Governance to the forefront

CORPORATE governance among listed companies took a giant backward leap in the past week on multiple fronts, as three listed companies were involved in regulatory lapses, causing reputational damage not only to the companies but also potentially to the individual directors concerned.

First was the case of Sime Darby Bhd, where the former chief executive officer and four other executives were ordered to pay RM350mil jointly and severally to the company as restitution for wrongful payments made to consultants in Sime’s Qatar Petroleum Project.