'They got away with it' is a common refrain after corporate scandals that end without consequences for individuals. A landmark High Court ruling could radically reshape that.
It's a common refrain after corporate scandals that end without consequences for individuals aware of or involved in wrongdoing."It really is a game changer," says Elise Bant, a law professor at the University of Western Australia, whose model for broadening out how someone can be held responsible was endorsed in the judgement.
The ruling potentially makes it easier to pin blame on individuals who have had oversight of failures by corporate or government bodies. The High Court decision, dismissing an appeal by a dodgy training college against a finding of "systemic unconscionable conduct", changes that. .So, if a company had what Professor Bant calls a "predatory business model" it can be assumed this was a knowing and deliberate strategy — and that can be penalised through the courts."I think that it will make a real difference, both in terms of governance, but also in terms of regulation and — where appropriate — penalty.
"And it's no answer to say 'I didn't understand that this was wrong'. 'I didn't understand that this was immoral'," he says. Professor Bant describes it as like the 'Where's Wally?' picture book, where it is extremely hard to pinpoint the person you're looking for."Nowadays we have massive corporations that operate across a range of different countries and jurisdictions, often through automated and algorithmic processes."
Safeguards existed to check students were suitable to undertake the course and understood what they were signing up for.This additional government funding under the former VET FEE-HELP scheme led to taxpayers funding futile courses that weren't completed and students being unable to access appropriate training.In its judgement, the High Court endorsed the broader model of corporate responsibility developed by Professor Bant.
White Collar Crime Corporate Crime
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Icelandic fishing giant Samherji sues art student for spoofing corporate websiteHigh court told ‘culture-jammed’ apology for high-profile corruption scandal ‘did not qualify as parody’
Read more »
Ousted CFMEU boss not confident of winning High Court fight“We’re hoping to win, but this is a political campaign,” former Queensland secretary Michael Ravbar told a large Brisbane rally on Tuesday.
Read more »
Woman allegedly raped by high-profile Sydney man hoped they would be together, court hearsThe man, who cannot be named, has pleaded not guilty to 12 charges including six counts of rape
Read more »
Fight over ownership of Paddington bowlo goes to High CourtPlans to return the abandoned Paddington site to Indigenous owners were challenged by a secretive millionaire. Now, the High Court will decide its fate.
Read more »
High court blocks Cumbria plan for UK’s first new deep coalmine in 30 yearsCourt rules against West Cumbria Mining’s fossil fuel development in Whitehaven
Read more »
Woman accusing high-profile Sydney man of rape questioned over sex video in courtThe man, who cannot be named, has pleaded not guilty to 12 charges including six counts of rape
Read more »