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ARTICLE · 08 JULY 2008

Corporate Governance, Not Optional

McMahon Clarke
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All companies and funds (whether listed or not) that are serious about quality outcomes for shareholders and investors will strive to follow best practice in corporate governance.

AustraliaCorporate/Commercial Law
John Lane-Mullins
John Lane-Mullins
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Best practice

All companies and funds (whether listed or not) that are serious about quality outcomes for shareholders and investors will strive to follow best practice in corporate governance. Be warned, that in this time of corporate collapses and market volatility when excesses and loose internal controls have found many directors of companies and responsible entities (REs) wanting, courts and regulators are increasingly willing to penalise dilatoriness in corporate governance.

Potential penalties

Chapter 6CA of the Corporations Act 2001 (Corporations Act) imposes both civil and criminal sanctions for failure to continuously disclose market sensitive information.

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