Theory question 103
Public Corporations(a) What is a Public Corporation?
(b) Identify four ways in which Public Corporation are controlled.
Show the model answer
Model answer
(a) A business or service organisation set up by an Act of parliament (or decree), owned and financed by government, to provide services or goods to the public, run with some independence.
(b) Any four: ministerial control (minister appoints board, gives directives); legislative control (enabling Act, budget approval, public accounts committee, probes); judicial control (suits by or against the corporation); financial control (audit by Auditor-General, funding); public/consumer control (consumer councils, complaints, media); presidential/executive control (appointment and removal of boards).
Explanation
Define, then four separate controls.