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Andrew Lindberg Case Analysis

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CASE ANALYSIS
Introduction
The Australian Securities Investment Commission (ASIC) brought a case against Andrew Lindberg who was accused of breaching duties as a director when he was in service. Andrew Lindberg was ex Managing Director of Australian Wheat Board (AWB) who was accused to have contravened with his duties as a director. Justice Robson from The Victorian Supreme Court handled this case and on the 9th of August, 2012, the defendant was penalized. The case was brought to The Victorian Supreme Court presided by Justice Robson who handed down the penalty judgment on 09 August 2012 against the defendant.
The agreement reached in the process of settlement of the proceedings awarded the penalty setting precedence by the name of ASIC …show more content…

OFFP (Oil for Food Program) exercised sanctions and Escrow was paid and the revenue generated from Petroleum products were accounted in the United Nation’s Escrow account.
These proceeds collected in the escrow accounts could be released only for the transaction of permitted commodities including food stuffs. AWB was a major supplier of Wheat to Iraq under the Oil for Food Program (Australasian Legal Information Institute, 2017a).
There were number of contraventions in this case. The first issue was regarding paying the 10% of proceeds as the carriage cost pertaining to the wheat contracts to Alia. This was later paid to the government. Alia was an intermediary company aiding in the completion of the overall dealings related to the case under analysis. Iraq was able to get the hard currency from this. Provisions were made to reimburse the payment portion received by AWB which further strengthened the ability to accumulate hard currency. In other words, the money from escrow account of UN was being used for purposes which were other than making payment for the commodities not permitted (Austin and Reynolds, 2012).
The second breach by AWB is the business contract they had with Tigris (another company). The contract was focused on recovering significant debt estimated to be of approximately $8 million, for transporting wheat to Iraq. To achieve this objective, AWB inflated the price of wheat under the OFFP contracts which eventually resulted in the payment from the

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