DIRECTORS OF COMPANY BOARDS HAVE PERSONAL AND COLLECTIVE LIABILITIES.

Conclusion

The examples of the liabilities of the directors of company boards presented above are just a few drops in the directors’ liabilities universe. One can imagine the quantum size of the embarrassments, fines, financial losses and jail terms a director would suffer by the time one considers the sum total of all the sections and the stipulated liabilities for breach of duties as contained in CAMA 2020, ISA 2007 and other applicable legal and regulatory documents.

An individual does not have to accept board appointment or continue to be in a board with high risks irrespective of the juicy compensation and glamour attached.

It is good for companies to provide legal and insurance covers to protect company directors, but when scandals happen, the individual(s) involved, and the organisation are often sued together and may collectively or individually suffer losses. Therefore, it is important for the directors to understand the liabilities of the directors to avoid the embarrassments and losses that may arise from misconducts. This will help the directors to prepare well for their roles and risks involved and also take appropriate decisions and actions to protect themselves.

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Please, contact sally on contactus@platinumedgeconsultingltd.com or visit our website https://www.platinumedgeconsultingltd.com If you need more information on Corporate Governance Principles, Boards and Board Committees Effectiveness Tool Kits or need help to support your organisation provide solutions on the following:

• Board induction.
• Corporate governance framework design and implementation and post-implementation handholding support,
• Assessment of corporate governance framework, Board evaluation and Board Directors peer reviews for regulatory compliance.
• Training on how to design corporate governance framework and implementation, conduct assessment of corporate governance framework, Board evaluation and Board Directors peer reviews.

To access my other blog posts, please, click on the url: https://www,sallyogwookeyumahi.com//blog/

More About Sally:

Sally facilitates training on Risk governance and assurance for Company Board Directors, Executive Management and also Senior and Middle Level Managers aspiring to be Company Board Directors. Some of the organizations where Sally has facilitated training programs include: Lagos Business School (LBS), West African Institute for Financial and Economic Management (WAIFEM, established by Central Banks of The Gambia, Ghana, Liberia, Nigeria and Sierra Leone), The Institute of Directors (IOD) Nigeria, Nigeria Deposit Insurance Corporation (NDIC), Financial Institutions Training Centre (FITC), Chartered Institute of Bankers of Nigeria (CIBN), The Society for Corporate Governance Nigeria (SCGN), Microfinance Agricultural Learning & Development Centre (MLDC) , FirstBank of Nigeria, Access Bank PLC, Guaranty Trust Bank (GTB), Jaiz Bank, Daily Trust and Leadway Pensure PFA.

Sally authored the books on “Corporate Governance “and “Professional Conducts” for Bankers. The books have been adopted by the Chartered Institute of Bankers of Nigeria (CIBN) as Study Packs for the student members of the institute.

 Sally is widely travelled and have executed client projects for big and medium scale brands in many geographical locations including UK, USA, UAE, Netherlands, South Africa, Kenya, Zambia, Mauritius, Ghana, Togo, Sierra Leone, Zanzibar, Tanzania and Nigeria.