Corporate Governance
Company
LOGO
Chapter Outline
Introduction
Introduction
Corporate
CorporateGovernance
GovernanceCommittees
Committees
World
WorldBank
Bankon
onCorporate
CorporateGovernance
Governance
OECD
OECDPrincipals
Principals
Sarbanes
SarbanesOxley
OxleyAct
Act-2002
-2002
Mckinsey
MckinseySurvey
Surveyon
on Corporate
Corporate Governance
Governance
Working
Working Group
Group on
on Companies
CompaniesAct
Act -- 1996
1996
Recent Phenomenon Change
in Change in
mindset objectives
of people of
Corporation
s
Insistence of Emergence of
mutual funds
Corporate
Governance
From
Shareholder
focus to
stakeholders
Shareholders focus
Activism
Developments in United States
Watergate Scandal(1970)
bugging the offices of political opponents
BCCI scandal
BCCI (Bank of Credit and Commerce
TEXT
International), a global bank, 1972 founded by
TEXT
Agha Hassan
TEXT
7th largest private bank in the world by assets
Made up of multiplying layers of entities
RelatedTEXTto one another
TEXT
through an
impenetrable series holding companies,
affiliate subsidiaries, banks-within-banks,
insider dealings, and shareholders
relationships
Developments in UK
OECD Principles
Stated Objective :
The Committee:
Aimed to provide an answer to the general
concerns about accountability and level of
directors pay
Remuneration committee
Disclosures
Remunerations policy
Service Contracts and Compensation
The Hampel Committee-1995
1. Accountability
2. Disclosure and Transparency
3. Shareholders equality
Sarbanes Oxley Act- 2002