Transparency Matters: A Director’s Approach to Handling Conflicts of Interest

Programme Overview

Directors play a crucial role in the success and well-being of a company. As fiduciaries, they are entrusted with the responsibility of safeguarding the interests of the company and its shareholders above all else. However, the prevalence of conflicts of interest among directors has raised concerns and highlighted the need for stronger governance measures.

Transparency is a cornerstone of sound corporate governance. Encouraging directors to disclose any conflicts openly and honestly is paramount. This fosters an environment of trust and allows stakeholders to make informed decisions. By divulging their interests, directors can avoid doubts about their actions and demonstrate their commitment to acting in the company’s best interests.

This programme will equip the directors with the knowledge of how to identify and address conflicts, and understand the consequences of failing to address conflicts appropriately, including legal liabilities and reputational damage. To further assist directors in navigating the complexities of conflicts of interest, the facilitator will share case studies and practical examples. These carefully prepared scenarios will help directors understand the nuances of conflicts and what steps to take to avoid breaching their fiduciary duty. We will also explore the recent amendments to Bursa Malaysia’s Listing Requirements pertaining to conflicts of interest to ensure that directors are familiarised with these requirements and understand their implications for listed issuers.

Learning Outcomes

• Understand the importance of transparency and identify potential conflicts of interest that may arise in their roles as directors.
• Learn how to navigate complex situations, make informed decisions, and take necessary steps to avoid compromising the best interests of the company and its shareholders.
• Enable directors to uphold good corporate governance practices and ensure compliance with the recent amendments to Bursa Malaysia’s Listing Requirements concerning conflicts of interest.