We remember an incident in late 1970 s ( when I was a student in Delhi ) , there was a famous case of a Listed Company where there was allegation of Mismanagement .
Govt. has power to appoint Independent Directors , ostensibly , to safeguard the Interests of Minority ( Public Share Holders ).
Some prominent persons gave Bags of Money to get appointed as Directors.
( High denomination notes had been demonetised ( Rs. 100 , then ,Highest Value ) so ." the Public Interest Directors "had a bit of challenge carting ) .
This was because these Persons knew that in the godowns of the Company were lying large quantities of a chemical which at that time was in acute short supply.
The Directors had calculated that they would recover their " investment " by selling this product in Black
http://economictimes.indiatimes.com/personal-finance/savings-centre/analysis/small-equity-investor-how-to-safeguard-your-interests/articleshow/21742266.cms?curpg=3
The Directors had calculated that they would recover their " investment " by selling this product in Black
http://economictimes.indiatimes.com/personal-finance/savings-centre/analysis/small-equity-investor-how-to-safeguard-your-interests/articleshow/21742266.cms?curpg=3
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