XL Ltd is a publicly listed company on the ASX.. The board of XL Ltd have...

 

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XL Ltd is a publicly listed company on the ASX.. The board of XL Ltd have agreed to pay the Directors a bonus of $50,000 each for their services in the financial year ending 30 June 2022. They have also agreed to pay the Chairman a further bonus of $40,000 They are planning to hold the Annual General Meeting of shareholders on the 20th August 2022 but the Chairman does not want to disclose these bonus payments to the shareholders. He wants to keep them secret because there are a number of shareholders who are unhappy with the management because the company made a loss of $3 million for the financial year 2022. The Chairman has not faced this situation in any previous AGM of the company. REQUIRED: Explain whether the bonuses can legally be kept secret from the shareholders and the remedy provided to shareholders in this sort of situation. Set your answer out using the IRAC format XL Ltd is a publicly listed company on the ASX.. The board of XL Ltd have agreed to pay the Directors a bonus of $50,000 each for their services in the financial year ending 30 June 2022. They have also agreed to pay the Chairman a further bonus of $40,000 They are planning to hold the Annual General Meeting of shareholders on the 20th August 2022 but the Chairman does not want to disclose these bonus payments to the shareholders. He wants to keep them secret because there are a number of shareholders who are unhappy with the management because the company made a loss of $3 million for the financial year 2022. The Chairman has not faced this situation in any previous AGM of the company. REQUIRED: Explain whether the bonuses can legally be kept secret from the shareholders and the remedy provided to shareholders in this sort of situation. Set your answer out using the IRAC format

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