In relation to efforts to implement good corporate governance, including the eradication of corruption, bribery, and other fraudulent practices, research conducted by various institutions such as the Organisation for Economic Co-operation and Development, Association of Certified Fraud Examiners, and Global Economic Crime Survey concludes that one of the most effective ways to prevent and combat practices that are contrary to good corporate governance is through a violation reporting mechanism (whistleblower system).

The Whistleblower System is part of the internal control system in preventing misconduct and fraud, as well as strengthening the implementation of good governance practices.

Whistleblower Protection

Every report will be guaranteed confidentiality of the reporter, as stipulated in Decree No: 004/SK/DIR/SERA-CIARM/VII/2014 concerning Violation Reporting at PT Serasi Autoraya and its Subsidiaries, point 10, which states that PT Serasi Autoraya will provide full protection to parties who report alleged violations.

What Can Be Reported?

Be part of the Company’s efforts to create a work environment free from unethical conduct. Below are ways you can report ethical violations occurring within the work environment of PT Serasi Autoraya and its Subsidiaries, such as:

1. Corruption: acts of self-enrichment or prioritizing personal interests. Corruption is divided into 4 categories:

• Conflict of interest
• Bribery
• Illegal gratuities
• Economic extortion

2. Abuse of Power: An act of misusing authority by an official for certain interests.

3. Misuse of Company Assets: The use of organizational assets for unlawful, unethical purposes, or purposes not in accordance with the Company’s interests that may result in losses to the Company. Examples of misuse of Company assets include:

• Use of assets for personal purposes (example: using a Company vehicle for personal needs without permission)
• Embezzlement of funds (example: diverting Company funds for personal purposes for illegal objectives)
• Theft of physical assets (example: taking Company property without permission such as theft of vehicle inventory, office equipment, fuel theft, etc.)
• Misuse of digital assets (example: using Company data or software for activities outside applicable provisions, such as selling Company information)
• Working Hours: using working hours paid by the Company to carry out personal activities unrelated to work (example: fictitious overtime)

Please note that the above are only a small part of reportable violations. If you observe any other form of misconduct, please report it immediately and we will promptly take action.