Palo Alto Attorney Douglas Y. Park Interviewed on Corporate Governance Wish List

Share Article

Palo Alto Business Attorney Douglas Y. Park was interviewed by Corporate Secretary Magazine about a governance wish list for corporate secretaries.

Douglas Y. Park, Silicon Valley Corporate Governance Attorney

Douglas Y. Park, Palo Alto Business Attorney

Transparency means few, if any, off-balance-sheet transactions, no minimization of risk warnings, and the board, auditors, and attorneys should have the latitude to question suspect activities.

Douglas Y. Park, principal of DYP Advisors and a Silicon Valley corporate governance attorney, was recently asked by Corporate Secretary Magazine to comment on lessons from 2011 and a governance wish list for corporate secretaries in 2012. In 2011, numerous companies made the headlines for their governance problems – Hewlett-Packard, News Corp., Yahoo!, and Nabors Corp., to name a few.

The first issue concerned lessons learned from two of the most striking examples of bad governance from 2011, Olympus and MF Global. In both cases, the board of directors did not adequately assert itself in the face of strong executives.

Mr. Park explains: “The Olympus board apparently did not adequately question the company’s off-balance-sheet transactions or carefully scrutinize the company’s deal performance. Similarly, the MF Global board appears to have been timid in critically analyzing Corzine’s strategy because of his stature.” At Olympus, the executive culture was characterized by secrecy and a demand for absolute loyalty to the company. At MF Global, CEO Jon Corzine brushed aside warnings from the firm’s risk manager.

As for how to improve governance, Mr. Park’s wish list includes a stronger culture and greater understanding of transparency. He continues: “Transparency means few, if any, off-balance-sheet transactions, no covering up or minimization of risk warnings, and a free, consistent flow of information from executives to the board, and the board, auditors, and attorneys should have the latitude to question suspect activities.”

Mr. Park has been mentioned on corporate governance matters in leading publications, including TheWallStreetJournal.com, Time.com, Agenda, a Financial Times service for corporate directors, and Reuters.

ABOUT DYP ADVISORS:

DYP Advisors provides business informed legal services that help executives, boards of directors, and investors address issues in corporate governance, corporate law, and strategy. The firm applies its deep experience in business and law to these central challenges. Our cost effective, high value added services give you an edge over the competition. More information about the firm is available at http://www.dypadvisors.com.

###

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Douglas Y. Park
Visit website