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Sweet Ltd {5L} operated a fruit juice manufacturing business. It also owned some fruit farms around VictoriaI Australia. Mr Apple was a non-executive director, Miss Drange was the managing director, and Mrs Grapes was the company secretary and a non-executive director. At a board meeting in January 2&15, Miss Orange suggested that St. purchase the company Sweetie Fruitie Ltd {SF} for 52$! million. 5F owns a number of niche fruit farrns along the Muray River in northern Victoria. The meeting began at sea pn1I and this proposal was made at 11.1% pmr by which time all the directors were ellthaustedI especially Mrs Grapes. who had flown into Melbourne from the USA at soo am that day. and had no chance to get any rest before the meeting. It turns out that Miss Grange had a large private shareholding in SF which she intended to tell the other directors about. but as she was tired she forgot to do so. Mr Apple had considerable expertise in such acquisitions, and had prepared a report recommending the purchase for $20 million. The purchase was made in March 21 5 with funds borrowed from SL's usual bank. In June 2111b, media reports claimed that most of the land owned by SF was going to be compulsorily acquired by the Victorian government for $11) million and that this had been widely known within the fruit juice industry since late it)\". Mr Apple had first heard these stories in December it)\