20231003_SKLT_Perubahan Profesi Penunjang_31434431_lamp3.pdf

PKF Tg
Paul Hadiwinata, Hidajat, Arsono,

Retno, Palilingan & Rekan

An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness
of accounting estimates made by management, as well as evaluating the overall presentation of the
financial statements.

3. Scope Exclusions

This engagement letter does not address the provision of tax return preparation, tax consultancy,
accounting assistance and other consultancy services. The provision of any such additional professional
services will be at your specific reguest, and will be the subject of separate letters of engagement, where
necessary.

4. Our Responsibilities
Responsibility in general

Our responsibility is to exercise reasonable care and skill in conducting our examination and in forming
and reporting on our opinion. The work we will perform to enable us to form our opinion will include such
reviews of the Company's systems of accounting and internal control, and the performance of such tests
and inguiries as we consider necessary in the circumstances. These tests and inguiries will apply to the
day-to-day operations of the Company throughout the period, and to the validation of assets and
liabilities at the end of the period. The nature and extent of these audit tests will vary according to our
assessment of the Company's accounting systems and internal control. Our audit will not include detailed
auditing of large numbers of individual transactions, as would generally be necessary in a special
engagement focused on disclosing defalcations or other irregularities. Because of inherent limitation of an
audit, together with inherent limitations of internal control, there is unavoidable risk that some material
misstatements may not be detected, even though the audit is properly planned and performed in
accordance with auditing standard issued by the Indonesian Institute of Certified Public Accountants.

Responsibility in assessing internal control system

Our audit of the Company will be planned primarily to enable us to form an opinion on its financial
statements, and to report on those financial statements in accordance with Indonesian Auditing
Standards. Unless subject to express agreement to extend our scope of our audit work, our review of
systems of accounting and internal control therefore covers only what is reguired to enable us to
determine the timing and extent of procedures necessary for us to form our audit opinion, and to comply
with our obligations under professional auditing standards. Therefore, our audit will not necessarily
identify all significant deficiency in the Company's system of internal financial controls. The sole purpose
of our review of internal financial control systems is to express an opinion on the Company's financial
statement. This consideration will not be sufficient to enable us to provide assurance on the effectiveness

of internal control over financial reporting.

PKF Tg
Paul Hadiwinata, Hidajat, Arsono,

Retno, Palilingan & Rekan

At the conclusion of our audit, we may report to you our observations on ways in which internal controls
and procedures could be improved. The contents of this report will reflect matters which came to our
attention as a result of the conduct of our normal audit procedures. Conseguently, as mentioned above,
this report will not include all the matters which might be identified were we to conduct a special
engagement focused on internal control and procedures.

This report to management is for your internal use only, and may not be provided to a third party without
Our prior written consent. Such consent will be granted only on the basis that the report is not prepared

with the interests of anyone other than the Company in mind and that we accept no duty or responsibility
to any other party.

Responsibility in examining tax matters

Our audit does not incorporate the tests and specific inguiries that might be performed pursuant to a tax
audit conducted by the Directorate General of Tax. Thus, while our audit may consider certain aspects of

taxation, it should not be relied upon to detect all exposure that might be identified during a tax audit
conducted by the Directorate General of Tax.

Responsibility in detecting non-compliance

Our audit does not incorporate tests and specific inguiries designed to identify past or future instances of
non-compliance with relevant government or other industry regulations concerning filing, reporting,
maintenance of ratios, or any other matters. While it may consider certain aspects of regulatory
reguirements, our audit should not be relied upon to detect all instances of non-compliance that may be

identified by the relevant regulatory bodies. It remains the responsibility of the Directors of the Company
to ensure compliance with all regulations that apply to the Company.

5. Management's Responsibilities
Responsibility relating to the financial statements and internal control

Our audit will be conducted on the basis that the Company's Management acknowledge and understand
that they have responsibility for the preparation and fair presentation of financial statement in
accordance with Indonesian Financial Accounting Standards. In this regard, management is responsible for
properly recording all transactions in the accounting records and for establishing and maintaining internal
controls as they determine is necessary to enable the preparation of financial statements that are free
from material misstatement, whether due to fraud or error. The audit of the financial statements does not
relieve management of this responsibility. Management is also responsible for making available to us
access to all information of which they are aware that is relevant to the preparation of financial
statements such as original accounting records, documentation and other matters, additional information
that we may reguest, and unrestricted access to personnel from whom we determine it necessary to

obtain evidence for the purpose of the audit.

