The Barons of Bankruptcy
The Barons of Bankruptcy
Now, this is an interesting book with an interesting front page. The picture screams "Cover Your @$$!". When I studied Australian Company Laws at university it seemed to me that directors and other executives could be found liable for the losses of a company when in breach of their duties.
At the time I thought it would be an easy task to catch a negligent or incompetent CEO. Second thought ... maybe not so easy. A lot of them actually get away with a fortune.
If you are interested you should see the Barons of Bankruptcy list. You will see, not what they get away with but how much (in $US million) they get away with.
Some others stand to face the music. Ray Williams who helped building the insurance giant HIH resigned from the board on December 15, 2000, "three months before it crumbled with debts of $5.3 billion". The Australian reported on Thursday that Williams pleaded guilty to a series of charges:
Williams has consistently maintained his innocence but made a
brief appearance in court yesterday to plead guilty to criminal charges of
misleading and "reckless" corporate behaviour.He now faces up to 12 years' jail for his role in the
country's biggest corporate failure.
12 years! Unless he has a medical condition like Mr Rivkin I recommend he purchases Andy Borowitz's CEO's Guide to Surviving in Prison.
