2 ms·
Why even charge corporations? Charge the ultimate beneficiaries and the decision makers. The executives and the board should be the ones with their balls in a v
by jpgvm 4y ago
Why even charge corporations? Charge the ultimate beneficiaries and the decision makers. The executives and the board should be the ones with their balls in a vice rather than indirectly harming investors that were already harmed as part of the malicious act.
- ncmncm 4y agoThere is a legal miasma around "piercing the corporate veil", originally about limiting investors' financial liability for acts of the corporation to their stake in it. Instead it mostly protects officers against criminal charges, which turn into fines borne by those investors in place at the time the fine is finally collected. Officers almost always get off scot-free; often enough, investors too, with the corp simply enjoined to pledge "not to do it anymore". Allegedly this is to protect employment or something, or to encourage boards to exercise control over officers. Instead it encourages officers to keep boards toothless.