The Centre for Corporate & Public Governance is interviewed in the current issue of Canadian Business on the subject of Canadian bank CEO compensation.  As J. Richard Finlay noted in the article by John Gray:

Canadian banks may have fared better than their U.S. counterparts, but that has less to do with the individual performance of the company CEOs and more to do with restrictive Canadian banking regulations and the federal governments rejection of proposed bank mega-mergers.

The full article is available here.

The Centre for Corporate & Public Governance is quoted in this months AE Investimentos, the popular magazine for investors based in Brazil. The Centres founder, J. Richard Finlay, was interviewed at length during a question and answer session for his views on CEO compensation, a subject about which he is quoted regularly by media outlets world-wide.

Executive remuneration and its role in contributing to the excessive risks and leverage leading to the current credit crisis is placing boards and pay rewards under a microscope as never before. The interview is another indication of an increasing global interest in curbing pay abuse. Here is an excerpt from the interview:

H exatos seis anos, o presidente do Centro para Governana Pºblica e Corporativa no Canad, Richard Finlay, afirmava que a excessiva remunerao dos CEOs era a doena da vaca louca dos conselhos de direo nos Estados Unidos. œOs acionistas da Amrica corporativa esto sendo dizimados por esta enfermidade. A crise das hipotecas de alto risco mostrou que os conselhos ainda no compreendem totalmente a obrigao que tm para com os investidores. Como resultado de um sistema falido, que compensa excessivamente mesmo CEOs de baixo desempenho, estamos vendo o desafio mais srio enfrentado pelos mercados de capitais desde a Grande Depresso, diz Finlay (leia entrevista).

The Centre’s founder, J. Richard Finlay, is quoted today’s New York Post on the underperformance of Citigroup’s board of directors.  His comments are expanded at Finlay ON Governance.

The Centre for Corporate & Public Governance, North Americas first fully independent think tank and advocacy forum for higher standards of governance, ethics and transparency in major corporations and public institutions, has received numerous inquiries from major media outlets for its views on developments on Wall Street and the factors that have contributed to recent financial turmoil. 

It is the Centres view that the crisis, which has approached an historical inflection point in economic and banking disorder unseen in generations, is the predictable result of systemic failures in corporate governance, avoidable weaknesses in regulatory oversight and excesses in CEO compensation which it has been commenting on and warning about for a number of years. Many of these issues have been canvassed and commented upon by the Centres founder, J. Richard Finlay, on his widely read blog, Finlay ON Governance.

You can browse his blog or go directly to his unique and timely insights under the categories Panic on Wall Street/Outrage on Main Street and Subprime Meltdown.

J. Richard Finlay was interviewed by Canadian Business magazine for a story on Biolvail and recent regulatory developments involving its founder and former CEO, Eugene Melnyk.  The interview appears in the current issue of the magazine.  Additional information on the subject is available at Finlay ON Governance.

The Centre for Corporate & Public Governance has received a number of inquiries regarding the boardroom practices of Bear Stearns in light of that firm’s recent collapse and sale to JPMorgan Chase.  Key shortcomings in the governance and leadership culture of the investment bank are explored in a number of postings by J. Richard Finlay and are available at Finlay ON Governance.

The Centre for Corporate & Public Governance has received a number of inquiries from the media and other parties regarding yesterday’s decision which settles charges laid under the Securities Act by the Ontario Securities Commission against Andrew Rankin, a former managing director of RBC Dominion Securities based in Toronto. The charges arose in connection with allegations of stock tipping and insider trading which were made in 2001. The trial judge found Mr. Rankin guilty on some charges and a jail term was imposed. As a result of his later appeal, the conviction was set aside. A new trial was scheduled to begin next week. The settlement, which involves Mr. Rankin’s paying $250,000, resolves all outstanding matters related to Mr. Rankin and the OSC. The costs of the OSC’s investigation and prosecution of this case would be significantly beyond the sum paid for settlement.

As part of the settlement, Mr. Rankin admitted to wrongdoing under the Securities Act by providing insider information to Daniel Duic, a friend, who later profited from the trades. Mr. Duic previously admitted to Securities Act violations and gave evidence in court against Mr. Rankin under his settlement agreement with the OSC. The result of the investigation and trial is that while both parties have admitted to serious violations, neither will have a criminal record nor spend time in jail.

The regulator’s decision gives rise to troubling questions as to whether this is the proper outcome in light of the facts of the case and the high costs incurred by the OSC, and whether it will serve as an adequate deterrent to stock tipping and insider trading in the future. In addition, there are concerns being expressed widely within and outside Canada about the OSC’s judgment and overall competence in the enforcement field, given this and other events in the recent past.

It is The Centre’s view that this latest result, seen against the backdrop of a succession of recent setbacks and criticisms against Canada’s largest securities regulator, will further compromise public confidence in the OSC. The Centre reiterates its position that the OSC’s enforcement failures and declining reputation are the result of an oversight system that is neither adequate nor transparent. Ultimately, it is the duty of the legislature and the government of Ontario to ensure that the OSC is acting in the best interests of the investing public. The Centre for Corporate & Public Governance believes lawmakers should act swiftly on their oversight responsibility to ensure that the OSC is meeting that standard.

Additional comments on this matter by J. Richard Finlay are available at Finlay ON Governance.

J. Richard Finlay is quoted in the Montreal Gazette today in connection with the 12 year sentence of the former head of Norbourg Asset Management. Additional comments by The Centre’s founder on the sentence and its possible wider meaning for the enforcement of white-collar crime in Canada are available at Finlay ON Governance.

The Centre’s founder  is quoted in the online edition of the Wall Street Journal today. The story quotes from J. Richard Finlay’s commentary on Goldman Sachs, as viewed by The New York Times.

The Centre for Corporate & Public Governance is quoted in the lead story of the New York Post business section today. The story details the board’s role in recent developments at Citigroup, including its massive subprime mortgage related losses and the replacement of former CEO Charles O. Prince. The Centre’s founder, J. Richard Finlay, has the lead quote in the piece and is the only North American corporate governance expert cited.