Political Donations by Australian Companies

Abstract

Corporate political donations are controversial. These donations are of interest for several reasons including: - a concern that commercial interests can be advanced by donating funds to political parties; and - in the case of public companies, that the funds being donated are not those of the directors of the company who make the decision to donate the funds but are the funds of the company's shareholders. This article begins by examining some of the more recent and topical responses to the phenomenon of corporate political donations. It then examines the motivations which apparently underpin corporate giving. The article then analyses the legal framework within which corporations may pursue philanthropy, which comprises corporate and electoral regulation, both under statute and at common law. This is followed by a presentation and analysis of the results of an empirical study of corporate donations to Australian political parties. The article concludes by outlining some options for law reform.