20231211_POLI_Perubahan Profesi Penunjang_31558459_lamp5.pdf

AN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

The procedures selected depend on the auditor's judgment, including the assessment of the risks
of material misstatement in the Consolidated Financial Statements and Subsidiaries, whether due

to fraud or error.

In assessing these risks, the auditor considers internal control relevant to the preparation and
fair presentation of the Consolidated Financial Statements and Subsidiaries in order to design
audit procedures that are appropriate in the circumstances, but not for the purpose of expressing
an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating
the appropriateness of the accounting policies used and the reasonableness of accounting
estimates made by management, as well as evaluating the overall presentation of the Consolidated
Financial Statements and Subsidiaries.

Our opinion on the Consolidated Financial Statements and Subsidiaries depends on the results of
the implementation of audit procedures that we will carry out. Therefore, we do not provide any
assurance that we can provide an unmodified opinion on the respective Consolidated Financial
Statements and Subsidiaries mentioned above.

2. Group Management Responsibilities

Management is responsible for:

a) Preparation / preparation and fair presentation of the Consolidated Financial Statements
and Subsidiaries in accordance with PSAK, and

b) Designing and implementing internal controls as deemed necessary by management to
enable the preparation of consolidated financial statements and Subsidiaries that are free
from material misstatement, whether due to fraud or error.

Our audit includes reviewing the lists and other financial information that are an integral part
of the main Consolidated Financial Statements. However, our audit is not aimed at expressing
an opinion on the fair presentation of these lists and other financial information individually,
but in relation to the presentation of the Consolidated Financial Statements and Subsidiaries
as a whole.

The Consolidated Financial Statements and Subsidiaries are presented in the Indonesian
language, including adeguate disclosures in accordance with Indonesian Financial Accounting
Standards (PSAK).

Group Management and Subsidiaries will provide a Statement of Directors regarding the above
responsibilities signed by the Directors to be reported in the consolidated Financial Statements
and Audited Subsidiaries,

Group Management will provide us with:

a) Consolidated Financial Statements of the Group and Subsidiaries (before audited)
consisting of Statement of Financial Position (Balance Sheet), Profit and Loss Report,
Statement of Changes in Eguity, Statement of Cash Flows and notes to the Consolidated
Financial Statements.

b) Access to all information of which management is aware that the information is relevant
in the preparation of the Consolidated Financial Statements and Subsidiaries such as
records, documentation and other matters:

c) Additional information that we may reguest from management for audit purposes: and

d) Unrestricted access to individuals within entities we consider necessary to obtain audit
evidence.

e) Full cooperation of the Company's staff during the audit process,

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(S Nexia KANAKA PURADIREDJA SUHARTONO
KPS

As part of the audit process, we will ask for written confirmation from Management's
Representation Letter regarding the completeness of all statements and information provided
by the management of the Group and Subsidiaries to us in connection with the audit that we
carry out, including the Consolidated Financial Statements and Subsidiaries prepared by
management with good faith, the completeness of the minutes of meetings held, the existence
of collateralized assets, the belief of each management that all fraud known to management
has been reflected and disclosed in the financial statements, adeguate amount of allowance
for doubtful accounts, assets/ conditional liabilities and other matters deemed necessary.

Upon submission of the draft report, in order forit to be finalized, management must initial
the Consolidated Financial Statements and Subsidiaries as a sign of approval of the audit
figures including correction journals. In accordance with applicable regulations, the
Consolidated Statement of Financial Position (balance sheet) and Subsidiaries and the
consolidated Statement of Profit and Loss and other Comprehensive Income must be signed
by each of the Directors, while the notes to the consolidated financial statements and
Subsidiaries are initialed on each page.

3. Approach to internal control
Our audit also includes testing and evaluation of the internal control system as well as sufficient
testing of other financial records as deemed necessary. However, our audit does not cover all
transactions that occur within the group because this audit is not specifically intended to reveal
irregularities or errors that may occur, Our audits carry an inherent risk that material errors and
irregularities, including fraud or falsification, may not be detected. However, if we find any of
these things in our audit, we will convey this information to you,

4. Risk based audit approach
The inspection approach will be determined based on the results of an understanding and
evaluation of the effectiveness of the internal group control. The risks of material misstatement
identified at the planning stage, both the risks of misstatement at the financial statement level
and the risks of misstatement at the assertion level, are the focus of the test.

