Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Rio Tinto Ltd (Rio Tinto) appointed a new Chief Executive Officer (CEO) and a new Chief Legal Counsel (CLO) after the destruction of the Juukan

Rio Tinto Ltd (Rio Tinto) appointed a new Chief Executive Officer (CEO) and a new Chief Legal Counsel (CLO) after the destruction of the Juukan Caves. You are the new CLO. You have been asked to advise the new CEO on some important and pressing legal issues: 1. The CEO has told you that one of the directors of Rio Tinto has a brother who has an accounting firm that has submitted a tender for a contract to provide financial advice to Rio Tinto. The director will be voting next week on a resolution as to whether his brothers accounting firm, which submitted the winning tender, should be given a new major contract. He has not told the other directors of his family connection. The CEO says to you: I do not think the director, who is a personal friend of mine, should disclose to the board of directors his family connection because that is a family matter and is irrelevant to the boards decision. Advise the CEO about whether the director should disclose his family connection. Is there a legal duty to do so? Consider s 191 of the Corporations Act in your answer.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Personal Finance

Authors: E. Thomas Garman, Raymond Forgue

9th Edition

0618938737, 978-0618938735

More Books

Students also viewed these Finance questions

Question

List and describe three contingency leadership theories.

Answered: 1 week ago