IASB details recruitment process for Tweedie replacement

The International Accounting Standards Board (IASB) has outlined the steps taken so far to replace its high profile chairman, in response to European concerns it was not being transparent.

In a newly created section of the IASB website, the body has outlined the process it has followed since September 2009, as it searches to replace chairman Sir David Tweedie, who steps down in June 2011.

Among the documents is a letter sent to the European Commissioner’s office on 3 December, 2009, from Sir Bryan Nicholson, who has led the IASB’s recruitment process.

“I write now to brief you on the process that we plan to follow, and to seek any input that you may have of names to be considered,” he said in the letter.

Among the recipients was Charlie McCreevy, predecessor to Michel Barnier who is current European Commissioner for Internal Markets.

The letter undermines claims by senior European officials they have not been kept in the loop during the recruitment process. Yesterday, the Financial Times newspaper quoted unnamed senior European officials close to Barnier’s office who said: “The process has not been as open and thorough as it could be and the commissioner believes the monitoring board should be fully involved in the process”.

Barnier is a member of the five-man Monitoring Board – the IASB’s supreme oversight body. Members of the Monitoring Board were sent a letter on 29 July from IASB Trustees which suggested a candidate to replace Sir David. The letter reportedly upset the commissioner who wants more input into Sir David’s replacement.

The Monitoring Board has no constitutional power to appoint the IASB chairman, but it is still kept up-to-date by IASB trustees, who will ultimately decide which candidate is chosen.

Further reading:

IASB Chair search

European officials frustrated at "lack of transparency" over Tweedie replacement

Hunt for IASB head hits hurdle

Candidates in frame for top IASB role