If in our opinion the internal control structure is adeguate to prevent and detect errors that are
significant in nature to the consolidated financial statements and Subsidiaries, then we will
consider conducting tests through analytical procedures as well as verification of transactions
that have a significant value, but if we view that the internal controls are less effective, or
procedures for substantive examination of the figures of the Consolidated Financial Statements
and Subsidiaries are deemed more 'cost effective', we will carry out an audit based on a substantive
examination approach.

However, it does not mean that the substantive approach ignores the evaluation element of
internal control. In the event of discovering any bookkeeping errors, we will as far as possible
evaluate the weaknesses in the control procedures that cause these errors, as input material for
the group in improving its internal control structure.

5. Approaches to registers and other financial information
Our audit includes an audit of the lists and other financial information that are part of the main
Consolidated Financial Statements.
However, this audit is not intended to provide an opinion on the fairness of the lists and other
financial data individually, but in relation to the fairness of the Consolidated Financial Statements
as a whole,

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AN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

6. Inspection of the existence of Inventory, fixed assets and oil palm plantations
Inspection of the existence of inventories, fixed assets and oil palm plantations will be carried
out by sampling, especially for inventories, fixed assets with significant value. Samples will be
selected from the details of inventories, fixed assets and oil palm plantations that support the
figures presented in the Consolidated Financial Statements and Subsidiaries.

7. Analysis of the components of profit or loss and other comprehensive income
Analytical procedures for the components of the statements of profit and loss and other
comprehensive income will be carried out to identify abnormal fluctuations in each component.

8. Approach to electronic data processing systems (PDE)
As part of testing internal controls, we will also test the PDE system used by the Company in
processing transactions into Consolidated Financial Statements and Subsidiaries. However our
audit is not intended to provide an opinion on the system.

9. Approach to taxation
Our audit also does not include an audit as will be carried out by the Directorate General of Taxes
(DGT), so that the audit should not be used as a basis for detecting all irregularities that might
be found by an examiner from the DGT, Ministry of Finance.

In accordance with tax provisions, the DGT has the authority to reguest data/information needed
to examine the tax obligations of the Group and Subsidiaries directly from KAP Kanaka
Puradiredja, Suhartono (KPS). In relation to these tax obligations, the Company agreed to release
KPS from all lawsuits for submitting Company data/information to the DGT, Ministry of Finance.
Upon reguest for such data/information (if any) we will inform the group management and
Subsidiaries in advance.

In accordance with the professional code of ethics, we are responsible for the confidentiality of
client information. However, based on laws and regulations, this secrecy is abolished if it is for
the interest of monitoring the Minister of Finance as regulated in Law no. 5 of 2011 concerning
Public Accountants Article 29 and the interests of tax audits, tax collection, or investigations of
criminal acts in the field of taxation by the DGT which are regulated in Law NO.6 of 1983
concerning General Provisions and Tax Procedures as Amended by Law Republic of Indonesia
Number 28 of 2007 concerning General Taxation Provisions Article 35. Fulfilling these provisions,
we would like to emphasize that the Group expressly agrees to us to provide access to the audit
engagement working papers on the Consolidated Financial Statements and Subsidiaries to parties
who have the authority in order to carry out the provisions of the applicable law. All costs incurred
in connection with the fulfillment of these obtigations are borne by the Company and we will bill
them based on the actual time we use to complete these obligations.

10. Use of experts
We will use the services of experts in our audit work if necessary. The use of experts will be
informed to the Group Management, and will be borne by the group on a reimbursable cost basis,
if any.

AN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

C. RESULTS OF WORK

Independent Audit Report on the Consolidated Financial Statements of the Group and Subsidiaries for
the year ended December 31, 2023. The Independent Auditors Report will be submitted in two
languages, Indonesian and English (bilingual), 3 (three) copies each. If more than that is needed,
we will add the cost of printing the additional report in the amount of
Rp.1,000,000.- (One Million Rupiah) per copy.

In accordance with the Public Accountant Professional Standards (SPAP), every publication of the
Consolidated Financial Statements that we audit or that are associated with our name as auditors,
must be reviewed and obtained written approval from us in writing.

We will also submit a special letter (Management Letter) to management containing sufficient
suggestions if during the audit found weaknesses in the internal control system, the application of
accounting standards that are not in accordance with generally accepted financial accounting
standards and other matters which according to our view deserves attention. The assignment is
declared complete by making the Handover Event Minutes signed by both parties, if there is an
assignment other than the scope of this assignment a separate agreement will be made.

