Kingdom of Cambodia

Nation – Religion – King

Royal Government

01/SRNN

CIRCULAR on

the Appointment of Board of Directors

of Public Enterprise and Institution

 

 

Pursuant to the provisions of the Kram CS/RKM/0696/03, dated June 15, 1996, promulgating the Law on the Common Statute of Public Enterprise and the Kret NS/RKT/1297/91, dated December 31, 1997 regarding the Articles of Association of Public Enterprise and Reach Kram No. 02/NS/94, dated July 20, 1994 promulgating the Law on the Organization and Functioning of the Council of Ministers, the Royal Government issued regulations in order to improve the effective management of public enterprises.  However, the government observed that the appointment of members of a number of Boards of Directors for public enterprises was not in compliance with the provisions of the law.

 

In order to improve the qualitative and effective works of the Boards of Directors, the Royal Government hereby issues additional instructions on the appointment of the Boards of Directors as follows:

 

1.       In the structuring of Board members, the relevant ministry/institution shall propose those who have qualification, capacity and work experience to serve on the Board of Directors;

2.       In the selection of members for the Boards of Directors, in order avoid a conflict of interests within the ministry/institution mutual approval shall be reached;

3.       The chairperson in the Board of Directors shall be selected based on qualification and experience from among the retired civil servants who are not over 65 years of age;

4.       The interested ministry/institution as a supervisor of the public enterprise shall prepare complete files of the Board composition and director-general and chief of director-general;

5.       The files for appointment of Board members, chairman, director-general or chief of director-general shall be sent to the government in accordance with the formalities and procedures in force for prior administrative verification.

 

Upon receipt of this Circular, all ministries/institutions shall make best efforts to implement the above provisions with accountability.

 

 

 

Phnom Penh, January 4, 2000

 

Prime Minister: HUN Sen