Simpson is the managing director of Developers Ltd., a company engaged in the business of acquiring and developing building sites. Developers Ltd. wishes to buy a piece of land on which to erect a factory. Simpson, whilst out looking for a site which would suit the company for this purpose, discovers a piece of land which will soon adjoin a new main highway. Realising the value of the land for development as a factory site, Simpson, without informing the shareholders in Developers Ltd., purchases the land on his own behalf and subsequently sells it to an engineering company at a substantial profit. Hawkins, a major shareholder in Developers Ltd. learns of these transactions and tells Simpson that he objects to his conduct and intends to raise the matter at the forthcoming annual general meeting. Simpson replies that he is not aware that he has done anything improper, especially as Developers Ltd. might not have been able to raise sufficient funds to purchase this site itself.

(i) Advise Hawkins generally and state what action, if any, can be taken against Simpson for any possible breaches of his duties as a director. (200-300 words).

(ii) What penalties (civil penalty regime) may be imposed on Simpson for breaching the common law and Statutory duties under the Corporations Act? What are the possible remedies available to Developers Ltd if Simpson is found to have breached such duties?

Hylands is admitted to the partnership of Reddick & Nole. Prior to her admission, the partnership books show Reddick's capital balance at $180,000 and Nole's at $90,000. Assume Reddick and Nole share profits and losses equally. Read the requirements. Requirement 1. Compute each partner's equity on the books of the new partnership under the following plans: a. Hylands pays $100,000 for Nole's equity. Hylands pays Nole directly. Begin by computing the partner's equity base for plan a. Hylands pays $100,000 for Nole's equity. Hylands pays Nole directly. (Enter a share for each partner. Complete all answer boxes. For accounts with a $0 balance, make sure to enter "0" in the appropriate cell. Enter negative amounts with a parentheses or minus sign.) Plan A Partnership capital before admission of Hylands Effect on capital balance as a result of admission of Hylands Partnership capital after admission of Hylands Reddick Nole Hylands 1. Compute each partner's equity on the books of the new partnership under the following plans: a. Hylands pays $100,000 for Nole's equity. Hylands pays Nole directly. b. Hylands contributes $90,000 to acquire a 1/4 interest in the partnership. c. Hylands contributes $135,000 to acquire a 1/4 interest in the partnership. 2. Journalize the entries for admitting the new partner under plans a, b, and c.