Sir Mike Rake to police private equity code

Sir Mike Rake has been given the high-profile task of policing the new code
of conduct for private equity firms that will be released by Sir David Walker
tomorrow.

The code is aimed at making the buy-out industry more open and transparent.
According to the Times, it is a voluntary code that will adopt a
‘comply-or-explain’ approach to compliance and it will be up to Sir Mike to
ensure that firms meet the requirements of the document or explain why they
haven’t.

Sir Mike, a former chairman of KPMG and now the chair of BT, will chair the
oversight committee that will enforce Lord Walker’s code. This committee will
work with the British Venture Capital Association and meet three times a year to
sift through details of the companies owned by buy-out groups.

The oversight committee is expected to appoint an accounting firm to help it
with its work.

Further reading:

Walker Review sets sights beyond private
equity

Private Equity to be named and shamed