Ma PKF

Paul Hadiwinata, Hidajat, Arsono,
Retno, Palilingan & Rekan

As reguired by Indonesian Auditing Standards, we will make specific inguiries of management and others
about the representations embodied in the financial statements and the effectiveness of internal control
over financial reporting. Indonesian Auditing Standards also reguire that we obtain a representation letter
covering matters material to the financial statements from management. The results of our audit tests,
the responses to our inguiries and the written representations of management comprise the evidential
matter upon which we intend to rely in forming our opinion on the financial statements.

Responsibility in detecting error and fraud

Management is responsible for safeguarding the Company's assets and for the prevention and detection
of fraud and error. Management is also responsible for the Company compliance with the laws and
regulations applicable to its activities. We will design our audit to obtain reasonable, but not absolute,
assurance of detecting errors or fraud that would have a material effect on the financial statements as
well as other illegal acts having a direct and material effect on the financial statements. Our audit will not
include a detailed audit of transactions, such as would be necessary to disclose errors or fraud that did not
cause a material misstatement of the financial statements. It is important to recognize that there are
inherent limitations in the auditing process. Audits are based on the concept of selective testing of the
data underlying the financial statements, which involves judgment regarding the areas to be tested and
the nature, timing, extent and results of the tests to be performed. Audits are, therefore, subject to the
limitation that material error, fraud or other illegal acts having a direct and material financial statement
impact, if they exist, may not be detected. Because of the characteristics of fraud, particularly those
involving concealment through collusion and falsified documentation, an audit designed and executed in
accordance with Indonesian Auditing Standards might not detect a material fraud. Furthermore, while
effective internal control reduces the likelihood that errors, fraud or other illegal acts will occur and
remain undetected, it does not eliminate that possibility. For these reasons we cannot ensure that errors,
fraud or other illegal acts, if present, will be detected. However, we will communicate to You any illegal
act, material error, or evidence that fraud may exist identified during our audit.

6. Issues regarding the form and use of our audit opinion
a. Responsibility relating to distribution of PKF's opinion

If the Company intends to publish or reproduce our report together with the financial statements, in
printed form or electronically (e.g., on an Internet Web Site), or otherwise make reference to our Firm
in a document that contains other information, management agrees to (a)"provide us with a draft of
the relevant document to read, and (b) obtain our approval for inclusion of our report, before the
document is finalized and distributed. Where our audit report is reproduced in any medium, the
complete financial statements, including notes, must also be presented.

b. Third party users of PKF's opinion

Our audit opinion is intended for the benefit of those to whom it is addressed. The audit will not be
planned or conducted in contemplation of reliance on it by any third party or with respect to any

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PKF |
Paul Hadiwinata, Hidajat, Arsono,

Retno, Palilingan & Rekan

specific transaction. Therefore, items of possible interest to a third party will not be specifically
addressed and matters may exist that would be assessed differently by a third party, possibly in
connection with a specific transaction.

c. Responsibility to seek PKF's consent to any future use of the opinion

Regulations established by certain countries include a reguirement for the auditor to be registered in
that country if the Company undertakes an applicable offering or filing. Potential conseguences of non-
compliance with these auditor registration reguirements in a timely manner can be severe for both the
audit firm and the Company. The Company agrees that our audit report, or reference to us, will not be
included in any such offering document, or lodging financial information with an overseas domiciled
regulator or government without our prior written permission or consent. Any agreement to perform
work in connection with an offering, including an agreement to provide such permission or consent,
will be a separate engagement and subject to a separate engagement contract.

d. Other Documents

Indonesian Auditing Standards reguire that we read any annual report prepared for public distribution
that contains the financial statements and our audit report thereon. The purpose of this procedure is to
consider whether other information in the annual report, including the manner of its presentation, is
materially inconsistent with information appearing in the financial statements. We assume no
obligation to perform procedures to corroborate other information as part of our audit.

7. Other Matters

Ownership of and access to audit files

The working papers and files for this engagement created by us during the course of the audit, including
electronic documents and files, are the sole property of PKF. Where we are the component auditor, we
are often reguested by the principal auditor to provide access to working paper in connection with the
statutory audit of the consolidated financial statements, in such case, you agree that we are allowed to
provide access to our working paper to the primary auditor without a prior written consent from you.

8. Timing and Client Assistance Package

Before the start of the audit, we will provide you with a Client Assistance Package which sets out the
anticipated timing of our work, and our reguirements for support from you, including reconciliations,
schedules and other data, together with deadlines for each item. Your cooperation in meeting these

deadlines will help ensure a smooth and efficient audit.