D. WORK FEE

Based on our understanding of the group's operations and the planning that we have prepared for
this work, we propose a work fee of
with the following details (Attachment)

This fee does not include 1195 VAT and does not include out of pocket expense (OPE)within the
City or outside the city, including taxis to the airport and while outside the city, airplane tickets,
accommodation and daily lump sum while outside the city, if any. Out of pocket expenses We will
charge according to actual.

The lump sum rate outside the city per day is in accordance with our office rates as follows:

NO Position Transport and Pocket Money

Partner
Director

Senior Manager

Manager

|Associate Manager

Senior

Associate Senior

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Technical Assistant

The fee is determined on the basis that all data reguired for our audit purposes has been prepared
and available for audit. The standard auditor rate for this assignment varies according to the level of
responsibility and experience.

The above fees are also determined based on the assumption that the data reguired for audit purposes
are available to us, the Company has satisfactory internal controls, and we will obtain the full
cooperation of staff and management during the engagement.

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AN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

Payment of work fees is made according to the following schedule:
e 50Yo When the proposal is signed
e 4096 During the draft report process
# 107p At the time of submission of the Final Report

In accordance with applicable tax regulations, you are reguired to deduct 2Yo of our honorarium and
remitting the amount to the State Treasury as an advance for our corporate taxes. No. Our NPWP is
01.949.024.2-062.000 on behalf of Kanaka Puradiredja, Suhartono.

The audit will be carried out after the down payment is received and all the necessary data and
information is available. We will convey the data and information we need to the management as
soon as we receive written confirmation of the appointment of KAP Kanaka Puradiredja, Suhartono.

E. PRECONDITION

In order for the above work to run effectively and be completed on time, the following prereguisites
are reguired:

1. The group needs to appoint competent staff to become counterparts who will help our team
access the data, information and documents needed during the assignment. We will submit a
formal data reguest. Field work begins after all data and information are fully available.

2. In carrying out audit work, we will use communication media, both oral, written, and
electronically such as letters, memos and e-mails which are accepted audit communications.

The Group declares and guarantees that it has not entered into any other engagements with
other public accounting firms to carry out work that is in accordance with the scope of work
as stated in this letter.

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4. Management allows creditor banks to communicate and reguest information from KAP/AP and
allows KAP/AP to provide information reguested by creditor banks, in which case it is exempt
from confidentiality reguirements.

5. For the purpose of this audit, Management stated that it only maintains a single bookkeeping
(general purpose) and prepares financial reports, namely the same bookkeeping and reporting
for creditors, tax or other report users.

6. Considering the importance of the management statement letter as stated in point B.2 above,
itis reguested that the letter be submitted to us before the final auditor's report is published.
With the existence of the management statement, the Company agrees to release KAP KPS and
its staff from all claims, obligations and costs that will be incurred as a result of management's
wrong statement regarding the audit services that we provide in accordance with this
engagement letter.

7. In connection with the Covid-19 Pandemic, our office policy is to comply with the policies
taken by the Government, namely limiting physical contact to a minimum with other people,
including the Large-Scale Social Restrictions (PSBB)/WFH policy, and implementing health
protocols. To obtain sufficient and appropriate audit evidence during the Covid-19 period, we
will use various means of communication (especially electronic communication) and
alternative procedures, including, but not limited to, analytical reviews, guestionnaires closing
procedures, using internal audit work, electronic document inspection (scan copy), and
asset/inventory inspection through electronic communication facilities (skype/video call/etc).
Availability of sufficient data and evidence in a timely manner will affect the completion of
the audit.

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RN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

F. MISCELLANEOUS

1. Termination and Withdrawal

In accordance with the public accounting profession standards, we may withdraw from this
assignment if the following occurs:

a. there are very principal and unresolved differences with the Group and Subsidiaries
relating to the application of Auditing Standards and Financial Accounting Standards in
Indonesia in the Company's bookkeeping Group, or

b. matters that cause our independent attitude as auditors to be unable to be maintained.

c. The company cannot fulfill the prereguisites and commitments in providing the necessary
data in accordance with the agreement.

If this happens, the agreement can be declared void and the Group releases us from all claims
whatsoever, including demands to return part of the work fees we have received.

2. Group Management and KAP KPS agree that there is no conflict of interest between key
personnel, both at the Company and KAP KPS, to carry out work within the scope of this letter.
KAP KPS guarantees that it will maintain the confidentiality of all data and information
provided by the Company and maintain an attitude of independence from KAP KPS.

3. The Group agrees that KAP KPS and staff have no obligation to the Group for any compensation
claims that arise in excess of the amount of work fees received by KAP KPS in connection with
this assignment. The Group also agrees to guarantee and fully release KAP KPS and staff from
all claims for compensation from any party, arising directly or indirectly from the services
provided in this assignment.

