New disciplinary arrangements published by FRC
FRC no longer be required to consult with the professional institutes before beginning an investigation under new disciplinary arrangements
DISCIPLINARY ARRANGEMENTS applying to accountants and member firms being investigated over cases of potential misconduct have been updated by the accountancy watchdog.
The amendments build on a package of reforms introduced by the FRC last year, and are intended to make the disciplinary process more independent, efficient and effective by handing the regulator greater powers.
Among the changes introduced by the new scheme, the FRC has the ability to conduct enquiries before initiating an investigation; a new power to issue interim orders and new arrangements for monitoring individual cases.
The definition of misconduct has also been changed, while the FRC will no longer be required to consult with the professional institutes before beginning an investigation.
There were also amendments to reduce the potential for delay, such as a provision to facilitate the early resolution of disciplinary cases without the need for a tribunal hearing.
Paul George, executive director of conduct at the FRC, said: “Amending the disciplinary schemes to make them more independent, efficient and effective was a key part of the package of FRC reforms introduced in 2012. Revisions to The Accountancy Scheme therefore mark a significant step in the implementation of those plans.”