I'm retired now. When I was working, one management gig I had was with a company in West Perth who owned mining projects.
Here is how the system works, with regard to the procurement of votes for your company, if you are a director.
A fund manager or broker manager with hundreds of clients who hold shares via nominee accounts, turns up in a leafy West Perth street for a quiet lunch in a little cafe.
To procure the votes from the nominee accounts, the director of a company intimates that the fund manager or broker manager may be high up on the selection list when the mining company is deciding who to use for their next capital raising, or IPO, should there be one.
The fund manager/broker manager then usually talks with their nominee clients, advising them on how they think the client should vote, all in the best interests of the director's company (of course!).
This is how it works, everyone in the incestuous small cap (boys club) mining space in Perth knows it, and these deals happen every day, and in significant numbers, because I sat with them on occasions (and when invited), eating my sandwich, listening to it all. My best mate, worked a street away with another mining company, and at the time we'd have an after-work beer and laugh about how all these deals happened.
It's simply the politics of greed, and the fundamental genetic psychology of the personality types involved.
The entire system is corrupt, and as long as there are humans, and money, it will never change, however, it should not preclude or dissuade "the best of some-of-us" from attempting to at least bring a little more honesty and decency into many ordinary peoples lives.
Gw
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