If you ever needed proof that what goes around comes around, you need look no further than the Parole Board's decision to deny Rob Roest, former director of failed finance company Bridgecorp, parole. Roest received a six year sentence in 2012, after being found guilty on several charges relating to the failure of Bridgecorp. Despite being described as a model prisoner, Roest's "rather intransigent attitude to his offending" seems to have swayed the Board towards its decision to keep Roest behind bars.
In addition to giving Messrs Roest and Petricevic (who was also denied parole last year) more time to think about their actions and their attitudes, the decision provides a salutary reminder to all directors—that duties owed by directors to the company and to shareholders cannot be taken lightly. Directors who are unclear of their duties and responsibilities would be well-advised to read and apply the relevant sections of the statute, and to enrol for a professional development course with their local director's institute.
Thoughts on corporate governance, strategy and effective board practice; our place in the world; and, other things that catch my attention.