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Code of Best Practice for Corporate Governance
September 1999
Committee on Corporate Governance
FOREWORD
Corporations play a critical rolenow ever growingin the national economy. A nation’s
competitiveness and wealth, for that reason, depend on the competitive nature of its
corporations. No doubt a transparent and reasonable governance structure bears positive impact
on a company. Moreover, the issue of corporate governance structure now commands attention
on the global stage.
The Committee on Corporate Governance was founded as a non-government body in March
1999 to develop a code of best practices, a source to guide corporations in establishing proper
corporate governance structure. The Committee was composed of fourteen members from the
fields of business, finance, accounting, law and academia, along with an Advisory Group of
thirteen law, securities, and financial specialists.
The draft was initially drawn by three subcommittees of the Advisory Group, and revised
through meetings based on opinions presented by each committee member. During its
preparation, the Committee had eight meetings and the advisory, ten. The draft was circulated
on August 27th via the internet and mass media, and opinions then collected through a public
hearing on September 8th. The final draft, reflecting such input, reached completion on
September 22nd through a general meeting of the Committee and Advisory Group.
The Committee, by endeavoring to inform all related parties of the Code of Best Practice, has
been able to gather a wide range of opinions from individuals and institutions in the related
areas. With
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