BASICS
List the two functions of management which closely relates to corporate governance.
Directing & Controlling
Approximate amount of loss incurred to shareholders in Satyam Scam
Rs. 14000 Cr.
Who has the fina 'casting vote' right when there is a equality of votes in the board meeting?
Chairman of BoD
Empowerment of stakeholders other than the shareholders is the primary base of this theory
Stakeholders Theory
Appeal for order from National Company Law Tribunal (NCLT) can be made here
National Company Law Appellate Tribunal (NCLAT)
Who gave this most widely accepted definition "Corporate governance is the system by which companies are directed and controlled"?
Sir Adrian Cadbury (1992)
Name the founder of Satyam Computers who later confessed to SEBI about the fraud
B Ramalinga Raju
KMP includes these personnel of the firm
Chief Executive Officer, Managing Director, Whole Time Director, Chief Financial Officer, and Company Secretary
This model is similar to England’s Cadbury committee and SOX Act in terms of approaches and recommendations
Anglo-American Model
For a company to be associate company, minimum holding should not be less than
20%
Major cause which led to significant need of governing corporates
Separation of ownership & management
Two major companies which were primarily used to divert shareholders funds in Satyam Scam
Maytas Inrastructure
Maytas Properties
Most important statutory officer in the eyes of law
Company Secretary
This model place importance to financial institutions who monitors and acts in emergencies
Japanese
Rotation of auditors was made compulsory under the recommendation of which committee?
Naresh Chandra Committee 2003
The following statement falls in which category of RAFT system: "Acting in the best interest of stakeholders"
Responsibility
Which company later bought the firm Satyam Computers Ltd.
Tech Mahindra
Whole time KMP should not hold office in more than_______ company/ companies.
One
Conflict of interests between both agent and principal is called_____.
Agency problem
Secretarial Audit is mandatory for every public company having turnover more than ______.
Rs 250 Cr.
Enlist any 4 major corporate scams of India
Kingfisher Airlines
Harshad Mehta Scam
Satyam Scam
Reebok India
Sahara India
According to your team, enlist the major wrongful deeds the founder of Satyam Computers indulged in, causing this scam
Insider Trading
Fraud
Corporate Governance Triangle comprises of these three parties
Shareholders, Management, BoD
Which model/models follow two-tier systems?
German & Japanese
Insider Trading provisions were mandatory under SEBI for listed companies, but now it is a part of Company Law for all companies. Explain the punishment for non-compliance
Imprisonment of 5 years and/or fine of Rs. 5 Lakh to Rs. 25 Cr. or 3 times the profits made out of inside trading (whichever is higher)