quo_246765_1166906280

Text: 
P 17, 'In the absence of a specific prohibition of political donations by companies, it would appear that they are, prima facie, permitted. However, broader principles of Australian corporate law place limitations on when they can be made. Company funds, which are ultimately shareholders? funds, can only be used where a benefit to the company can be shown to eventuate. This is premised on the law governing company officers? duties. Directors and senior executives have a duty to act in good faith in the interests of the company. The authorisation of a political donation in circumstances where there is no obvious benefit for the company?s shareholders would breach this duty.'