aelb confirms reviewing 2 last conditions, page-49

Hi All, From a post by tototy

"I can bring many cases where management is acting not in the best interest of share holders, and sometimes even against the share holders. Recent examples are Chesapeake Energy, Yahoo, HPQ and many others. CEOs get fat bonuses and golden parachutes even if their company is failing due to management mistakes and negligence.
So, you say that we are not supposed to criticize the management."


Taken from an ASA position paper and ASX Good Corporate Governance Principles.

1. EXECUTIVES AND CEOs of companies are PAID AS FULL TIME EMPLOYEES of the company (my emphasis). Consequently in the ASA’s view would not have capacity to be Non-Executive Directors of companies outside their corporate group. To undertake such responsibilities would risk INADEQUATE EXECUTION OF BOTH ROLES (my emphasis).

Mr Nicholas Curtis AM sits on the Boards of two ASX listed companies (ASA equivalent directorships of 3) plus
a number of private companies and charitable Boards. His workload is far in excess of that which can be reasonably expected of one person.

ASA has determined as policy a maximum of 5 directorships or equivalent(ranking a Chairmans role as two), beyond which, a Non-Executive Director, in the view of the ASA, could be at an unacceptably high risk of becoming overloaded and failing in their duties as Directors.

Some of the delay and unforeseen difficulties that have beset Lynas in getting the plant in Malaysia operational can only be due to the failure on the part of senior management to adequately manage the political situation in that country.

Lynas corporation is currently in breach of 2.2 & 2.3 of the ASX Corporate Governance Guidelines in that it does not have an Independent Non-Executive Director filling the role of Chairman and the roles of CEO and Chairman are filled by the same person.

Mr Nicholas Curtis AM serves as CEO of Lynas Corporation (since 2001) Chairman since 2005
Lynas corporation Market cap $1.466 Billion based on a closing price of 0.855c on Friday 6.7.12
Level 7 56 Pitt St Sydney NSW 2000 www.lynascorp.com

Mr Nicholas Curtis also serves as Non-Executive Chairman
Forge Resources(FRG) 34% shareholder. Market cap $20 million
Level 24 56 Pitt St Sydney NSW 2000
http://www.forgeresources.com.au

Eucla Mineral sands tenements in SA and the Balla Balla Magnetite, Titanium & Vanadium project in WA, recently purchased from Atlas Iron.Please refer to ASX anns for further details.
Directors
Harold Ou Wang Non-Executive Director-formerly an executive and Director of Lynas corporation until 2007

Michael Wolley Non-Executive Director appointed by Todd capital, previously worked for Lynas corporation as COO from 2007 until the recent appointment of Mr Eric Noyrez (ex Rhodia) to that position

Emmanuel Correia Non-Executive Director
Dr Matthew James CEO - ex Lynas corporation corporate development and communications

Mr Nicholas Curtis is also the founding partner with Harold Ou Wang of Riverstone Advisory Pty Ltd a private corporate advisory firm that brings Australian resource projects and Chinese investors together.Dr Raby formerly Australian Ambassador to China joined the Board of Riverstone Advisory in 2011 upon his recent retirement from the Department of Foreign Affairs.

This is a personal opinion piece only
As always DYOR I am not licensed to give financial advice.



best regards to ALL holders



jukieoz836