Accountability during the Incorporation of Public and Private Limited Companies under Ohada Law

International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue I, January 2022 | ISSN 2454–6186

Accountability during the Incorporation of Public and Private Limited Companies under Ohada Law

Merinda Afanui Sama
Ph.D. in English Law 5847
University of Bamenda, HTTTC Bambili

Abstract: This work sets out to evaluate the OHADA Uniform Act’s laws on accountability in Private and Public Limited Companies. Normally, laws which provide for effective accountability, guarantee the smooth functioning and stability of companies since its rules work at averting all forms of mismanagements. The inspiration of this work stems from the realization that, levels of accountability in these companies are still wanting. Hitherto, companies are plagued with vices of obscured activities, fake transactions, non-transparent reporting and acute dishonesty by its organs. It is therefore baffling that, these are still prevalent despite the existence of the Uniform Act’s laws which contains accountability mechanism aimed at dispelling all these forms of corporate transgressions. From this arose lingering doubts as to how these laws are.
This leads one to the assumption that, these laws are not efficacious in guaranteeing the effectiveness of this aspect of corporate governance. What then are these techniques and how effective are they? This work highlights and analyses these mechanisms and evaluates the extent of their efficacy. We therefore propose that, these mechanisms be reviewed and amended to be more authoritative, unequivocal, specific, realistic and punitive such that, they will ensure better levels of rendering accountability. In consequence, these companies shall flourish, achieve their desired objectives, experience maximum productivity and generate more profit.

I. INTRODUCTION

The OHADA uniform Act (OUA) contains several provisions which pass as control mechanisms regulating the affairs of public and private limited companies. These elements are geared towards providing means of rendering accountability. They ensure that avenues for verifying whether company executives have performed their duties or not are available to shareholders and other such authorities of interest. It shall also provide a means by which members of the company and the company itself are accountable for their acts. These mechanisms cannot be complete without consequences provided if not scrupulously followed. Therefore, this article will elaborate on the early stages of the company’s creation.

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