How much detail should board papers really contain?

One subject that can be depended on to crop up time and time again in boardrooms is the quality of board papers, and in particular, the level of detail contained within them. Much frustration often prevails in boardrooms over the matter of whether certain board papers are too detailed or not detailed enough. Nor can there be any question about the importance of this subject, given that the amount of detail in such papers can set the tone and direction of discussions. Continue reading

The corporate governance failures that can destroy value within companies

The perils to a company of not having a comprehensive corporate governance audit should become clear when one takes a closer look at the organisations to have been guilty of some of the most egregious ethics and compliance failures of recent years. VW, FIFA, Petrobas, Toshiba and Deutsche Bank were all named by Compliance Week in its list of the top five such failures last year, and with good reason. Continue reading

Should you opt to keep your company registers at Companies House?

A number of changes to company law are currently being phased in as part of the Small Business, Enterprise & Employment Act 2015. One of the changes gives limited companies the option to keep their statutory registers at Companies House rather than at their Registered Office or at a Single Alternative Inspection Location (‘SAIL’).

While keeping the statutory registers at Companies House may seem an attractive option, company officers will still have a duty to keep the registers updated. However, we urge caution for anyone considering taking advantage of this new facility because of the potentially serious privacy implications for directors, shareholders and anyone who appears on the new People with Significant Control register. Continue reading

Should slimming down your corporate structure be one of your key objectives this year?

It is becoming increasingly common for the users of board secretary services such as those provided by London Registrars to need help with removing surplus companies through solvent liquidation or strike-off. This is often required when a cumbersome group structure is the product of merger or acquisition (M&A) activity.

There are clear advantages with a well-planned simplification process with a typical payback period of just 12 to 18 months. A solvent liquidation also presents an opportunity for both ongoing and looming issues to be addressed and resolved. Continue reading

MPs blame “catalogue of failures” for Kids Company demise

A salutary lesson will have been provided to both charities and those considering the use of company secretarial services by the report released by MPs in early February on the circumstances that led to the collapse of the charity Kids Company.

Kids Company’s closure in August followed controversy over the management and finances of the charity founded by Camila Batmanghelidjh in 1996. Now, the Commons Public Administration and Constitutional Affairs Committee (PACAC) has released the results of its inquiry, describing the charity’s collapse as the result of an “extraordinary catalogue of errors”. Continue reading

New Sentencing Guidelines preceded by highest ever UK fine for corporate manslaughter

The death of a crane driver has led to the conviction of corporate manslaughter for a mobile crane hire company, making it the first in the UK to suffer such ignominy. Despite the verdict being handed down before the introduction of new, tougher Sentencing Guidelines this month, the level of the fine sends out a strong message to all UK organisations that may need to invest further in risk and compliance services. Continue reading

Corporate Manslaughter and Corporate Homicide Act 2007

Introduction

The Corporate Manslaughter and Corporate Homicide Act 2007 (‘the Act’), which came into force in April 2008, was a landmark in law which for the first time allowed the authorities to prosecute organisations where a corporate management failing has led to the death of an individual, resulting from a breach of Health and Safety at Work. Continue reading