation 4.2 of the ASX Corporate Governance Council's Principles and Recommendations

(Note: It's complete questions)

Guidance:

Recommendation 4.2 largely mirrors a

legal requirement for CEOs and CFOs

under s.295A of the

Corporations Act.

But the recommendation goes further than

the legal requirement by including a

declaration by the CEO and CFO that their

opinion has been formed on the basis of a

sound system of risk management and

internal control, which is operating

effectively.