- 20 Marks
BCL – L1 – Q101 – Governance and ethical issues relating to business
Question
(a). Explain the Rules of Natural Justice with specific regard to ‘Audi Alteram Partem’ and ‘Nemo Judes in Causa Sua’.
(b). Outline the nature of three fraudulent and criminal behaviour as it applies to business.
Answer
(a). Candidate should explain Natural Justice as a procedural safeguard against improper exercise of powers by a public authority. It has been characterised as fair administrative procedure and it consists of two elements, namely audi alteram partem (right to be heard) and nemo judex in causa sua (rules against bias).
In Amoah v Unity Commercial Bank Ltd [2001-2002] SCGLR 797 at 806, it was held that the defendant bank, which took disciplinary procedure rules, should have followed the said procedures in those rules and were bound to apply the rules of natural justice. The bank’s failure to give the plaintiff a hearing breached the audi alteram partem rule.
(b). In Ghana, crimes in business have been categorized as follows:
a) Misrepresentation in financial statements of corporations.
b) Manipulation in the stock market.
c) Commercial bribery.
d) Bribery of public officials directly or indirectly.
e) Misrepresentation in advertisement and salesmanship.
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