Our audit fee is predicated on the basis of a problem-free audit: i.e. the accounting records (including, but
not limited to, the reconciliation of all general ledger balances, preparation of accounts analysis and
breakdowns of balances and the completion of the Head Office Reporting Package) have been properly

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PKF
Paul Hadiwinata, Hidajat, Arsono,
Retno, Palilingan & Rekan

prepared by your staff, there is no serious internal control breakdown or deficiency, and information is
provided to us on a timely basis accordance with the Client Assistance Package which will be provided to
you. If the audit is not problem-free, or should the information reguested in the Client Assistance Package
not be available on a timely basis, the completion of the audit is likely to be delayed. Our resources are in
high demand, particularly during our peak season which extends from November through to the end of
April.

The staff scheduled to work on this assignment will be scheduled to work on other assignments which will
start immediately following the planned completion date for field work on this assignment. As a
conseguence, if we do encounter problems that result in unexpected delays, we are not in a position to
commit to being able to provide the same staff at a later date to complete the outstanding work. Nor are
we able to guarantee when the outstanding work will be able to be completed because this will depend
upon the other client commitments of our staff.

9. Fees and Billing Arrangements

Our fees for the services to be provided as set out in this letter are IDR 155,000,000. Our fee of
IDR 155,000,000 excludes 1196 VAT and out-of-pocket expenses such as travels, meals and hotels, which
will be billed separately. Our invoices are due and payable when received, and in no circumstances later

than 14 days from the date of the invoice.

Itis our practice to submit our invoices as we perform our work. Accordingly, we will issue progress
billings in accordance with the following timetable:

Start of planning or interim work for year-end audit IDR 77,500,000
Delivery of draft report IDR 77,500,000

10. Confidentiality and consent

We are committed to maintaining the confidentiality and security of your information in accordance with
Code of Ethics of Professional Public Accountants established by the IICPA. Accordingly, we maintain
internal policies, procedures, and safeguards to protect the confidentiality of your personal information.

The audit documentation for this engagement is the property of our Firm and constitutes confidential
information.

However, we will be exempted from our obligation to maintain confidentiality and security of your
information, to comply with current government laws and regulations, such as for the purpose of the
Ministry of Finance supervision as set out in Law No. 5 Year 2011 on Public Accountants, Article 29 and for
the purpose of tax audit, tax collection or investigation of criminal offenses in the area of taxation, upon
written reguest from the Directorate General of Taxation, as stipulated in Article 35, Law No. 6 Year 1983,
and amended in Law No. 28 Year 2007 regarding General Tax Provisions and Procedures.

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PKF
Paul Hadiwinata, Hidajat, Arsono,

Retno, Palilingan & Rekan

In order to fulfill these reguirements, we would like to emphasize that you express your consent for us to
provide access to the audit engagement working papers on this financial report to parties who have the
authority to carry out the provisions of the applicable law. All costs incurred in connection with the
fulfillment of these obligations are your burnden and will be billed by us based on the realization of the
time we use to complete these obligations. However, we will not charge you for the fulfillment of these
obligations, when you agree to follow up the fulfillment of the obligation yourself.

11. Know your client principle and consent

In connection with the enactment of the Regulation of the Minister of Finance of the Republic of
Indonesia No.55/PMK.01/2017 dated April 17, 2017 regarding the Know Your Client Principle for
Accountants and Public Accountants as amended by Regulation of the Minister of Finance of the Republic
of Indonesia No. 155/PMK.01/2017 regarding the Amendment to the Regulation of the Minister of
Finance No.55/PMK.01/2017 regarding the Know Your Client Principle for Accountants and Public
Accountants dated November 6, 2017 and Circular Letter No. SE-7/PPPK/2019 regarding Guidelines for
Implementing the Know Your Client Principle for Accountants and Public Accountants dated November 29,
2019, which reguires Public Accountants to apply the Know Your Client Principle (KYCP), we hereby inform
you that we will implement KYCP procedures in accordance with those regulations.

Therefore, you hereby express your consent for us to implement and perform the KYCP procedures.

12. Process for assessing client satisfaction with our services

It is our desire to provide you at all times with a high guality service to meet your needs. If at any time you
would like to discuss with us how our service to you could be improved or if you are dissatisfied with any
aspect of our services, please raise the matter immediately with the appropriate partner. If, for any
reason, you would prefer to discuss these matters with someone other than that partner, please contact
Arief Setyadi, CPA (Senior Partner). In this way we are able to ensure that your concerns are dealt with

carefully and promptily.

