You are required to critically evaluate each of the following mini cases and detect weak governance issue/s and prescribe best management practice/s for each scenario. 1. The process of preparing and approving financial statements is as follows. The company's finance division prepares annual financial statements and produces them for the annual audit. After the audit, the audited financial statements are tabled at a meeting of the Board of directors, who discuss and approve them. Directors hold 85% of the share capital. [6 marks] Q P - A S R - 0 0 1 | R e v 0 0 0 E f f D a t e : 1 7 - 0 5 - 2 0 2 1 Page 4 of 5 2. At a general meeting of a mining company, the shareholders approved the directors' proposal to declare dividends. On the following day, there was a blast at a mine that caused fatal injuries to many employees and neighbors running small shops near the mine. The trade union of employees, community and environmentalists have filed actions against the company claiming damages for their employees, community, and the environment. The company's legal advisors explained that the case is not in favor of the company because the company has not followed the health and safety measures to protect people's lives. The Board of directors seeks your advice if they can proceed to pay dividends as approved by the shareholders at the Annual General meeting. [6 marks] 3. The company's information system has been poorly designed. Consequently, computer hackers had accessed the company's email database. The database contained the email addresses of customers, suppliers, and employees and had sold them to competitors. Shareholders seek your advice. [6 marks] 4. Directors of an unlisted company hold 90% of shares. The grievance of the minority shareholders is that sometimes they do not receive the notices of Annual General Meetings and the Extraordinary General Meetings of the company. The minority shareholders have recently known from a third party that the Board of directors has appointed a new director. They seek your advice regarding the appointment of the new director by the Board. [6 marks] 5. Some shareholders of the company had been abroad for years. They were unaware of what had happened in the company in their absence for the last three years. They seek your advice on how they can be aware of the company's information and what type of information they can access.