Is Criminalising Directorial Negligence a Good Idea?

There has been a tendency for the criminal law to be used primarily as a tool of deterrence in corporate governance. Adopting the Singapore statutory framework as a case study, this paper explores whether we should criminalise directorial negligence in an effort to better secure corporate governance standards. Is it a good idea to brand negligent directors as criminals? If so, what should be the proper standard for criminal negligence? On what grounds, then, might we justify criminalising directorial negligence? This paper explores the merits of various possible rationales which might be mounted in support of criminalisation. It argues that directorial negligence ought not be criminalised, and that the best response to directorial negligence is instead a pecuniary penalty, which combines the punitive aspect of criminal law and the civil response, but which removes the condemnation and stigma associated with the criminal law.