Executive officers must ensure corporation complies with Act
91 Executive officers must ensure corporation complies with Act
(1) The executive officers of a corporation must ensure that the corporation complies with this Act.
(2) If a corporation commits an offence against a provision of this Act, each executive officer of the corporation:
(a) commits an offence, namely, the offence of failing to ensure that the corporation complies with this Act; and
(b) is liable to the penalty that may be imposed if a natural person had contravened the provision.
(3) Evidence that the corporation has committed an offence against this Act is evidence that each of the executive officers committed the offence of failing to ensure that the corporation complies with this Act.
However, it is a defence for an executive officer to prove that:
(a) if the officer was in a position to influence the conduct of the corporation in relation to the offence – the officer took all reasonable steps to ensure the corporation complied with the provision; or
(b) the officer was not in a position to influence the conduct of the corporation in relation to the offence.
This Act’s bill:Second reading speech
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