Whose information is it, anyway?

Corporations are owned by their shareholders and managed by their management.  You’d think the owners could see the books.

“Startup Employees Invoke Obscure Law to Open Up Books,” The Wall Street Journal, May 25, 2016 B1.  Companies confront problems when they try to deny shareholders the right to look at the companies’ books.

The shareholders of a Delaware corporation have the right to see the financials.  Not sure how obscure it is – as  homeowner, I can see the HOA’s books, too.

What reasons would you give to deny the shareholders the right to see the books?  What does it say about the company who resists this move?  What else is the company hiding from its shareholders?  Whose information is it, anyway?

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Filed under Access, Accuracy, Collect, Communications, Compliance, Controls, Culture, Data quality, Duty, Governance, Information, Investor relations, Management, Ownership, Protect assets, Third parties

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