The legislator has recognized that a holding company is legally an independent juridical person. Thus, paragraph (c) of section 205 of the Companies Law provides that a holding company may extend loans and guarantees to its subsidiaries. By necessary implication, section 205 assumes that a holding company is not liable for the actions of its subsidiary unless the holding company has assumed liability as a guarantor. It is true, as indicated by the Supreme Court, that a parent company may be liable for the obligations resulting from a contract made by its subsidiary if the latter was in fact mere instrument under the full control of the former. However, the "instrumentality" of the subsidiary, quite like allegations of fraud or actual decision making by the parent company for its subsidiary, must be established by positive evidence – presumptions based on the ownership of shares are capable of undermining the economic utility of the structure of a group of
In the early 1700s, corporate criminal liability faced at least four obstacles. The first obstacle was attributing acts to a juristic fiction, the corporation. Eighteenth-century courts and legal thinkers approached corporate liability with an obsessive focus on theories of corporate personality; a more pragmatic approach was not developed until the twentieth century. The second obstacle was that legal thinkers did not believe corporations could possess the moral blameworthiness necessary to commit crimes of intent. The third obstacle was the ultra vires doctrine, under which courts would not hold corporations accountable for acts, such as crimes, that were not provided for in their charters.
There is difference between conventional and Islamic banking in terms of principles. In Islamic banking, the function and operating modes is based on the principles of Islamic Shariah. However, in conventional banks is based on fully manmade principles which means largely capitalism theory. In Islamic banks, it is prohibition of riba (interest). It means that, they cannot lend money to earn additional amount on it.
The Business Dictionary website defines Confidential Information as, “Privileged communication shared with only a few people for furthering certain purposes, such as with an attorney for a legal matter, or with a doctor for treatment of a disease.” The two components of the essay topic, Confidential & Information, are individually defined by the Oxford online dictionary; Confidential – “Intended to be kept secret” – & Information – “Facts provided or learned about something or someone.” In my career as an accountant, it is vital to understand the meaning in both business and non-business, as there are many details privy to specific people. I am confident this fits into Lewis’s typology of definitions with a purpose. The flip side of the coin
It then explores individuals’ overall trust in that bank as a potential moderator in the relationship that reduces their likelihood to leave the bank even though they are dissatisﬁed with a particular banking channel. Furthermore, the second study goes one-step further and examines differential moderating effects of three trusting beliefs potentially held by the customer, i.e., competence, integrity, and benevolence beliefs about their banks. While the effect of trust on consumers’ relationship with their banks has been studied (e.g., Ndubisi, 2007), no prior work has examined its effect on customers intention to leave their bank in case of their dissatisfaction with their banking channels. This paper aims to contribute to the literature by examining the role of trust and trusting beliefs as potential moderators that prevent consumers from exiting a relationship with their banks even though they are dissatisﬁed with their primary banking channels. Since customer, retention and loyalty have become even more important in ﬁnancial sectors after deregulation gave customers more ﬂexibility to choose their ﬁnancial services (Levesque and McDougall,
These acts include, Trade Practices Act 1974, Contract Reviews Acts 1980 NSW and the Industrial Relations Act 1988 (Commonwealth). In the case of Commercial Bank of Australia v Amadio (1983) 151 CLR 447, s 20 and common law principles of unconscionably was apply to seek unequal entering contract between two parties. By the High courts in accordance plaintiffs, Amadio’s was taken under disadvantages thus the conduct of the bank was unconscionable with the contract. This special disadvantage suffered in conjunction with the failure of the bank to disclose the necessary facts that would allow the Amadio’s to make their own informed judgment about the transaction was held to amount to unconscionable conduct. Ultimately, the Amadio’s would not have signed the documents, had they been aware of the effect of the terms they were agreeing to.
The lines between banking and trading books were being blurred which suggests the need for a more reliable treatment between contradicting business lines. While the mix of valuation procedure introduced by IAS 39 over debate these problems. Both management and outside investors effected with this. The recent crisis are the examples include UBS, Merrill Lynch, AIG and the UK bank HBOS whose losses have been largely arises and were not understood by the management or stockholders. Such accounting treatment can only be appropriate when liabilities both short and long term are secured against specific assets but the whole balance sheet of the
Islamic Credit Cards is a plastic money which involves the buy first and pay later option but it is strictly conducted on the basis of Shariah values, principles and objectives (Hanudin, 2012). An Islamic Credit Card is different with conventional credit card where it have no compounding interest, not allowed to make payment on non-Halal transaction (such as buying liquors, gambling and uses in entertainment club), and also do not charge interest rate but used profit rates to generate fee-based income. These kind of activities are practicing in conventional credit card (Shafinar et al., 2013). In order to market Islamic credit card effectively, the marketer of financial institution need to differentiate the concept of Islamic credit card and conventional credit card. The marketers also can offer the Islamic credit card by differentiating the importance of credit card’s characteristics (Hanudin,
Various elucidation of the law by sharia researchers can leave the business and additionally financial specialists misty about specific parts of Islamic banking. Moreover, there is a requirement for particular controls identified with Islamic banks against the present banking directions being custom fitted towards ordinary banking, i.e not taking into setting the particular way of Islamic financing. Islamic banks go up against a higher introduction to land for instance. There is likewise a need to separate Murabaha from typical loaning and also separate Musharaka from value speculations and so forth. There are a few different difficulties: liquidity management tools stay restricted for Islamic banks, locally and all inclusive.
Auditor Independence and Independence Commitment According to Financial Times Lexicon, auditor independence can be defined as a reference to the independence of internal or external auditors from parties that might have financial interest in the business being audited. Independence is partly synonymous with honesty, integrity, courage, and character. It means that the certified public accountant will tell the truth as they see it, and will permit no influence, financial, or sentimental, to turn them from that course (Carey, 1946 cited in Scheutze, 1994) There are two dimensions of independence: Independence in fact, which indicates that auditor possesses independent mindset in planning and executing an audit, and that is resulting in unbiased audit report (Dopuch, King and Schwartz, 2003, p. 84) Independence in appearance, where it can be obtained by auditor just to appear as independent. Auditor independence is generally recognized as one of the central values or ideals that underlie the work and legitimacy of today’s public accountants (Levitt, 2000; Sikka and Willmott, 1995). Auditor also expected to be independence based on the Generally Accepted Auditing Standards (GAAS) in AU Section 150.