4. In accordance with the Circular of the Head of the Center for Financial Profession Development
- Ministry of Finance of the Republic of Indonesia (P2PK) No. SE-2/PPPK/2019 concerning
Obligations to Attach Client Audited Financial Statements by Public Accounting Firms and in
accordance with Regulation of the Minister of Finance of the Republic of Indonesia No.
186/PMK.01/2021 dated 15 December 2021 concerning Guidance and Supervision Public
Accountant, the Company's management agrees that the Company's audited financial
statements will be submitted by KAP to P2PK, unless the Company does not agree to be
submitted, the Company's management must submit the letter of disapproval in writing to
KAP, then the letter is submitted by KAP to P2PK.

5. We are under no obligation to update our audit report. If management is going to reproduce
itself the consolidated financial statements and Subsidiaries that we audit for other purposes,
management agrees to ask permission from us and management also agrees to take into
account the work time we allocate for the additional work, if any.

6. In accordance with Auditing Standards (SA720), any other information in documents
containing audited financial statements, including annual reports and securities offering
documents, if any, that are associated with our name as auditors, we are reguired to read and
consider whether the information and presentation in the document there are material
inconsistencies with the information and presentation in the audited financial statements. For
any such other information, management agreed to inform us prior to issuance for us to
approve and sign. We are not obligated to perform any procedure to corroborate other
information contained in the document as part of this agreement. (Ref. No. F9)

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AN Nexia KANAKA PURADIREDJA SUHARTONO
KPS

7. Ifa dispute arises in the implementation of this assignment that cannot be resolved by
deliberation, both parties agree to resolve it through the Indonesian Institute of Certified
Public Accountants.

8. If there is a change in the objectives and scope of this proposal, both parties will discuss it
to obtain an agreement and will put it in the form of a contract addendum.

9. If our report is reissued with an assignment for a public offering of shares or other financial
transactions, we must be informed about this to ensure conformity with the reporting
objectives, and not intended to adapt our audit to other parties.

10. If the Group cancels the engagement after signing the proposal orif the engagement has taken
place but before the end of the engagement is terminated by the Group management, the
Group is still obliged to pay all fees agreed upon in the engagement.

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. Confidentiality The audit documentation for this work is proprietary to KPS and is confidential
information. Exceptions to this, in the event of a reguest from an authorized
regulator/government agency, we can provide access to them in accordance with applicable
laws.

12. If KAP KPS is appointed as an independent auditor, KAP KPS will send a professional objection
letter to the previous auditor. KAP KPS has the right to evaluate and discuss again with
management if the answer to the letter from the previous auditor did not contain the
statement "no objection to the appointment of the auditor".

13. Based on PMK NO.55/PMK.01/2017, PMK NO.155/PMK 01/2017, and SEO7/PPPK/2019 we
inform you that we will carry out the Know Your Service User Principles (PMPJ) procedure
reguested by the Ministry of Finance of the Republic Indonesia. And for the results of
implementing the PMPJ procedure, the company is reguired to sign a business relationship
form for implementing PMJP.

14. As stipulated in Circular Letter SE-2/PPPK/2019, KAPs are reguired to attach Financial
Statements audited by KAPs for a period of one year, as an attachment to KAP Activity Reports
for the current year. We will ask for confirmation of approval and/or disapproval of the
submission of the Report at the time of approval for the finalization of the audited Financial
Statements.

15. The partner responsible for this assignment is Mr. Florus Daeli, SE., Ak., MM., CA., CRA.,
CPI., CACP., ASEAN CPA.

16. The proposal does not include other professional services such as legal consulting services,
notary services, and others.

H. CLOSING

KANAKA PURADIREDJA SUHARTONO

Thus our proposal, if there are things that are unclear or need further discussion, we will be open to
discussing them with you. If you agree with this proposal, please sign the agreement in the space
provided below and thus this proposal will become an assignment contract. Next, a signed copy of

the proposal can be sent to us.

For the trust and opportunity given, we thank you.

Best regards,
KAP KANAKA PURADIREDJA SUHARTONO

—
Florus Daeli MM., CA., CPA, 1
CACP., ASEAN CPA

Partners

Approved by:
PT POLLUX HOTELS GROUP TBK
AND SUBSIDIARIES

« EPERA
maka 408

Signature

Name 1 Le Jenny
Position 1 Presiaene Director
Date 2 Ie Nov 2023