Corporate Governance & Risk Management - by SARDANA

Economic Slowdown, Business Ethics & Corporate Governance Everyone is talking about an economic slowdown, credit crunch and lack of investments. Various options and measures are suggested by experts. The role of government and financial institutions are also under the public lens. Business decisions can go wrong in the real world. We all must appreciate this fact.  What about fund diversion, related party transactions at higher than market rates, manipulation of balance sheets to seek funds from banks, under-invoicing and over-invoicing to avoid taxes, fake bills to claim GST refunds, key management persons from the same family to ensure manipulations go un-noticed to the outside world, abusing the bargaining power against smaller vendors after using their services and products and putting their existence at risk and forcing bankruptcy and unemployment due to non-payment to vendors, are many such examples which clearly indicates that ethics and governance are compromised i