ASIC targets WA companies on remuneration

Nine WA listed companies have been targeted by the Australian Securities and Investments Commission for failing to notify shareholders of their voting rights regarding company remuneration at AGM's.

ASIC announced the results of a review of compliance by ASX-listed companies with the new requirement in the Corporations Act to put the adoption of the company's remuneration report to a non-binding vote at the company's AGM.

The new regime was introduced as part of CLERP 9 and applied to most listed companies for the first time in the late 2005 AGM season.

Of the companies that failed to notify shareholders of the vote, 17 companies volunteered to hold an extraordinary general meeting or conduct a postal vote on the issue once they became aware they had not complied with the requirement.

In total 26 companies did not take any corrective action and included the WA companies Brainytoys Ltd, Drake Resources Ltd, EnviroGold Ltd, Finbar International Ltd, Giralia Resources NL, Murchison Holdings Ltd, Reed Resources Ltd, Tasman Resources Ltd and Working Systems Soultions Ltd.