13. Terms and Conditions

This letter and the terms of business attached comprise the entire contract ("the Contract") for the
provision of the Services to the exclusion of any other express or implied term, whether expressed orally
or in writing, including any conditions, warranties and representations. The contract shall also supersede
all previous letters of engagement, undertakings, agreements and correspondence regarding the Services.
This Contract shall be governed by and interpreted in accordance with the laws of the Republic of
Indonesia.

Pers. Paul Hadiwinata, Hidajat, Arsono, Retno, Palilingan & Rekan is a member of PKF Global, which is a
network of member firms of PKF International Limited, each of which is a separate and independent legal
entity. Neither the other member firms nor the correspondent firms of the network nor PKF International @

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PKF
Paul Hadiwinata, Hidajat, Arsono,
Retno, Palilingan & Rekan

Limited is responsible or accepts liability for the work or advice which Pers. Paul Hadiwinata, Hidajat,
Arsono, Retno, Palilingan & Rekan provides to its clients and in signing and returning to us the enclosed
copy of this Engagement Letter you acknowledge and accept that such other member and correspondent
firms and PKF International Limited do not owe you any duty in relation to the work or advice which we
will from time to time provide to you or are reguired to provide to you. Correspondent firms are not
members of PKF Global.

Because of the significance of representations obtained from management during the audit process, the
Company agrees to release and indemnify, defend and hold us and our personnel harmless from any
liabilities, claims, costs and expenses relating to our services under this letter attributable to any
misrepresentations by management, whether made orally or in writing.

The Company agrees that our maximum liability to the Company for any reason relating to the services
under this letter shall be limited to the fees paid to us for the services or work product giving rise to
liability, and that the Company agrees to indemnify and hold us and our personnel harmless from any
claims, liabilities, costs and expenses collectively referred to as “Loss” (including any VAT or other taxes
payable by Paul Hadiwinata, Hidajat, Arsono, Retno, Palilingan & Rekan, on amounts paid by you under
this indemnity) arising for any reason, whether brought or incurred by the Company or any third party
which is related to, arises out of, or is in any way associated with our services or this engagement.

In the event of any controversy or claims arising out of or relating to services covered by this letter or
here-after provided by us for the Company or at its reguest (including any such matter involving any
parent, subsidiary, affiliate, successor interest, or agent of the Company or of Paul Hadiwinata, Hidajat,
Arsono, Retno, Palilingan & Rekan, or involving any person or entity for whose benefit the services in
guestion are or were provided), shall be submitted first to voluntary mediation, and if mediation is not
successful, then to binding arbitration, in accordance with the alternative dispute resolution procedures of
BANI (Indonesia Board of Arbitration). Judgment on any arbitration award may be entered in any court

having jurisdiction.

Except as instructed otherwise in writing, each party may assume that the other approves of properly
addressed faxes, emails and voicemail communication of both sensitive and non-sensitive documents,
including third party confirmations, and other communications concerning the engagement hereunder, as
well as other means of communication used or accepted by the other party.

If you intend to publish or otherwise reproduce the financial statements together with our report or
otherwise make reference to our Firm in a document that contains other information, you agree to
provide us with a draft of the printed document for our review and approval before the document is
printed and distributed.

During the term of this engagement, and for 12 months after it ends, each party agrees not to knowingly
solicit for employment, or to independently contract the service of, any partner or staff member sub-
contractor of the other party who is involved with performing this engagement. This clause does not apply
to a general employment vacancy advertisement issued by a party.

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PKF
Paul Hadiwinata, Hidajat, Arsono,
Retno, Palilingan & Rekan

14. Acknowledgment and Acceptance

Please acknowledge receipt of this letter and your agreement to the terms of our engagement as set out
herein by signing the enclosed copy of the letter in the space provided and returning itto us.

We appreciate the opportunity to serve as PT SEKAR LAUT Tbk's independent auditors and would be
pleased to furnish any additional information you may reguest concerning Our responsibilities and
functions. We trust that our association will be a long and mutually beneficial one.

Yours very truly,

F
— eka. Hidajat, Arsono,
1W Retno, muan & Rekan

Registered Public Accountant:
Ady Putera Setyo Pribadi, CPA

Partner

PT SEKAR LAUT Tbk

Signature

Date