Ryan and Lowy would also presumably know a bit about the responsibilities imposed by the Commonwealth Authorities and Companies Act 1997 on Reserve Bank directors.
One section explains that a Commonwealth officer "must exercise his or her powers and discharge his or her duties with the degree of care and diligence that a reasonable person would exercise".
The business judgment rule makes mention of Commonwealth officers requiring decisions to be made with “good faith for a proper purpose”.
Section 26 deals with "good faith, use of position and use of information" and section 27F goes to “material personal interest -- director’s duty to disclose”.
If the RBA board ever discussed Commonwealth revenue, tax havens or related subjects it would be interesting to know if Lowy declared his "material personal interest" during his "active" and “vigorous” board contributions.
Monday, July 21, 2008
More Charges Against Frank Lowy?
Stephen Mayne suggests Lowy may have breached the rules for RBA Chiefs: