Money and Safeguarding Interest of Shareholders

We remember an incident in late 1970 s ( when I was a student in Delhi ) , I had some inside information about 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 a politician to get appointed as Directors.

( High denomination notes had been demonetised then also( Rs. 100 , then ,Highest Value ) so ." the Public Interest Directors "had a bit of challenge carting the currency) .So , currency notes were weighed and not counted. 1 kg = Rs. 1/25 lakh .

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 aspirant Directors had calculated that they would recover their " investment " by selling this product in Black